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Exhibit 10.31  

 
 

INDEMNIFICATION AGREEMENT    
    

        THIS AGREEMENT is made and entered into
this                        day
of                        , 2002 by and between
Specialtysemi, Inc., a Delaware corporation (the "Corporation"), and                        (the "Indemnitee"). 

RECITALS  

        WHEREAS, the stockholders of the Corporation have adopted bylaws (the "Bylaws") providing for the indemnification
of persons serving as directors or officers of the Corporation, or while directors, officers or employees of the Corporation, serving at the request of the Corporation as directors, officers,
employees, agents or trustees of other corporations, partnerships, joint ventures, trusts, employee benefit plans or other enterprises, as authorized by the Delaware General Corporation Law, as
amended (the "Code"); 

        WHEREAS, the Bylaws and the Code, by their non-exclusive nature, permit contracts between the Corporation and its directors,
officers, employees and agents with respect to indemnification of such persons; and 

        WHEREAS, in order to induce Indemnitee to serve as                        of the Corporation,
the Corporation has determined and agreed to enter
into this Agreement with Indemnitee; 

        NOW, THEREFORE, in consideration of Indemnitee's service as                        after the
date hereof, the parties hereto agree as follows: 

AGREEMENT  

        1.     Services to the Corporation.    Indemnitee will serve, at the will of the Corporation or under separate
contract, if any such contract exists, as                        of the Corporation or as a director, officer, employee, agent or
trustee of any subsidiary of the Corporation (including any employee benefit
plan of the Corporation) faithfully and to the best of his ability so long as he is duly elected and qualified in accordance with the provisions of the Bylaws or other applicable charter documents of
the Corporation or such subsidiary; provided, however, that Indemnitee may at any time and for any reason resign from such position (subject to any
contractual obligation that Indemnitee may have assumed apart from this Agreement) and that the Corporation or any subsidiary shall have no obligation under this Agreement to continue Indemnitee in
any such position. 

        2.     Indemnity of Indemnitee.    The Corporation hereby agrees to hold harmless and indemnify Indemnitee to the
fullest extent authorized or permitted by the provisions of the Bylaws and the Code, as the same may be amended from time to time (but, only to the extent that such amendment permits the Corporation
to provide broader indemnification rights than the Bylaws or the Code permitted prior to adoption of such amendment). 

        3.     Additional Indemnity.    In addition to and not in limitation of the indemnification otherwise provided for
herein, the Corporation hereby further agrees to hold harmless and indemnify Indemnitee: 

        (a)   against any and all expenses (including attorneys' fees), witness fees, damages, judgments, fines and amounts paid in
settlement and any other amounts that Indemnitee becomes legally obligated to pay in connection with any threatened, pending or completed action, suit or proceeding, whether civil, criminal,
arbitrational, administrative or investigative (including an action by or in the right of the Corporation) to which Indemnitee is or was a party, or is threatened to be made a party, by reason of the
fact that Indemnitee is or was a director or officer of the Corporation, or is or was serving at the request of the Corporation as a director, officer, employee, 

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agent
or trustee of another corporation, partnership, joint venture, trust, employee benefit plan or other enterprise; provided, however, that the
Corporation shall not be obligated to indemnify Indemnitee under this Section 3 if the Corporation can demonstrate by clear and convincing evidence that the Indemnitee acted in bad faith and in
a manner Indemnitee could not reasonably have believed to be in the best interests of the Corporation, and, with respect to any criminal action or proceeding, that Indemnitee had no reasonable cause
to believe Indemnitee's conduct was lawful (provided, that the termination of any action or proceeding by judgment, order, settlement, conviction, or upon a plea of nolo
contendere or its equivalent, shall not, of itself, create a presumption that (x) Indemnitee did not act in good faith, (y) Indemnitee did not act in a manner
which Indemnitee reasonably believed to be in the best interests of the Corporation, or (z) with respect to any criminal action or proceeding, Indemnitee had reasonable cause to believe that
Indemnitee's conduct was unlawful); and 

        (b)   otherwise to the fullest extent as may be provided to Indemnitee by the Corporation under the non-exclusivity
provisions of the Code and Section 37 of the Bylaws. 

        4.     Limitations on Indemnity.    No indemnity pursuant to the terms
of this Agreement shall be paid by the Corporation: 

        (a)   on account of any claim against Indemnitee for an accounting of profits made from the purchase or sale by Indemnitee of
securities of the Corporation pursuant to the provisions of Section 16(b) of the Securities Exchange Act of 1934 and amendments thereto or similar provisions of any federal, state or local
statutory law; 

        (b)   on account of Indemnitee's conduct that is established by a final judgment as knowingly fraudulent or deliberately
dishonest or that constituted willful misconduct; 

        (c)   on account of Indemnitee's conduct that is established by a final judgment as constituting a breach of a duty to the
Corporation or its shareholders or resulting in any personal profit or advantage to which Indemnitee was not legally entitled; 

        (d)   for which payment is actually made to Indemnitee under a valid and collectible insurance policy or under a valid and
enforceable indemnity clause, bylaw or agreement, except in respect of any excess beyond payment under such insurance, clause, bylaw or agreement; 

        (e)   if indemnification is not lawful (and, in this respect, both the Corporation and Indemnitee have been advised that the
Securities and Exchange Commission believes that indemnification for liabilities arising under the federal securities laws is against public policy and is, therefore, unenforceable and that claims for
indemnification should be submitted to appropriate courts for adjudication); or 

        (f)    in connection with any proceeding (or part thereof) initiated by Indemnitee, or any proceeding by Indemnitee against the
Corporation or its directors, officers, employees or agents, unless (i) such indemnification is expressly required to be made by law, (ii) the proceeding was authorized by the Board of
Directors of the Corporation, (iii) such indemnification is provided by the Corporation, in its sole discretion, pursuant to the powers vested in the Corporation under the Code, or
(iv) the proceeding is initiated pursuant to Section 9 hereof. 

        5.     Continuation of Indemnity.    All agreements and obligations of
the Corporation contained herein shall continue during the period Indemnitee is a director or officer of the Corporation (or is or was serving at the request of the Corporation as a director, officer,
employee, agent, or trustee of another corporation, partnership, joint venture, trust, employee benefit plan or other enterprise) and shall continue thereafter so long as Indemnitee shall be subject
to any possible claim or threatened, pending or completed action, suit or proceeding, whether civil, criminal, arbitrational, administrative or investigative, by reason of the fact that Indemnitee was
serving in the capacity referred to herein. 

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        6.     Partial Indemnification.    Indemnitee shall be entitled under
this Agreement to indemnification by the Corporation for a portion of the expenses (including attorneys' fees), witness fees, damages, judgments, fines and amounts paid in settlement and any other
amounts that Indemnitee becomes legally obligated to pay in connection with any action, suit or proceeding referred to in Section 3 hereof even if not entitled hereunder to indemnification for
the total amount thereof, and the Corporation shall indemnify Indemnitee for the portion thereof to which Indemnitee is entitled. 

        7.     Notification and Defense of Claim.    As soon as practicable
and, in any event, not later than thirty (30) days after receipt by Indemnitee of notice of the commencement of any action, suit or proceeding for which Indemnification will or could be sought
under this Agreement, Indemnitee will notify the Corporation of the commencement thereof, but the omission so to notify the Corporation will not relieve it from any liability which it may have to
Indemnitee otherwise than under this Agreement. With respect to any such action, suit or proceeding: 

        (a)   the Corporation will be entitled to participate therein at its own expense; 

        (b)   except as specifically provided in this Section 7(b), the Corporation may, at its option and jointly with any
other indemnifying party similarly notified and electing to assume such defense, assume the defense thereof, with counsel reasonably satisfactory to Indemnitee. After notice from the Corporation to
Indemnitee of its election to assume the defense thereof, the Corporation will not be liable to Indemnitee under this Agreement for any legal or other expenses subsequently incurred by Indemnitee in
connection with the defense thereof (except for (x) reasonable costs of investigation necessary to determine that there is an actual conflict of interest pursuant to clause (ii) below or
(y) fees and expenses of separate counsel to the extent permitted by clauses (i), (ii) or (iii) below), provided that Indemnitee shall have the right to employ separate counsel in
such action, suit or proceeding but the fees and expenses of such counsel incurred after notice from the Corporation of its assumption of the defense thereof shall be at the expense of Indemnitee
unless (i) the employment of counsel by Indemnitee has been authorized by the Corporation, (ii) Indemnitee shall have reasonably concluded, and so notified the Corporation, that there is
an actual conflict of interest between the Corporation and Indemnitee in the conduct of the defense of such action or (iii) the Corporation shall not in fact have employed counsel to assume the
defense of such action, in each of which cases the fees and expenses of Indemnitee's separate counsel shall be at the expense of the Corporation. The Corporation shall not be entitled to assume the
defense of any action, suit or proceeding brought by or on behalf of the Corporation or as to which Indemnitee shall have made the conclusion and provided the notice referenced in clause (ii)
above; and 

        (c)   the Corporation shall not be liable to indemnify Indemnitee under this Agreement for any amounts paid in settlement of
any action or claim effected without its written consent, which shall not be unreasonably withheld. 

        8.     Expenses.    Prior to the final disposition of any proceeding
referenced in Section 3 hereof, the Corporation shall advance, within twenty (20) days following delivery of a written request therefor by Indemnitee to the Corporation, all reasonable
expenses incurred by Indemnitee in connection with the investigation, defense, settlement or appeal of such proceeding (but not amounts actually paid in settlement of any such proceeding), upon
receipt of an undertaking by or on behalf of Indemnitee to repay said amounts if it shall be determined ultimately that Indemnitee is not entitled to be indemnified under the provisions of this
Agreement, the Bylaws, or the Code. 

        9.     Enforcement.    Any right to indemnification or advances granted
by this Agreement to Indemnitee shall be enforceable by or on behalf of Indemnitee in any court of competent jurisdiction if (i) the claim for indemnification or advances is denied, in whole or
in part, or (ii) no disposition of such claim is made within ninety (90) days of request therefor. Indemnitee, in such enforcement action, if successful in whole or in part, shall be
entitled to be paid also the expense of prosecuting his claim. 

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It
shall be a defense to any action for which a claim for indemnification is made under Section 3 hereof (other than an action brought to enforce a claim for expenses pursuant to
Section 8 hereof, provided that the required undertaking has been tendered to the Corporation) that Indemnitee is not entitled to indemnification
because of the limitations set forth in Section 4 hereof. It is the parties' intention that if the Corporation contests Indemnitee's right to indemnification, the question of Indemnitee's right
to indemnification shall be for the court to decide, and neither the failure of the Corporation (including its Board of Directors or its stockholders) to have made a determination prior to the
commencement of such enforcement action that indemnification of Indemnitee is proper in the circumstances, nor an actual determination by the Corporation (including its Board of Directors or its
stockholders) that such indemnification is improper shall be a defense to the action or create a presumption that Indemnitee is or is not entitled to indemnification under this Agreement or otherwise. 

        10.   Subrogation.    In the event of payment under this Agreement,
the Corporation shall be subrogated to the extent of such payment to all of the rights of recovery of Indemnitee, who shall execute all documents required and shall do all acts that may be necessary
to secure such rights and to enable the Corporation effectively to bring suit to enforce such rights. 

        11.   Non-Exclusivity of Rights.    The rights conferred
on Indemnitee by this Agreement shall not be exclusive of any other right which Indemnitee may have or hereafter acquire under any applicable statute, provision of the Corporation's Certificate of
Incorporation or Bylaws, agreement, vote of stockholders or directors, or otherwise, both as to action in his official capacity and as to action in another capacity while holding office. 

        12.   Survival of Rights.

        (a)   The rights conferred on Indemnitee by this Agreement shall continue after Indemnitee has ceased to be a director or
officer of the Corporation or has ceased to serve at the request of the Corporation as a director, officer, employee, agent, or trustee of another corporation, partnership, joint venture, trust,
employee benefit plan or other enterprise, and shall inure to the benefit of Indemnitee's heirs, executors, administrators, legal representatives and assigns. 

        (b)   The Corporation shall require any successor (whether direct or indirect, by purchase, merger, consolidation or otherwise)
to all or substantially all of the business or assets of the Corporation,
expressly to assume and agree to perform this Agreement in the same manner and to the same extent that the Corporation would be required to perform if no such succession had taken place. 

        13.   Separability.    Nothing in this Agreement is intended to
require or shall be construed as requiring the Corporation to do or fail to do any act in violation of applicable law. The Corporation's inability, pursuant to court order, to perform its obligations
under this Agreement shall not constitute a breach of this Agreement. Each of the provisions of this Agreement is a separate and distinct agreement and independent of the others, so that if any
provision hereof shall be held to be invalid for any reason, such invalidity or unenforceability shall not affect the validity or enforceability of the other provisions hereof. Furthermore, if this
Agreement shall be invalidated in its entirety on any ground, then the Corporation shall nevertheless indemnify Indemnitee to the fullest extent provided by the Bylaws, the Code or any other
applicable law. 

        14.   Governing Law.    This Agreement shall be interpreted and
enforced in accordance with the laws of the State of Delaware (excluding the choice of law provisions thereof). 

        15.   Amendment and Termination.    No amendment, modification,
termination or cancellation of this Agreement shall be effective unless in writing signed by both parties hereto. 

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        16.   Identical Counterparts.    This Agreement may be executed in
one or more counterparts, each of which shall for all purposes be deemed to be an original but all of which together shall constitute but one and the same Agreement. Facsimile signatures shall be
deemed as effective as original signatures. 

        17.   Headings.    The headings of the sections of this Agreement are
inserted for convenience only and shall not be deemed to constitute part of this Agreement or to affect the construction hereof. 

        18.   Notices.    All notices, requests, demands and other
communications hereunder shall be in writing and shall be deemed to have been duly given (i) upon delivery if delivered by hand to the party to whom such communication was directed or
(ii) upon the third business day after the date on which such communication was mailed if mailed by certified or registered mail with postage prepaid: 

        (a)   If to Indemnitee, at the address indicated on the signature page hereof. 

        (b)   If to the Corporation, to: 

Specialtysemi, Inc.

c/o The Carlyle Group

101 South Tryon Street, 25th Floor

Charlotte, N.C. 28280

Attn: Claudius E. Watts, IV

Facsimile: (704) 632-0299 

or
to such other address as may have been furnished to Indemnitee by the Corporation. 

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        IN WITNESS WHEREOF, the parties hereto have executed this Agreement on and as of the day and year first above written. 

	 	 	SPECIALTYSEMI, INC.
	 	 	 	 	 
	 	 	 	 	 
	 	 	By:	 	 
	 	 	 	 	

	 	 	Name:	 	 
	 	 	 	 	

	 	 	Title:	 	 
	 	 	 	 	

	 	 	 	 	 
	 	 	 	 	 
	 	 	INDEMNITEE
	 	 	 	 	 
	 	 	By:	 	 
	 	 	 	 	

	 	 	Name:	 	 
	 	 	 	 	

	 	 	 	 	 
	 	 	Address:	 	 
	 	 	 	 	 
	 	 	 	 	

	 	 	 	 	 
	 	 	 	 	

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Exhibit 10.32    
    

 
 

Form of Employment Agreement    
    

        This Employment Agreement dated as of March 8, 2002 (the "Agreement"), is made by and between Specialtysemi, Inc., a Delaware corporation (together
with any successor thereto, the "Company") and                        (the "Executive"). 

RECITALS  

	A.
	It
is the desire of the Company to assure itself of the services of the Executive by engaging the Executive to perform services under the terms hereof.

	B.
	The
Executive desires to provide services to the Company on the terms herein provided. 

AGREEMENT  

        NOW, THEREFORE, in consideration of the foregoing and of the respective covenants and agreements set forth below the parties hereto agree as follows: 

1.     Certain Definitions.  

	(a)
	"Annual
Base Salary" shall have the meaning set forth in Section 3(a).

	(b)
	"Board"
shall mean the Board of Directors of the Company.

	(c)
	The
Company shall have "Cause" to terminate the Executive's employment hereunder upon:

	(i)
	the
Board's objective and factual determination that the Executive failed to substantially perform the duties listed in  Section 2(c) (other than any such failure resulting from the Executive's
Disability) which is not remedied within 30 days after receipt of
written notice from the Company specifying such failure;

	(ii)
	the
Board's determination that the Executive failed to carry out, or comply with, in any material respect any lawful and reasonable directive of the Board consistent with the terms
of this Agreement, which is not remedied within 30 days after receipt of written notice from the Company specifying such failure;

	(iii)
	the
Executive's conviction, plea of no contest, plea of nolo contendere, or imposition of unadjudicated probation for any felony or
crime involving moral turpitude;

	(iv)
	the
Executive's unlawful use (including being under the influence) or possession of illegal drugs on the Company's premises or while performing the Executive's duties and
responsibilities under this Agreement; or

	(v)
	the
Executive's commission of an act of fraud, embezzlement, misappropriation, willful misconduct, or breach of fiduciary duty against the Company.

	(d)
	"Company"
shall have the meaning set forth in the preamble hereto.

	(e)
	"Compensation
Committee" means the Compensation Committee of the Board.

	(f)
	"Date
of Termination" shall mean (i) if the Executive's employment is terminated by his death, the date of his death; (ii) if the Executive's employment is terminated
pursuant to Section 4(a)(ii) - (vi) either the date indicated in the Notice of Termination or the date specified by the Company pursuant to  Section 4(b), whichever is earlier.

	(g)
	"Disability"
shall mean, at any time the Company or any of its affiliates sponsors a long-term disability plan for the Company's employees "disability" as defined in such
long-term disability plan for the purpose of determining a participant's eligibility for benefits, provided, however, if the long-term disability plan contains multiple
definitions of disability, "Disability" shall 

 

refer
that definition of disability which, if the Executive qualified for such disability benefits, would provide coverage for the longest period of time. The determination of whether the Executive
has a Disability shall be made by the person or persons required to make disability determinations under the long-term disability plan. At any time the Company does not sponsor a
long-term disability plan for its employees, Disability shall mean the Executive's inability to perform, with reasonable accommodation, the essential functions of his position hereunder
for a minimum of three consecutive months during any six (6) month period as a result of incapacity due to mental or physical illness as determined by a physician selected by the Company or its
insurers and acceptable to the Executive or the Executive's legal representative, such agreement as to acceptability not to be unreasonably withheld or delayed. Any refusal by the Executive to submit
to a medical examination for the purpose of determining Disability shall be deemed to constitute conclusive evidence of the Executive's Disability. 

	(h)
	"Executive"
shall have the meaning set forth in the preamble hereto.

	(i)
	"Executive
Bonus Plan" shall mean the bonus plan to be developed by the Compensation Committee.

	(j)
	(i)    The
Executive shall have "Good Reason" to resign his employment upon the occurrence of any of the following: 

        (A)  failure
of the Company to continue the Executive in the position of                        ; 

        (B)  a
material and substantial diminution in the nature or scope of the Executive's responsibilities, duties or authority; 

        (C)  failure
of the Company to make any payment or provide any benefit under this Agreement; 

        (D)  the
Company's material breach of this Agreement; or 

        (E)  the
relocation of the Executive's principal place of work to a location that is in excess of 35 miles from the Executive's current place of work. 

	(ii)
	The
Executive may not resign his employment for Good Reason unless: 

        (A)  the
Executive provided the Company with at least 30 days prior written notice of his intent to resign for Good Reason; and 

        (B)  the
Company has not remedied the alleged violation(s) within the 30-day period. 

	(k)
	"Inventions"
shall the meaning set forth in Section 8.

	(l)
	"Notice
of Termination" shall have the meaning set forth in Section 4(b).

	(m)
	"Term"
shall have the meaning set forth in Section 2(b). 

2.     Employment.  

	(a)
	The
Company shall employ the Executive and the Executive shall enter the employ of the Company, for the period set forth in  Section 2(b), in the position set forth in Section 2(c), and upon the other terms and
conditions herein provided.

	(b)
	The
term of employment under this Agreement (the "Term") shall be for the period beginning on the first day of employment and ending on the second anniversary of employment, unless
earlier terminated as provided in Section 4. 

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	(c)
	Position and Duties. The Executive shall serve
as                        of the Company with such customary responsibilities, duties and
authority as may from time to time be assigned to the Executive by the                        . The Executive shall report to
the                        . The Executive shall devote substantially all his working time
and efforts to the business and affairs of the Company. The Executive agrees to observe and comply with the Company's rules and policies as adopted by the Company from time to time. During the Term,
it shall not be a violation of this Agreement for the Executive to (i) serve on industry trade, civic or charitable boards or committees; (ii) deliver lectures or fulfill speaking
engagements; or (iii) manage personal investments, as long as such activities do not interfere with the performance of the Executive's duties and responsibilities as an employee of the Company.
During his employment and for the 12-month period following his employment with the Company, the Executive agrees not to disparage in any material respect the Company, any of its products
or practices, or any of its directors, officers, agents, representatives, stockholders or affiliates, either orally or in writing. 

3.     Compensation and Related Matters.  

	(a)
	Annual Base Salary. During the Term, the Executive shall receive a base salary at a rate
of                        per annum, which shall be
paid in accordance with the customary payroll practices of the Company, subject to any subsequent increase determined by the Compensation Committee (the "Annual Base Salary").

	(b)
	Annual Retention Bonus. In addition to Employee's base compensation, Employee may also earn an Annual Retention Bonus, which is based
upon Employee's completion of annual periods of continuous employment. The Annual Retention Bonus is intended as an inducement to Employee to remain continuously employed, and as consideration for the
continuity of Employee's performance through the end of the retention periods, rather than for the day-to-day performance of his duties. Accordingly, Employee acknowledges and
agrees that the Annual Retention Bonus is not a component of Employee's annual salary. Employee further acknowledges and agrees that the Annual Retention Bonus for Employee's first year is not earned,
accrued or vested on any pro rata or other partial basis unless and until he has been actively and continuously employed by the Company through the one-year anniversary date of Employee's
starting date with the Company. Employee similarly acknowledges and agrees that the Annual Retention Bonus for Employee's second year is not earned, accrued or vested on any pro rata or other partial
basis unless and until he has been actively and continuously employed by the Company through the two-year anniversary date of Employee's starting date with the Company. 

Payments
of the Annual Retention Bonus will be made to Employee in two separate advance payments, the first within 15 days of Employee's starting date with the Company, and the second within
15 days of Employee's first anniversary date with the Company. Each advance payment will be in the amount
of                        , less required state and federal tax deductions. 

Should
Employee terminate his employment without good reason, or be terminated at any time by the Company for cause before the one-year anniversary of his employment, Employee agrees to
repay in full the first advance payment made to him by the Company. In addition, should Employee terminate his employment without good reason, after the one-year anniversary but before the
two-year anniversary of his employment, Employee agrees to repay in full the second advance payment made to him by the Company. Employee further agrees to execute on the date of such
termination an agreement authorizing the Company to deduct from his final paycheck any amounts necessary to effect full and complete repayment of any advances against any portion of the Annual
Retention Bonus. 

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	(c)
	Annual Bonus. The Executive shall be eligible to receive a bonus of between 0
and                        of the sum of his Annual Base Salary
plus his Annual Retention Bonus if the Executive satisfies the performance targets and other criteria set forth in the Executive Bonus Plan.

	(d)
	Equity/Membership Arrangement. During the Term, the Executive shall be entitled to participate in an equity or membership arrangement
(including any stock appreciation rights program) developed by the Compensation Committee. The Compensation Committee shall determine the number of units, options or shares to be provided to the
Executive.

	(e)
	Benefits.
The Executive shall be entitled to participate in employee benefit plans, programs and arrangements of the Company now (or, to the extent determined by the Board, hereafter)
in effect which are applicable to the senior officers of the Company.

	(f)
	Vacation. During the Term, the Executive shall be entitled to the number of weeks paid vacation that the Executive was entitled to
receive from Conexant Systems, Inc. as of January 1, 2002. Any vacation shall be taken at the reasonable and mutual convenience of the Company and the Executive.

	(g)
	Expenses. The Company shall reimburse the Executive for all reasonable travel and other business expenses incurred by him in the
performance of his duties to the Company in accordance with the Company's expense reimbursement policy.

	(h)
	Key Person Insurance. At any time during the Term, the Company shall have the right to insure the life of the Executive for the
Company's sole benefit. The Company shall have the right to determine the amount of insurance and the type of policy. The Executive shall cooperate with the Company in obtaining such insurance by
submitting to physical examinations, by supplying all information reasonably required by any insurance carrier, and by executing all necessary documents reasonably required by any insurance carrier.
The Executive shall incur no financial obligation by executing any required document, and shall have no interest in any such policy.

	(i)
	Club Membership. During the Term, the Executive shall be entitled to reimbursement for costs associated with membership at an airline
club of the Executive's choosing. The Executive's selection of an airline club shall be subject to the Company's approval, which approval shall not be unreasonably withheld. The airline club
membership shall be in the Company's name, and the Company shall pay any initiation fee, annual dues and other non-meal assessments associated with the membership. 

4.     Termination.  

        The Executive's employment hereunder may be terminated by the Company or the Executive, as applicable, without any breach of this Agreement only under the
following circumstances: 

	(a)
	Circumstances.

	(i)
	Death. The Executive's employment hereunder shall terminate upon his death.

	(ii)
	Disability. If the Executive has incurred a Disability, the Company may give the Executive written notice of its intention to
terminate the Executive's employment. In that event, the Executive's employment with the Company shall terminate effective on the 30th day after receipt of such notice by the Executive,
provided that within the 30 days after such receipt, the Executive shall not have returned to full-time performance of his duties.

	(iii)
	Termination for Cause. The Company may terminate the Executive's employment for Cause. 

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	(iv)
	Termination without Cause. The Company may terminate the Executive's employment without Cause.

	(v)
	Resignation for Good Reason. The Executive may resign his employment for Good Reason.

	(vi)
	Resignation without Good Reason. The Executive may resign his employment without Good Reason.

	(b)
	Notice of Termination. Any termination of the Executive's employment by the Company or by the Executive under this  Section 4 (other than termination pursuant to paragraph (a)(i)) shall be communicated by a written notice to the other party hereto
indicating the specific termination provision in this Agreement relied upon, setting forth in reasonable detail the facts and circumstances claimed to provide a basis for termination of the
Executive's employment under the provision so indicated, and specifying a Date of Termination which, if submitted by the Executive, shall be at least 30 days following the date of such notice
(a "Notice of Termination") provided, however, that the Company may, in its sole discretion, change the Date of Termination to any date following the Company's receipt of the Notice of Termination. A
Notice of Termination submitted by the Company may provide for a Date of Termination on the date the Executive receives the Notice of Termination, or any date thereafter elected by the Company in its
sole discretion provided that the Company will pay for the employee for the balance of the 30-day notice period. The failure by the Executive or the Company to set forth in the Notice of
Termination any fact or circumstance which contributes to a showing of Cause or Good Reason shall not waive any right of the Executive or the Company hereunder or preclude the Executive or the Company
from asserting such fact or circumstance in enforcing the Executive's or the Company's rights hereunder.

	(c)
	Company obligations upon termination. Upon termination of the Executive's employment, the Executive (or the Executive's estate) shall
be entitled to receive the sum of the Executive's Annual Base Salary through the Date of Termination not theretofore paid, one hundred percent (100%) of the Executive's Pro rata Annual Bonus Target
through the Date of Termination, any expenses owed to the Executive under Section 3(f), any accrued vacation pay owed to the Executive pursuant
to Section 3(e), and any amount arising from the Executive's participation in, or benefits under any employee benefit plans, programs or
arrangements under Section 3(d), which amounts shall be payable in accordance with the terms and conditions of such employee benefit plans,
programs or arrangements.

	(d)
	Employee obligations upon Employee's termination without Good Reason. In exchange for and in consideration of the entire Agreement,
including the Company's agreement to offer the Executive severance as provided in 5(a), 5(b) and 5(c) of this Agreement, Executive agrees that in the event he terminates his employment without Good
Reason (as defined herein), during the two years following the Effective Date of (the "Agreement") (the "Term") he will owe and will pay the Company the lesser of

	(i)
	fifty
percent (50%) of the gross amount of severance that he would have received under this Agreement in the event he had been terminated without Cause or resigned for Good Reason
during the Term; or

	(ii)
	an
amount equal to                        plus the gross proceeds of all SAR exercises throughout the life of the SAR program.

5.     Severance Payments.  

	(a)
	Termination upon death. If the Executive's employment shall terminate as a result of the Executive's death pursuant to  Section 4(a)(i)
, the Company shall pay to the Executive's estate 

5

 

one
hundred percent (100%) of the Executive's Pro rata Annual Bonus Target through the Date of Termination, and ensure that all vested units or vested options issued under any equity or membership
arrangement described in Section 3(c) shall be exercisable following the Date of Termination in accordance with the terms of the governing plan. 

	(b)
	Termination upon Disability. If the Executive's employment shall terminate as a result of the Executive's Disability pursuant to  Section 4(a)(ii)
, the Company shall:

	(i)
	pay
to the Executive in accordance with the Company's regular payroll practice following the Date of Termination, an amount equal to the Annual Base Salary that the Executive would
have been entitled to receive if the Executive had continued his employment for a period of                        following the
Date of Termination; and

	(ii)
	pay
to the Executive one hundred percent (100%) of the Executive's Pro rate Target Annual Bonus through the date of disability; and

	(iii)
	ensure
that all vested units or vested options issued under any equity or membership arrangement described in Section 3(c)
shall be exercisable following the Date of Termination in accordance with the terms of the governing plan.

	(c)
	Termination without Cause or resignation for Good Reason. If the Executive's employment shall terminate without Cause pursuant to  Section 4
(a)(iv) or for Good Reason pursuant to Section 4(a)(v), the Company shall:

	(i)
	pay
to the Executive, in accordance with the Company's regular bi-weekly payroll practice following the Date of Termination, an amount equal to that portion of the sum of
the Annual Base Salary rate plus the Annual Retention Bonus that the Executive would have been entitled to receive if the Executive had continued his employment hereunder for a period of
                        following the Date of Termination; and

	(ii)
	continue
coverage for the Executive and any dependents under all Company group health benefit plans in which the Executive and any dependents were entitled to participate immediately
prior to the Date of Termination for                        following the Date of Termination, to the extent permitted thereunder;
and

	(iii)
	pay
to the Executive                        the Executive's Target Annual Bonus payable each year at the time other Executive bonuses
are normally paid; and

	(iv)
	ensure
that all units or options issued under any equity or membership arrangement described in Section 3(c) shall be
exercisable in accordance with the terms of the governing plan throughout the severance period.

	(d)
	Termination for Cause or resignation without Good Reason. Other than the termination obligations set forth in 4(c), there will be no
other payments or benefits due.

	(e)
	Survival. The expiration or termination of the Term shall not impair the rights or obligations of any party hereto, which shall have
accrued prior to such expiration or termination.

	(f)
	Mitigation of damages. In the event of any termination of the Executive's employment by the Company, any income earned by the Executive
from other employment or self-employment shall be offset against any obligation of the Company to the Executive under this Agreement. 

6.     Competition.  

	(a)
	The
Executive shall not, at any time during the Term or during the 12-month period following the later of the expiration of the Term or the Date of Termination directly or
indirectly engage in, have any equity interest in, or manage or operate any person, firm, corporation, 

6

 

partnership
or business (whether as director, officer, employee, agent, representative, partner, security holder, consultant or otherwise) whose business or business unit is a direct competitor of the
Company, i.e. Wafer Foundry, anywhere in the world provided, however, that the Executive shall be permitted to acquire a passive stock or equity
interest in such a business provided the stock or other equity interest acquired is not more than five percent (5%) of the outstanding interest in such business. 

	(b)
	During
the Term or during the term set forth in Section 6(a) whichever is longer, the Executive will not, and will not permit
any of his affiliates to, directly or indirectly, recruit or otherwise solicit or induce any employee, customer, subscriber or supplier of the Company to terminate its employment or arrangement with
the Company, otherwise change its relationship with the Company, or establish any relationship with the Executive or any of his affiliates for any business purpose deemed competitive with the business
of the Company.

	(c)
	In
the event the terms of this Section 6 shall be determined by any court of competent jurisdiction to be unenforceable by
reason of its extending for too great a period of time or over too great a geographical area or by reason of its being too extensive in any other respect, it will be interpreted to extend only over
the maximum period of time for which it may be enforceable, over the maximum geographical area as to which it may be enforceable, or to the maximum extent in all other respects as to which it may be
enforceable, all as determined by such court in such action.

	(d)
	As
used in this Section 6, the term "Company" shall include the Company, its parent, related entities, and any of its direct or
indirect subsidiaries. 

7.     Nondisclosure of Proprietary Information.  

	(a)
	Except
as required in the faithful performance of the Executive's duties hereunder or pursuant to Section 7(c), the Executive
shall, in perpetuity, maintain in confidence and shall not directly, indirectly or otherwise, use, disseminate, disclose or publish, or use for his benefit or the benefit of any person, firm,
corporation or other entity any confidential or proprietary information or trade secrets of or relating to the Company, including, without limitation, information with respect to the Company's
operations, processes, products, inventions, business practices, finances, principals, vendors, suppliers, customers, potential customers, marketing methods, costs, prices, contractual relationships,
regulatory status, compensation paid to employees or other terms of employment, or deliver to any person, firm, corporation or other entity any document, record, notebook, computer program or similar
repository of or containing any such confidential or proprietary information or trade secrets. The parties hereby stipulate and agree that as between them the foregoing matters are important, material
and confidential proprietary information and trade secrets and affect the successful conduct of the businesses of the Company (and any successor or assignee of the Company).

	(b)
	Upon
termination of the Executive's employment with the Company for any reason, the Executive will promptly deliver to the Company all correspondence, drawings, manuals, letters,
notes, notebooks, reports, programs, plans, proposals, financial documents, or any other documents concerning the Company's customers, business plans, marketing strategies, products or processes.

	(c)
	The
Executive may respond to a lawful and valid subpoena or other legal process but shall give the Company the earliest possible notice thereof, shall, as much in advance of the
return date as possible, make available to the Company and its counsel the documents and other information sought and shall assist such counsel in resisting or otherwise responding to such process. 

7

 

	(d)
	As
used in this Section 7, the term "Company" shall include the Company, its parent, related entities, and any of its direct or
indirect subsidiaries. 

8.     Inventions.  

        All rights to discoveries, inventions, improvements and innovations (including all data and records pertaining thereto) related to the Company's business, whether
or not patentable, copyrightable, registrable as a trademark, or reduced to writing, that the Executive may discover, invent or originate during his employment with the Company the Term, either alone
or with others and whether or not during working hours or by the use of the facilities of the Company ("Inventions"), shall be the exclusive property of the Company. The Executive shall promptly
disclose all Inventions to the Company, shall execute at the request of the Company any assignments or other documents the Company may deem necessary to protect or perfect its rights therein, and
shall assist the Company, at the Company's expense, in obtaining, defending and enforcing the Company's rights therein. The Executive hereby appoints the Company as his
attorney-in-fact to execute on his behalf any assignments or other documents deemed necessary by the Company to protect or perfect its rights to any Inventions. 

9.     Injunctive Relief.  

        It is recognized and acknowledged by the Executive that a breach of the covenants contained in Sections 6, 7 and 8
will cause irreparable damage to Company and its goodwill, the exact amount of which will be difficult or impossible to ascertain, and that the remedies at law for any such breach will be inadequate.
Accordingly, the Executive agrees that in the event of a breach of any of the covenants contained in Sections 6, 7 and 8, in addition to any other
remedy which may be available at law or in equity, the Company will be entitled to specific performance and injunctive relief. 

10.   Assignment and Successors.  

        The Company may assign its rights and obligations under this Agreement to any entity, including any successor to all or substantially all the assets of the
Company, by merger or otherwise, and may assign or encumber this Agreement and its rights hereunder as security for indebtedness of the Company and its affiliates. The Executive may not assign his
rights or obligations under this Agreement to any individual or entity. This Agreement shall be binding upon and inure to the benefit of the Company, the Executive and their respective successors,
assigns, personnel and legal representatives, executors, administrators, heirs, distributees, devisees, and legatees, as applicable. 

11.   Governing Law.  

        This Agreement shall be governed, construed, interpreted and enforced in accordance with the substantive laws of the state of California, without reference to the
principles of conflicts of law of California or any other jurisdiction, and where applicable, the laws of the United States. 

12.   Validity.  

        The invalidity or unenforceability of any provision or provisions of this Agreement shall not affect the validity or enforceability of any other provision of this
Agreement, which shall remain in full force and effect. 

8

 

13.   Notices.  

        Any notice, request, claim, demand, document and other communication hereunder to any party shall be effective upon receipt (or refusal of receipt) and shall be
in writing and delivered personally or sent by telex, telecopy, or certified or registered mail, postage prepaid, as follows: 

	(a)
	If
to the Company:

with
a copy to:

The
Carlyle Group

Bank of America Plaza, 25th Floor

101 Tryon Street

Charlotte, N.C. 28280

Fax: (704) 632-0299

Attn: Todd R. Newnam

and
a copy to:

Latham &
Watkins

555 Eleventh Street, N.W.

10th Floor

Washington, D.C. 20004

Fax: (202) 637-2201

Attn: Daniel T. Lennon 

	(b)
	If
to the Executive:

                                         
                 

                                         
                 

                                         
                  

        or
at any other address as any party shall have specified by notice in writing to the other party. 

14.   Counterparts.  

        This Agreement may be executed in several counterparts, each of which shall be deemed to be an original, but all of which together will constitute one and the
same Agreement. 

15.   Entire Agreement.  

        The terms of this Agreement and the other agreements and instruments contemplated hereby or referred to herein (collectively the "Related Agreements") are
intended by the parties to be the final expression of their agreement with respect to the employment of the Executive by the Company and may not be contradicted by evidence of any prior or
contemporaneous agreement. The parties further intend that this Agreement and the Related Agreements shall constitute the complete and exclusive statement of their terms and that no extrinsic evidence
whatsoever may be introduced in any judicial, administrative, or other legal proceeding to vary the terms of this Agreement and the Related Agreements. 

16.   Amendments; Waivers.  

        This Agreement may not be modified, amended, or terminated except by an instrument in writing, signed by the Executive and a duly authorized officer of Company.
By an instrument in writing similarly executed, the Executive or a duly authorized officer of the Company may waive compliance by the other party or parties with any provision of this Agreement that
such other party was or is obligated to comply with or perform, provided, however, that such waiver shall not operate as a waiver of, or 

9

 

estoppel
with respect to, any other or subsequent failure. No failure to exercise and no delay in exercising any right, remedy, or power hereunder preclude any other or further exercise of any other
right, remedy, or power provided herein or by law or in equity. 

17.   No Inconsistent Actions.  

        The parties hereto shall not voluntarily undertake or fail to undertake any action or course of action inconsistent with the provisions or essential intent of
this Agreement. Furthermore, it is the intent of the parties hereto to act in a fair and reasonable manner with respect to the interpretation and application of the provisions of this Agreement. 

18.   Construction.  

        This Agreement shall be deemed drafted equally by both the parties. Its language shall be construed as a whole and according to its fair meaning. Any presumption
or principle that the language is to be construed against any party shall not apply. The headings in this Agreement are only for convenience and are not intended to affect construction or
interpretation. Any references to paragraphs, subparagraphs, sections or subsections are to those parts of this Agreement, unless the context clearly indicates to the contrary. Also, unless the
context clearly indicates to the contrary, (a) the plural includes the singular and the singular includes the plural; (b) "and" and "or" are each used both conjunctively and
disjunctively; (c) "any," "all," "each," or "every" means "any and all," and "each and every"; (d) "includes" and "including" are each "without limitation"; (e) "herein,"
"hereof," "hereunder" and other similar compounds of the word "here" refer to the entire Agreement and not to any particular paragraph, subparagraph, section or subsection; and (f) all pronouns
and any variations thereof shall be deemed to refer to the masculine, feminine, neuter, singular or plural as the identity of the entities or persons referred to may require. 

19.   Arbitration.  

        Any dispute or controversy arising under or in connection with this Agreement shall be settled exclusively by arbitration, conducted before an arbitrator in
[Newport Beach, California] in accordance with the rules of the American Arbitration Association then in effect. Judgment may be entered on the arbitration award in any court
having jurisdiction, provided, however, that the Company shall be entitled to seek a restraining order or injunction in any court of competent jurisdiction to prevent any continuation of any violation
of the provisions of Sections 6, 7 or 8 of the Agreement and the Executive hereby consents that such restraining order or injunction may be granted
without requiring the Company to post a bond. Only individuals who are (i) lawyers engaged fulltime in the practice of law; and (ii) on the AAA register of arbitrators shall be selected
as an arbitrator. Within 20 days of the conclusion of the arbitration hearing, the arbitrator shall prepare written findings of fact and conclusions of law. It is mutually agreed that the
written decision of the arbitrator shall be valid, binding, final and non-appealable, provided however, that the parties hereto agree that the arbitrator shall not be empowered to award
punitive damages against any party to such arbitration. The arbitrator shall require the non-prevailing party to pay the arbitrator's full fees and expenses or, if in the arbitrator's
opinion there is no prevailing party, the arbitrator's fees and expenses will be borne equally by the parties thereto. In the event action is brought to enforce the provisions of this Agreement
pursuant to this Section 19, the non-prevailing parties shall be required to pay the reasonable attorney's fees and expenses of the
prevailing parties, except that if in the opinion of the court or arbitrator deciding such action there is no prevailing party, each party shall pay its own attorney's fees and expenses. 

10

 

20.   Enforcement.  

        If any provision of this Agreement is held to be illegal, invalid or unenforceable under present or future laws effective during the term of this Agreement, such
provision shall be fully severable; this Agreement shall be construed and enforced as if such illegal, invalid or unenforceable provision had never comprised a portion of this Agreement; and the
remaining provisions of this Agreement shall remain in full force and effect and shall not be affected by the illegal, invalid or unenforceable provision or by its severance from this Agreement.
Furthermore, in lieu of such illegal, invalid or unenforceable provision there shall be added automatically as part of this Agreement a provision as similar in terms to such illegal, invalid or
unenforceable provision as may be possible and be legal, valid and enforceable. 

21.   Withholding.  

        The Company shall be entitled to withhold from any amounts payable under this Agreement any federal, state, local or foreign withholding or other taxes or charges
which the Company is required to withhold. The Company shall be entitled to rely on an opinion of counsel if any questions as to the amount or requirement of withholding shall arise. 

22.   Employee Acknowledgement.  

        The Executive acknowledges that he has read and understands this Agreement, is fully aware of its legal effect, has not acted in reliance upon any representations
or promises made by the Company other than those contained in writing herein, and has entered into this Agreement freely based on his own judgment. 

11

        IN
WITNESS WHEREOF, the parties have executed this Agreement on the date and year first above written. 

	 	 	COMPANY
	

 	
 	
By:	

 Name:

Title:
	

 	
 	
EXECUTIVE
	

 	
 	

By:	

 Name:

Jazz Semiconductor, Inc.

Schedule of Employment Agreements  

	Section

Reference
	 	Agreement for

Mark Becker
	 	Agreement for

Paul Kempf
	 	Agreement for

Shu Li*
	 	Agreement for

Daniel Lynch
	 	Agreement for

Scott Silcock
	 	Agreement for

Theodore Zhu

	First

Paragraph	 	Mark Becker	 	Paul Kempf	 	Shu Li	 	Daniel Lynch	 	Scott Silcock	 	Theodore Zhu
	

1(j)(i)(A) and 2(c) - 1st blank	
 	

Vice President and Chief Financial Officer	
 	

Vice President and Chief Technology Officer	
 	

Chief Executive Officer	
 	

Vice President — Human Resources	
 	

Vice President — Manufacturing	
 	

Vice President — Strategy and Business Development
	

2(c) - 2nd blank and 2(c) - 3rd blank	
 	

Chief Executive Officer	
 	

Chief Executive Officer	
 	

Board	
 	

Chief Executive Officer	
 	

Chief Executive Officer	
 	

Chief Executive Officer
	

3(a)	
 	

$200,000	
 	

$205,555	
 	

$325,000	
 	

$153,000	
 	

$155,000	
 	

$160,000
	

3(b)	
 	

$30,000	
 	

$19,445	
 	

$75,000	
 	

$22,000	
 	

$30,000	
 	

$25,000
	

3(c)	
 	

100% (50% Target)	
 	

100% (50% Target)	
 	

150% (target of 75%)	
 	

100% (50% Target)	
 	

100% (50% Target)	
 	

100% (50% Target)
	

4(d)(ii)	
 	

$160,000	
 	

$75,000	
 	

$350,000	
 	

$50,000	
 	

$40,000	
 	

$50,000
	

5(b)(i)	
 	

six (6) months	
 	

six (6) months	
 	

one (1) year	
 	

six (6) months	
 	

six (6) months	
 	

six (6) months
	

5(c)(i) and 5(c)(ii)	
 	

one (1) year	
 	

one (1) year	
 	

two (2) years	
 	

one (1) year	
 	

one (1) year	
 	

one (1) year
	

5(c)(iii)	
 	

one (1) time	
 	

one (1) time	
 	

two (2) times	
 	

one (1) time	
 	

one (1) time	
 	

one (1) time
	

Company signature block	
 	

\s\ SHU LI

Shu Li, CEO,

Specialtysemi, Inc.	
 	

\s\ SHU LI

Shu Li, CEO,

Specialtysemi, Inc.	
 	

\s\ BRADLEY W. YATES, SR.

Bradley W. Yates, Sr. Vice President, Human Resources, Conexant	
 	

\s\ SHU LI

Shu Li, CEO,

Specialtysemi, Inc.	
 	

\s\ SHU LI

Shu Li, CEO,

Specialtysemi, Inc.	
 	

\s\ SHU LI

Shu Li, CEO,

Specialtysemi, Inc.
	

Executive signature block	
 	

\s\ MARK BECKER

Mark Becker	
 	

\s\ PAUL KEMPF

Paul Kempf	
 	

\s\ SHU LI

Shu Li	
 	

\s\ DANIEL LYNCH

Daniel Lynch	
 	

\s\ SCOTT SILCOCK

Scott Silcock	
 	

\s\ THEODORE ZHU

Theodore Zhu

	*
	Agreement
for Shu Li also contains the following Section 5(g):

	(g)
	Reduction in payments. Notwithstanding any other provision of this Agreement, if any payment or benefit from the Company would be subject
to the Excise Tax, the Executive shall (or if he does not, the Company shall) designate which payments or benefits or portion thereof shall be reduced to the extent necessary so that no portion
thereof shall be subject to Code Section 4999; but only if, by reason of such reduction, the Net After Tax Benefit is greater than the Net After Tax Benefit that would exist if the reduction
were not made, all as determined by an accounting firm selected by the Company subject to the approval of the Executive (such approval not to be withheld unreasonably). 

QuickLinks

Exhibit 10.32

Form of Employment Agreement

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00060-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00060-of-00352.parquet"}]]