Company: TSEM
Filing Date: 2025-04-30
Form Type: 20-F
Source: 0001178913-25-001537
Chunk: 195

Company: TOWER SEMICONDUCTOR LTD
Filing Date: 2025-04-30
Form: 20-F
Item: Item 5
Chunk 195
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 Listing Rules and the requirements for
compensation committees under the Companies Law, including the following:

  recommending to the Board of Directors for its approval (i) a compensation policy for officers and directors, (ii) once every three       

  approving and exempting certain transactions relating to the terms of office and employment of office holders (within the meaning  

  reviewing and approving equity grants to non-executive employees under our equity-based incentive plans.  

Corporate Governance and Nominating Committee

Our corporate governance and nominating committee is comprised
of Mr. Kalman Kaufman, Mrs. Dana Gross, Ms. Michal Vakrat Wolkin and Yoav Z. Chelouche. Mr. Kalman Kaufman serves as the corporate governance
and nominating committee chairman.

Our board of directors has adopted a corporate governance and nominating
committee charter setting forth the responsibilities of the corporate governance and nominating committee, which include:

  overseeing and assisting our board of directors in reviewing and recommending nominees for election as directors;  

  assessing the performance of the members of our board of directors;  

  reviewing and recommending to our board of directors the structure and members of committees of the board of directors;  

  assisting our board of directors in carrying out its responsibilities related to chief executive officer succession planning;  

  reviewing and overseeing our corporate governance practices and communication plans for shareholder meetings and to promote effective  

  overseeing our commitment to ESG matters and advising our board of directors on such matters.  

Internal Auditor

Under the Companies Law, the board of directors of an Israeli public
company must appoint an internal auditor, who is recommended by the audit committee. The role of the internal auditor is to examine, among
other matters, whether the company’s actions comply with the law and orderly business procedure. Under the Companies Law, the internal
auditor may be an employee of the company but not an office holder (within the meaning of the Companies Law) or an interested party (i. e.,
a person who holds more than 5% of the Company’s outstanding shares or voting rights or who has the power to appoint a director
or the general manager of the company) or a relative of an office holder or interested party, and may not be the company’s independent
auditor or its representative. Oren Grupi of KPMG Israel serves as our internal auditor.

Director Service Contracts

Other than under the employment arrangement with Mr. Russell Ellwanger,
our Chief Executive Officer and a director, as detailed in “ Item