Document:

Exhibit 10.1

EXHIBIT 10.1

ABINGTON BANK

EMPLOYMENT AGREEMENT

This EMPLOYMENT AGREEMENT (this “Agreement”), is made and entered into as of the 4th day of August,
2009, between Abington Savings Bank, a Pennsylvania chartered, stock-form savings bank doing
business as “Abington Bank” (the “Bank” or the “Employer”), and Thomas J. Wasekanes (the
“Executive”).

WITNESSETH

WHEREAS, the Executive is currently employed as Senior Vice President and Chief Lending
Officer of the Bank; and

WHEREAS, the Bank desires to be ensured of the Executive’s continued participation in the
business of the Bank;

NOW THEREFORE, in consideration of the premises and mutual agreements herein contained, the
Bank and the Executive hereby agree as follows:

1. Definitions. The following words and terms shall have the meanings set forth below for the
purposes of this Agreement:

(a) Base Salary. “Base Salary” shall have the meaning set forth in Section 3(a) hereof.

(b) Cause. Termination by the Employer of the Executive’s employment for “Cause” shall mean
termination because of personal dishonesty, incompetence, willful misconduct, breach of fiduciary
duty involving personal profit, intentional failure to perform stated duties, willful violation of
any law, rule or regulation (other than traffic violations or similar offenses) or final
cease-and-desist order, willful conduct which is materially detrimental (monetarily or otherwise)
to the Employer or material breach of any provision of this Agreement.

(c) Change in Control. “Change in Control” shall mean a change in the ownership of the
Corporation or the Bank, a change in the effective control of the Corporation or the Bank or a
change in the ownership of a substantial portion of the assets of the Corporation or the Bank, in
each case as provided under Section 409A of the Code and the regulations thereunder.

(d) Code. “Code” shall mean the Internal Revenue Code of 1986, as amended.

(e) Corporation. “Corporation” shall mean Abington Bancorp, Inc., a Pennsylvania corporation,
or any successor thereto.

(f) Date of Termination. “Date of Termination” shall mean (i) if the Executive’s employment
is terminated for Cause, the date on which the Notice of Termination is given, and (ii) if the
Executive’s employment is terminated for any other reason, the date specified in such Notice of
Termination.

 

 

(g) Disability. “Disability” shall mean the Executive (i) is unable to engage in any
substantial gainful activity by reason of any medically determinable physical or mental impairment
which
can be expected to result in death or can be expected to last for a continuous period of not
less than 12 months, or (ii) is, by reason of any medically determinable physical or mental
impairment which can be expected to result in death or can be expected to last for a continuous
period of not less than 12 months, receiving income replacement benefits for a period of not less
than three months under an accident and health plan covering employees of the Employer.

(h) Good Reason. Termination by the Executive of the Executive’s employment for “Good Reason”
shall mean termination by the Executive based on the occurrence of any of the following events:

	 	(i)	 	any material breach of this Agreement by the Employer,
including without limitation any of the following: (A) a material diminution in
the Executive’s base compensation, (B) a material diminution in the Executive’s
authority, duties or responsibilities, or (C) a material diminution in the
authority, duties or responsibilities of the officer to whom the Executive is
required to report, or

	 	(ii)	 	any material change in the geographic location at which the
Executive must perform his services under this Agreement;

provided, however, that prior to any termination of employment for Good Reason, the Executive must
first provide written notice to the Employer within ninety (90) days of the initial existence of
the condition, describing the existence of such condition, and the Employer shall thereafter have
the right to remedy the condition within thirty (30) days of the date the Employer received the
written notice from the Executive. If the Employer remedies the condition within such thirty (30)
day cure period, then no Good Reason shall be deemed to exist with respect to such condition. If
the Employer does not remedy the condition within such thirty (30) day cure period, then the
Executive may deliver a Notice of Termination for Good Reason at any time within sixty (60) days
following the expiration of such cure period.

(i) IRS. “IRS” shall mean the Internal Revenue Service.

(j) Notice of Termination. Any purported termination of the Executive’s employment by the
Employer for any reason, including without limitation for Cause, Disability or Retirement, or by
the Executive for any reason, including without limitation for Good Reason, shall be communicated
by a written “Notice of Termination” to the other party hereto. For purposes of this Agreement, a
“Notice of Termination” shall mean a dated notice which (i) indicates the specific termination
provision in this Agreement relied upon, (ii) sets 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, (iii) specifies a Date of Termination, which shall be not less than fifteen
(15) nor more than ninety (90) days after such Notice of Termination is given, except in the case
of the Employer’s termination of the Executive’s employment for Cause, which shall be effective
immediately; and (iv) is given in the manner specified in Section 10 hereof.

(k) Retirement. “Retirement” shall mean voluntary termination by the Executive in accordance
with the Employer’s retirement policies, including early retirement, generally applicable to the
Employer’s salaried employees.

2. Term of Employment.

(a) The Employer hereby employs the Executive as Senior Vice President and Chief Lending
Officer, and the Executive hereby accepts said employment and agrees to render such services to the
Employer on the terms and conditions set forth in this Agreement. Subject to the terms hereof, this
Agreement shall terminate three (3) years after January 1, 2009 (the “Commencement Date”).
Beginning on the day which is one year subsequent to the Commencement Date, and on each annual

 

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anniversary thereafter, the term of this Agreement shall be extended for a period of one additional year provided that the
Employer has not given notice to the Executive in writing at least 30 days prior to such day that
the term of this Agreement shall not be extended further and/or the Executive has not given notice
to the Employer of his election not to extend the term at least thirty (30) days prior to any such
anniversary date. If any party gives timely notice that the term will not be extended as of any
such annual anniversary date, then this Agreement shall terminate at the conclusion of its
remaining term. References herein to the term of this Agreement shall refer both to the initial
term and successive terms.

(b) During the term of this Agreement, the Executive shall perform such executive services for
the Employer as is consistent with his title of Senior Vice President and from time to time
assigned to him by the Employer’s Board of Directors.

3. Compensation and Benefits.

(a) The Employer shall compensate and pay the Executive for his services during the term of
this Agreement at a minimum base salary of $121,000 per year (“Base Salary”), which may be
increased from time to time in such amounts as may be determined by the Board of Directors of the
Employer and may not be decreased without the Executive’s express written consent. In addition to
his Base Salary, the Executive shall be entitled to receive during the term of this Agreement such
bonus payments as may be determined by the Board of Directors of the Employer.

(b) During the term of this Agreement, the Executive shall be entitled to participate in and
receive the benefits of any pension or other retirement benefit plan, profit sharing, stock option,
employee stock ownership, or other plans, benefits and privileges given to employees and executives
of the Employer, to the extent commensurate with his then duties and responsibilities, as fixed by
the Board of Directors of the Employer. The Employer shall not make any changes in such plans,
benefits or privileges which would adversely affect the Executive’s rights or benefits thereunder,
unless such change occurs pursuant to a program applicable to all executive officers of the
Employer and does not result in a proportionately greater adverse change in the rights of or
benefits to the Executive as compared with any other executive officer of the Employer. Nothing
paid to the Executive under any plan or arrangement presently in effect or made available in the
future shall be deemed to be in lieu of the salary payable to the Executive pursuant to Section
3(a) hereof.

(c) During the term of this Agreement, the Executive shall be entitled to paid annual vacation
in accordance with the policies as established from time to time by the Board of Directors of the
Employer. The Executive shall not be entitled to receive any additional compensation from the
Employer for failure to take a vacation, nor shall the Executive be able to accumulate unused
vacation time from one year to the next, except to the extent authorized by the Board of Directors
of the Employer.

4. Expenses. The Employer shall reimburse the Executive or otherwise provide for or pay for
all reasonable expenses incurred by the Executive in furtherance of, or in connection with the
business of the Employer, including, but not by way of limitation, automobile and traveling
expenses, subject to such reasonable documentation and other limitations as may be established by
the Board of Directors of the Employer. If such expenses are paid in the first instance by the
Executive, the Employer shall reimburse the Executive therefor. Such reimbursement shall be paid
promptly by the Employer and in any event no later than March 15 of the year immediately following
the year in which such expenses were incurred.

5. Termination.

(a) General. The Employer shall have the right, at any time upon prior Notice of Termination,
to terminate the Executive’s employment hereunder for any reason, including without limitation
termination
for Cause, Disability or Retirement, and the Executive shall have the right, upon prior Notice of
Termination, to terminate his employment hereunder for any reason.

 

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(b) Termination for Cause or Voluntary Resignation. In the event that (i) the Executive’s
employment is terminated by the Employer for Cause, or (ii) the Executive terminates his employment
hereunder other than for Good Reason, the Executive shall have no right pursuant to this Agreement
to compensation or other benefits for any period after the applicable Date of Termination.

(c) Termination Due to Disability, Retirement or Death. In the event that the Executive’s
employment is terminated as a result of Disability, Retirement or the Executive’s death during the
term of this Agreement, the Executive shall have no right pursuant to this Agreement to
compensation or other benefits for any period after the applicable Date of Termination.

(d) Involuntary or Good Reason Termination Prior to a Change in Control. In the event that
(i) the Executive’s employment is terminated by the Employer for other than Cause, Disability,
Retirement or the Executive’s death or (ii) such employment is terminated by the Executive for Good
Reason, in each case prior to a Change in Control, then the Employer shall:

(A) pay to the Executive in a lump sum as of the Date of Termination, a cash severance
amount equal to the product of two (2) times (i) the Executive’s then current Base Salary,
and (ii) the cash bonus paid to the Executive by the Employer for the calendar year
preceding the Date of Termination; and

(B) maintain and provide for a period ending at the earlier of (i) twenty-four (24)
months subsequent to the Date of Termination or (ii) the date of the Executive’s full-time
employment by another employer (provided that the Executive is entitled under the terms of
such employment to benefits substantially similar to those described in this subparagraph
(B)), with the Executive responsible for paying the same share of any premiums, co-payments
or deductibles as if he was still an employee, the Executive’s continued participation in
all group insurance, life insurance, health and accident, and disability insurance coverage
offered by the Employer in which the Executive was participating immediately prior to the
Date of Termination; provided that any insurance premiums payable by the Employer or any
successors pursuant to this Section 5(d)(B) shall be payable at such times and in such
amounts as if the Executive was still an employee of the Employer, subject to any increases
in such amounts imposed by the insurance company or COBRA, and the amount of insurance
premiums required to be paid by the Employer in any taxable year shall not affect the amount
of insurance premiums required to be paid by the Employer in any other taxable year; and
provided further that if the Executive’s participation in any group insurance plan is
barred, the Employer shall arrange to provide the Executive with insurance benefits
substantially similar to those which the Executive was entitled to receive under such group
insurance plan at no additional cost to the Executive; and

(C) pay to the Executive, in a lump sum as of the Date of Termination, a cash amount
equal to the projected cost to the Employer of providing benefits to the Executive for a
period of twenty-four (24) months pursuant to any other employee benefit plans, programs or
arrangements offered by the Employer in which the Executive was entitled to participate
immediately prior to the Date of Termination (other than cash bonus plans, retirement plans
or stock compensation plans of the Employer or the Corporation), with the projected cost to
the Employer to be based on the costs incurred for the calendar year immediately preceding
the year in which the Date of Termination occurs and with any automobile-related costs to
exclude any depreciation on Bank-owned automobiles.

 

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(e) Involuntary or Good Reason Termination Concurrently with or Subsequent to a Change in
Control. In the event that (i) the Executive’s employment is terminated by the Employer for other
than Cause, Disability, Retirement or the Executive’s death or (ii) such employment is terminated
by the Executive for Good Reason, in each case either concurrently with or within two years
subsequent to a Change in Control, then the Employer shall, subject to the provisions of Section 6
hereof, if applicable,

(A) pay to the Executive, in a lump sum as of the Date of Termination, a cash severance
amount equal the product of three (3) times (i) the Executive’s then current Base Salary,
and (ii) the cash bonus paid to the Executive by the Employer for the calendar year
preceding the Date of Termination; and

(B) maintain and provide for a period ending at the earlier of (i) thirty-six (36)
months subsequent to the Date of Termination or (ii) the date of the Executive’s full-time
employment by another employer (provided that the Executive is entitled under the terms of
such employment to benefits substantially similar to those described in this subparagraph
(B)), with the Executive responsible for paying the same share of any premiums, co-payments
or deductibles as if he was still an employee, the Executive’s continued participation in
all group insurance, life insurance, health and accident, and disability insurance coverage
offered by the Employer in which the Executive was participating immediately prior to the
Date of Termination; provided that any insurance premiums payable by the Employer or any
successors pursuant to this Section 5(e)(B) shall be payable at such times and in such
amounts as if the Executive was still an employee of the Employer, subject to any increases
in such amounts imposed by the insurance company or COBRA, and the amount of insurance
premiums required to be paid by the Employer in any taxable year shall not affect the amount
of insurance premiums required to be paid by the Employer in any other taxable year; and
provided further that if the Executive’s participation in any group insurance plan is
barred, the Employer shall arrange to provide the Executive with insurance benefits
substantially similar to those which the Executive was entitled to receive under such group
insurance plan at no additional cost to the Executive; and

(C) pay to the Executive, in a lump sum as of the Date of Termination, a cash amount
equal to the projected cost to the Employer of providing benefits to the Executive for a
period of thirty-six (36) months pursuant to any other employee benefit plans, programs or
arrangements offered by the Employer in which the Executive was entitled to participate
immediately prior to the Date of Termination (other than cash bonus plans, retirement plans
or stock compensation plans of the Employer or the Corporation), with the projected cost to
the Employer to be based on the costs incurred for the calendar year immediately preceding
the year in which the Date of Termination occurs and with any automobile-related costs to
exclude any depreciation on Bank-owned automobiles.

6. Limitation of Benefits under Certain Circumstances. If the payments and benefits pursuant
to Section 5 hereof, either alone or together with other payments and benefits which the Executive
has the right to receive from the Employer, would constitute a “parachute payment” under Section
280G of the Code, then the payments and benefits payable by the Employer pursuant to Section 5
hereof shall be reduced by the minimum amount necessary to result in no portion of the payments and
benefits under Section 5 being non-deductible to the Employer pursuant to Section 280G of the Code
and subject to the excise tax imposed under Section 4999 of the Code. If the payments and benefits
under Section 5 are required to be reduced, the cash severance shall be reduced first, followed by
a reduction in the fringe benefits. The determination of any reduction in the payments and
benefits to be made pursuant to Section 5 shall be based upon the opinion of independent tax
counsel selected by the Employer and paid by the Employer. Such counsel shall promptly prepare the
foregoing opinion, but in no event later than ten (10) days from the Date of Termination, and may
use such actuaries as such counsel deems necessary or advisable for the purpose.
Nothing contained herein shall result in a reduction of any payments or benefits to which the
Executive may be entitled upon termination of employment under any circumstances other than as
specified in this Section 6, or a reduction in the payments and benefits specified in Section 5
below zero.

 

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7. Mitigation; Exclusivity of Benefits.

(a) The Executive shall not be required to mitigate the amount of any benefits hereunder by
seeking other employment or otherwise, nor shall the amount of any such benefits be reduced by any
compensation earned by the Executive as a result of employment by another employer after the Date
of Termination or otherwise, except as set forth in Sections 5(d)(B)(ii) and 5(e)(B)(ii) hereof.

(b) The specific arrangements referred to herein are not intended to exclude any other
benefits which may be available to the Executive upon a termination of employment with the Employer
pursuant to employee benefit plans of the Employer or otherwise.

8. Withholding. All payments required to be made by the Employer hereunder to the Executive
shall be subject to the withholding of such amounts, if any, relating to tax and other payroll
deductions as the Employer may reasonably determine should be withheld pursuant to any applicable
law or regulation.

9. Assignability. The Employer may assign this Agreement and its rights and obligations
hereunder in whole, but not in part, to any corporation, bank or other entity with or into which
the Employer may hereafter merge or consolidate or to which the Employer may transfer all or
substantially all of its assets, if in any such case said corporation, bank or other entity shall
by operation of law or expressly in writing assume all obligations of the Employer hereunder as
fully as if it had been originally made a party hereto, but may not otherwise assign this Agreement
or its rights and obligations hereunder. The Executive may not assign or transfer this Agreement
or any rights or obligations hereunder.

10. Notice. For the purposes of this Agreement, notices and all other communications provided
for in this Agreement shall be in writing and shall be deemed to have been duly given when
delivered or mailed by certified or registered mail, return receipt requested, postage prepaid,
addressed to the respective addresses set forth below:

	 	 	 	 	 
	 

	 	To the Employer:
	 	Board of Directors
	 

	 	 	 	Abington Savings Bank
	 

	 	 	 	180 Old York Road
	 

	 	 	 	Jenkintown, Pennsylvania
	 
	 	 	 	 
	 

	 	To the Executive:
	 	Thomas J. Wasekanes
	 

	 	 	 	At the address last appearing on the
	 

	 	 	 	personnel records of the Employer

11. Amendment; Waiver. No provisions of this Agreement may be modified, waived or discharged
unless such waiver, modification or discharge is agreed to in writing and signed by the Executive
and such officer or officers as may be specifically designated by the Board of Directors of the
Employer to sign on its behalf. No waiver by any party hereto at any time of any breach by any
other party hereto of, or compliance with, any condition or provision of this Agreement to be
performed by such other party shall be deemed a waiver of similar or dissimilar provisions or
conditions at the same or at any prior or subsequent time. In addition, notwithstanding anything
in this Agreement to the contrary, the Bank may amend in good faith any terms of this Agreement,
including retroactively, in order to comply with Section 409A of the Code.

 

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12. Governing Law. The validity, interpretation, construction and performance of this
Agreement shall be governed by the laws of the United States where applicable and otherwise by the
substantive laws of the Commonwealth of Pennsylvania.

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

14. Arbitration. Any controversy or claim arising out of or relating to this Agreement, or
the breach thereof, shall be settled by arbitration in accordance with the rules then in effect for
the American Arbitration Association, Philadelphia, Pennsylvania, and judgment upon the award
rendered may be entered in any court having jurisdiction thereof.

15. Nature of Obligations. Nothing contained herein shall create or require the Employer to
create a trust of any kind to fund any benefits which may be payable hereunder, and to the extent
that the Executive acquires a right to receive benefits from the Employer hereunder, such right
shall be no greater than the right of any unsecured general creditor of the Employer.

16. Headings. The section headings contained in this Agreement are for reference purposes
only and shall not affect in any way the meaning or interpretation of this Agreement.

17. Changes in Statutes or Regulations. If any statutory or regulatory provision referenced
herein is subsequently changed or re-numbered, or is replaced by a separate provision, then the
references in this Agreement to such statutory or regulatory provision shall be deemed to be a
reference to such section as amended, re-numbered or replaced.

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

19. Regulatory Prohibition. Notwithstanding any other provision of this Agreement to the
contrary, any payments made to the Executive pursuant to this Agreement, or otherwise, are subject
to and conditioned upon their compliance with Section 18(k) of the FDIA (12 U.S.C. §1828(k)) and
the regulations promulgated thereunder, including 12 C.F.R. Part 359. In the event of the
Executive’s termination of employment with the Bank for Cause, all employment relationships and
managerial duties with the Bank shall immediately cease regardless of whether the Executive is in
the employ of the Corporation following such termination. Furthermore, following such termination
for Cause, the Executive will not, directly or indirectly, influence or participate in the affairs
or the operations of the Bank.

20. Payment of Costs and Legal Fees and Reinstatement of Benefits. In the event any dispute
or controversy arising under or in connection with the Executive’s termination is resolved in favor
of the Executive, whether by judgment, arbitration or settlement, the Executive shall be entitled
to the payment of (a) all legal fees incurred by the Executive in resolving such dispute or
controversy, and (b) any back-pay, including Base Salary, bonuses and any other cash compensation,
fringe benefits and any compensation and benefits due to the Executive under this Agreement, within
thirty (30) days following the date such judgment, arbitration or settlement becomes final and
non-appealable.

21. Entire Agreement. This Agreement embodies the entire agreement between the Employer and
the Executive with respect to the matters agreed to herein. All prior agreements between the
Employer and the Executive with respect to the matters agreed to herein are hereby superseded and
shall have no force or effect.

 

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IN WITNESS WHEREOF, this Agreement is effective as of the date first written above.

THIS AGREEMENT CONTAINS A BINDING ARBITRATION PROVISION WHICH MAY BE ENFORCED BY THE PARTIES.

	 	 	 	 	 	 	 	 	 
	Attest	 	 	 	ABINGTON SAVINGS BANK	 	 
	 
	 	 	 	 	 	 	 	 
	/s/ Frank Kovalcheck
 

	 	 	 	By:
	 	/s/ Robert W. White
 

Robert W. White
	 	 
	 

	 	 	 	 	 	President and Chief Executive Officer	 	 
	 
	 	 	 	 	 	 	 	 
	 	 	 	 	EXECUTIVE	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	By:
	 	/s/ Thomas J. Wasekanes	 	 
	 

	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	Thomas J. Wasekanes	 	 

 

8exv10w1

Exhibit 10.1

FOURTH AMENDED EXECUTIVE EMPLOYMENT AGREEMENT

This Fourth Amended Executive Employment Agreement (the “Agreement”) is entered into by and between
IXYS Corporation (the “Company”), a Delaware corporation, and Nathan Zommer (“Executive”),
effective as of August 1, 2009 (the “Effective Date”).

WITNESSETH

WHEREAS, the Company and the Executive are parties to that certain Third Amended Executive
Employment Agreement effective as of February 1, 2008, which is modified and superseded by this
Fourth Amended Executive Employment Agreement; and

WHEREAS, the Company desires to continue and extend the employment of Executive under mutually
satisfactory terms and conditions, and the Executive desires to be employed by the Company, under
the terms and conditions herein.

NOW, THEREFORE, in consideration of the mutual covenants and agreements set forth herein and for
other good and valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, the parties hereto agree as follows:

1. EMPLOYMENT BY THE COMPANY. The Company hereby employs Executive to render full-time services to
the Company as its Chief Executive Officer. Executive shall have responsibilities, duties and
authorities that are customarily associated with such position, and such duties that are assigned
by the Company’s Board of Directors (the “Board”). The Executive acknowledges that the Board may
delegate to a committee of the Board any matter referred to in this Agreement as being for the
Board’s determination.

2. COMPENSATION, VACATION AND BENEFITS.

2.1 The Company agrees to pay Executive an annual base salary in the amount of $566,000,
payable every two weeks. Notwithstanding the foregoing, with the Executive’s consent, such
salary may be temporarily reduced as part of a salary reduction program affecting multiple
employees. The Executive shall be considered for an annual performance bonus on such terms
and conditions as the Board shall determine in its sole discretion. The Executive’s
performance, and his base salary and bonus arrangement will be reviewed by the Board from
time to time, as the Board determines in its sole discretion.

2.2 Executive’s paychecks will be distributed pursuant to ordinary business practice, and
shall be subject to ordinary payroll deductions and tax withholdings. The Company also
agrees to provide Executive with benefits consistent with Company policy for senior
executives. Details about these benefits are set forth in the employee handbook and
summary plan descriptions, copies of which have been provided to Executive. Unless the
context otherwise requires, as used in this Agreement, “benefits” does not include any
rights to the Company’s equity securities (whether stock options, restricted stock units,
stock awards or other).

2.3 In addition to the benefits provided to Executive pursuant to subsections 2.1 and 2.2
hereof, the Company shall:

 

 

(a) pay, or reimburse Executive, for all reasonable costs of a yearly medical exam
of Executive by a physician of his choice prior to the 15th day of the
third month following the end of the applicable fiscal year with respect to which
such amount is payable;

(b) maintain term life insurance (without a buildup of equity) in the amount of
$1,000,000 on the life of the Executive payable to such beneficiary or
beneficiaries as Executive may designate from time to time;

(c) pay, or reimburse Executive, for the services of a personal tax and/or
investment advisor, not to exceed $2,000 per year, prior to the 15th day
of the third month following the end of the applicable fiscal year with respect to
which such amount is payable;

(d) at the Board’s discretion, either (i) provide Executive with a car of such make
and model as Executive and Board shall agree is commensurate with Executive’s
position with the Company, including gas, insurance for such car and reasonable
maintenance thereof or (ii) pay Executive a monthly allowance for a car on an
economic basis comparable to (i); provided, however, that Executive shall at all
times (x) comply with all policies of the Company from time to time in effect with
respect to the maintenance and operation of motor vehicles, and (y) maintain a
valid driver’s license;

(e) provide Executive with up to 10 hours per month of bill paying and bookkeeping
services in connection with the payment of the personal bills of Executive (but in
no event shall the funds of the Company be used to pay the personal bills of
Executive): and

(f) provide Executive with annual vacation during each year in an amount equal to
the sum of (i) 15 working days and (ii) 1/2 working day for each full year of
service by the Executive at the Company after June 1, 2003.

3. EMPLOYEE HANDBOOK. By signing this Agreement, Executive acknowledges that he has received and
read the Company’s employee handbook. Executive agrees to abide by all company policies and
procedures. Notwithstanding the foregoing, if there shall be any conflict between this Agreement
and such employee handbook, the terms of this Agreement shall govern.

4. TERMINATION OF EMPLOYMENT.

4.1 AT WILL. This Agreement does not provide for a minimum term of employment and
Executive may be terminated by the Company at will.

4.2 COMPANY INITIATED TERMINATION.

(a) In the event the Company terminates Executive’s employment without cause, but
not for reasons of Disability or death, Executive shall receive as severance a
one-time payment equal to one month of his then annual salary multiplied by the
number of calendar years (a fraction of a year shall be paid on a prorated basis),
but not to exceed a total of twelve months, of Executive’s service with the
Company, payable within fifteen (15) days of such termination or such longer period
of time that Executive has to make effective the release required by this Section
4.2 (a). In addition, the Company shall pay in one

2.

 

lump sum the amounts payable pursuant to COBRA for Executive’s health insurance for
the twelve calendar months following such termination. No other benefits or
payments shall be provided. The Company’s obligation to make any payment or
provide any benefit under this Section 4.2 (a) is conditioned upon the execution
and delivery by the Executive of a release in favor of the Company. For purposes
of this Agreement, termination of Executive’s employment shall mean “separation
from service” within the meaning of Section 409A of the Internal Revenue Code of
1986, as amended (the “Code”), and Section 1.409A-1(h) of the regulations
promulgated under the Code or any successor regulations.

(b) In the event Executive’s employment is terminated at any time with cause, all
of Executive’s compensation and benefits will cease immediately, and Executive
shall not be entitled to any severance benefits and all other benefits provided
hereunder shall cease as of such termination. For purposes of this Agreement,
“cause” shall mean (i) conviction of any felony or any crime involving moral
turpitude or dishonesty; (ii) participation in a fraud or act of dishonesty against
the Company; (iii) willful breach of the Company’s policies; (iv) intentional
damage to the Company’s property; or (v) breach of this Agreement, the Proprietary
Information Agreement, or any other agreements with the Company including, but not
limited to agreements regarding confidentiality or proprietary information.
Physical or mental disability shall not constitute “cause”. Failure to accomplish
corporate financial and management goals shall not constitute “cause”.

(c) In the event Executive suffers and continues to suffer a disability that
renders him unable to perform the essential functions of his position, for three
months within any six-month period (“Disability”), the Company shall, for twelve
months commencing at the conclusion of such three-month period of disability, (i)
continue to pay Executive his annual base salary, (ii) continue to provide
Executive’s health insurance and (ii) maintain life insurance in the manner and in
the amount set forth in Section 2.3(b) hereof. If upon the conclusion of the
twelve-month period, Executive remains unable to perform the essential functions of
the job, or the Company has no suitable vacant position for him, Executive’s
employment shall be terminated.

4.3 EXECUTIVE INITIATED TERMINATION. Executive may voluntarily terminate his employment
with the Company at any time by giving the Board 60 days written notice. In the event
Executive voluntarily terminates his employment with the Company, all of Executive’s
compensation and benefits will cease as of such termination date. Executive acknowledges
that he will not receive any severance pay or benefits, except as defined in the Employee
Handbook, and except as specified in this Agreement at Section 5.2 if applicable, upon such
voluntary termination.

4.4 LIMITATION ON COMPENSATION. Except as expressly provided in Section 4.2 or Section
5.2, Executive will not be entitled to any other compensation, severance, pay-in-lieu of
notice or any such compensation.

5. CHANGE OF CONTROL.

5.1 DEFINITIONS.

For purposes of this Agreement, a “Change of Control” shall mean:

3.

 

(a) any reorganization, consolidation or merger of the Company in which the Company
is not the surviving corporation or pursuant to which shares of the Company’s
voting stock would be converted into cash, securities or other property, in either
case other than a merger of the Company in which the holders of the Company’s
voting stock immediately prior to the merger have the same proportionate ownership
of voting stock of the surviving corporation immediately after the merger;

(b) the sale, exchange or other transfer (in one transaction or a series of related
transactions) to a third party not affiliated as of the date of this Agreement with
the Company of at least a majority of the voting stock of the Company; or

(c) the sale, lease, exchange or other transfer (in one transaction or a series of
related transactions) of all, or substantially all, of the assets of the Company.

For purposes of this Agreement, “good reason” for voluntary termination shall mean: (i)
reduction of Executive’s rate of salary compensation as in effect immediately prior to the
Change of Control by more than five percent; (ii) failure to provide a package of welfare
benefit plans which, taken as a whole, provide substantially similar benefits to those in
which Executive is entitled to participate immediately prior to the Change of Control
(except that employee contributions may be raised to the extent of any cost increases
imposed by third parties) or any action by the Company which would adversely affect
Executive’s participation or reduce Executive’s benefits under any of such plans; (iii)
change in Executive’s responsibilities, authority, titles or offices resulting in
diminution of position, excluding for this purpose an isolated, insubstantial and
inadvertent action not taken in bad faith which is remedied by the Company promptly after
notice thereof is given by Executive (it being understood that the fact that the Company is
no longer a public company or an ultimate parent entity shall not be a basis for
diminution); (iv) request that Executive relocate to a worksite that is more than 35 miles
from his prior worksite, unless Executive accepts such relocation opportunity; (vi)
failure or refusal of the successor company to assume the Company’s obligations under this
Agreement; or (vii) material breach by the Company or any successor company of any of the
material provisions of this Agreement.

5.2 OPERATIVE PROVISIONS

(a) In the event of Executive’s termination of employment hereunder either by the
Company without cause, or by Executive for good reason, but not for reasons of
Disability or death, within one year following a Change of Control and Executive
has provided notice to the Company of such good reason within ninety (90) days of
its initial occurrence and the Company has had at least thirty (30) days thereafter
to cure the good reason event and has failed to do so, he shall be entitled to
receive a cash payment in one lump sum, payable within 15 days of such termination
or such longer period of time that Executive has to make effective the release
required by Section 5.2 (e) of this Agreement (the “Section 5.2 Payment Date”),
equal to three times his average total annual cash compensation, including base
salary and bonus, of the prior three years. The average of the prior three years
(“Average”) shall be computed by dividing by three the sum of all cash compensation
he received from the Company during

4.

 

the three years prior to the termination. Section 4.2 (a) shall not have any
application in the event of a termination covered by this Section 5.2(a).

(b) In the event of Executive’s termination of employment hereunder either by the
Company without cause, or by Executive for good reason, but not for reasons of
Disability or death, within one year following a Change of Control and Executive
has provided notice to the Company of such good reason within ninety (90) days of
its initial occurrence and the Company has had at least thirty (30) days thereafter
to cure the good reason event and has failed to do so, Executive shall continue to
receive all employment benefits as defined in Sections 2.2 and 2.3 above (excluding
2.3 (e) and 2.3(f)), or their equivalent where benefit plan participation by
Executive is not available, for eighteen (18) months following the termination.

(c) In the event of Executive’s termination of employment hereunder either by the
Company without cause, or by Executive for good reason, but not for reasons of
Disability or death, within one year following a Change of Control and Executive
has provided notice to the Company of such good reason within ninety (90) days of
its initial occurrence and the Company has had at least thirty (30) days thereafter
to cure the good reason event and has failed to do so, the vesting of all shares of
Company stock covered by options granted to Executive to purchase such Company
shares, shall be accelerated on the Section 5.2 Payment Date such that all unvested
such shares shall become vested as of such date.

(d) For purposes of this Agreement, termination of Executive’s employment shall
mean “separation from service” within the meaning of Section 409A of the Code and
Section 1.409A-1(h) of the regulations promulgated under the Code or any successor
regulations.

(e) The Company’s obligation to make any payment or provide any benefit or vest any
options or other stock rights under this Section 5.2 is conditioned upon the
execution and delivery by the Executive of a release in favor of the Company.

6. NOTICES. All notices, requests, consents and other communications required or permitted to be
given hereunder shall be in writing and shall be deemed to have been duly given if personally
delivered or delivered by registered or certified mail (return receipt requested), or private
overnight mail (delivery confirmed by such service, to the address listed below, or to such other
address as either party shall designate by notice in writing to the other in accordance herein):

If to the Company:

IXYS Corporation

1590 Buckeye Drive

Milpitas, CA 95035

Attention: Chairman of the Compensation

                     Committee of the Board of Directors

If to Executive:

Nathan Zommer

c/o 1590 Buckeye Drive

Milpitas, CA 95035

5.

 

7. ARBITRATION. To ensure rapid and economical resolution of any and all disputes which may arise
under this Agreement, the Company and Executive each agree that any and all disputes or
controversies, whether of law or fact of any nature whatsoever (including, but not limited to, all
state and federal statutory and discrimination claims), arising from or regarding the
interpretation, performance, enforcement or breach of this Agreement shall be resolved by final and
binding arbitration under the procedures set forth in Exhibit A to this Agreement and the then
existing Judicial Arbitration and Mediation Services Rules of Practice and Procedure (except
insofar as they are inconsistent with the procedures set forth in Exhibit A).

8. CERTAIN REDUCTIONS IN PAYMENTS OR BENEFITS. Executive and the Company hereby agree as
follows:

8.1 Anything in this Agreement to the contrary notwithstanding, in the event that any
payment, distribution or other benefit provided by the Company to or for the benefit of
Executive (whether paid or payable or provided or to be provided pursuant to the terms of
this Agreement or otherwise) (“Payments”) would (i) constitute a “parachute payment” within
the meaning of Section 280G of the Code, and (ii) but for this Section 8, be subject to the
excise tax imposed by Section 4999 of the Code (the “Excise Tax”), then, in accordance with
this Section 8, such Payments shall be reduced to the maximum amount that would result in
no portion of the payments being subject to the Excise Tax, but only if and to the extent
that such a reduction would result in Executive’s receipt of Payments that are greater than
the net amount Executive would receive (after application of the Excise Tax) if no
reduction is made. The amount of required reduction, if any, shall be the smallest amount
so that Executive’s net proceeds with respect to the Payments (after taking into account
payment of any Excise Tax and all federal, state and local income, employment or other
taxes) shall be maximized. If, notwithstanding any reduction described in this Section 8
(or in the absence of any such reduction), the IRS determines that a Payment is subject to
the Excise Tax (or subject to a different amount of the Excise Tax than determined by the
Company or Executive), then Section 8.3 shall apply. If the Excise Tax is not eliminated
pursuant to this Section 8, Executive shall pay the Excise Tax.

8.2 All determinations required to be made under this Section 8 shall be made by the
Company’s independent auditors. Such auditors shall provide detailed supporting
calculations both to the Company and Executive. Any such determination by the Company’s
independent auditors shall be binding upon the Company and Executive. The Payments,
including without limitation any option acceleration benefits provided under this Agreement
or otherwise (“Option Benefits”), shall be eliminated or reduced consistent with the
requirements of this Section 8, first by eliminating or reducing cash payments and then by
eliminating or reducing the number of Company shares or options that vest. Within five
business days following a determination pursuant to this Section 8.2, the Company shall pay
to or distribute to or for the benefit of Executive such amounts as are then due to
Executive under this Agreement.

8.3 As a result of the uncertainty in the application of Section 280G of the Code at the
time of the initial determination by the Company’s independent auditors hereunder, it is
possible that Option Benefits or other Payments, as the case may be, will have been made by
the Company which should not have been made (“Overpayment”) or that additional Option
Benefits or other Payments, as the case may be, which will not have been made by the
Company could have been made (“Underpayment”), in each case, consistent with the
calculations required to be made hereunder. In the event that the Company’s independent
auditors, based upon the assertion of a deficiency by the IRS against Executive or the
Company which the Company’s independent auditors believe

6.

 

has a high probability of success, determine that an Overpayment has been made, any such
Overpayment paid or distributed by the Company to or for the benefit of Executive shall be
repaid to the Company; provided, however, that no amount shall be payable by Executive to
the Company if and to the extent such payment would not either reduce the amount on which
Executive is subject to tax under Section 1 and Section 4999 of the Code or generate a
refund of such taxes. In the event that the Company’s independent auditors, based upon
controlling precedent or other substantial authority, determine that an Underpayment has
occurred, any such Underpayment shall be promptly paid by the Company to or for the benefit
of Executive.

9. CERTAIN DEFERRAL OF PAYMENTS. Notwithstanding the other provisions of this Agreement, to the
extent that any amounts payable to Executive pursuant to this Agreement would not be deductible by
the Company for federal income tax purposes on account of the limitations of Section 162(m) of the
Code, the Company may defer payment of such amounts to the earliest subsequent calendar year in
which the Company reasonably anticipates that payment of such amounts would be deductible by the
Company in accordance with Section 409A of the Code and Section 1.409A-2(b)(7)(i) of the
regulations thereunder.

10. TERM. The term of this Agreement is from the date hereof until July 31, 2012.

11. GENERAL.

11.1 ENTIRE AGREEMENT. This Agreement sets forth the complete, final and exclusive
embodiment of the entire agreement between Executive and the Company with respect to the
subject matter hereof. This Agreement is entered into without reliance upon any promise,
warranty or representation, written or oral, other than those expressly contained herein,
and it supersedes any other such promises, warranties, representations or agreements.

11.2 SEVERABILITY. If any provision of this Agreement shall be held by a court of
competent jurisdiction to be excessively broad as to duration, activity or subject, it
shall be deemed to extend only over the maximum duration, activity and/or subject as to
which such provision shall be valid and enforceable under applicable law. If any
provisions shall, for any reason, be held by a court of competent jurisdiction to be
invalid, illegal or unenforceable, such invalidity, illegality or unenforceability shall
not affect any other provision of this agreement, but this agreement shall be construed as
if such invalid, illegal or unenforceable provision had never been contained herein.

11.3 SUCCESSORS AND ASSIGNS. This Agreement shall bind the heirs, personal
representatives, assigns, executors and administrators of each party, and inure to the
benefit of each party, its heirs, successors and assigns. However, because of the unique
and personal nature of Executive’s duties under this Agreement, Executive agrees not to
delegate the performance of his duties under this Agreement without the prior consent of
the Board.

11.4 APPLICABLE LAW. This Agreement shall be deemed to have been entered into and shall be
construed in accordance with the laws of the state of California as applied to contracts
made and to be performed entirely within California.

11.5 HEADINGS. The section headings contained herein are for reference purposes only and
shall not in any way affect the meaning or interpretation of this Agreement.

7.

 

11.6 COUNTERPARTS. This Agreement may be executed in two counterparts, each of which shall
be deemed an original, all of which together shall constitute one and the same instrument.

8.

 

IN WITNESS WHEREOF, the parties have duly authorized and caused this Executive Employment Agreement
to be executed as follows:

	 	 	 	 	 	 
	Nathan Zommer,	 	IXYS Corporation,	 
	An individual	 	a Delaware Corporation	 
	 
	 	 	 	 	 
	/s/ Nathan Zommer

	 	By:
	 	/s/ Samuel Kory	 
	 

	 	 	 	 	 
	 

	 	 	 	Samuel Kory, Chairman of the	 
	 

	 	 	 	Compensation Committee of the	 
	 

	 	 	 	Board of Directors	 
	 
	 	 	 	 	 
	Date: June 17, 2009	 	Date: July 3, 2009	 

9.

 

Exhibit A

ARBITRATION PROCEDURE

1. The parties agree that any dispute that arises in connection with this Agreement or the
termination of this Agreement shall be resolved by binding arbitration in the manner described
below.

2. A party intending to seek resolution of any dispute under the Agreement by arbitration shall
provide a written demand for arbitration to the other party, which demand shall contain a brief
statement of the issues to be resolved.

3. The arbitration shall be conducted by a mutually acceptable retired judge from the panel of
Judicial Arbitration and Mediation Services, Inc. (“JAMS”). At the request of either party,
arbitration proceedings will be conducted in the utmost secrecy and, in such case, all documents,
testimony and records shall be received, heard and maintained by the arbitrator in secrecy under
seal, available for inspection only by the parties to the arbitration, their respective attorneys,
and their respective expert consultants or witnesses who shall agree, in advance and in writing, to
receive all such information confidentially and to maintain such information in secrecy, and make
no use of such information except for the purposes of arbitration, unless compelled by legal
process.

4. The arbitrator is required to disclose any circumstances that might preclude the arbitrator from
rendering an objective and impartial determination. In the event the parties cannot mutually agree
upon the selection of a JAMS arbitrator, the President and vice president of JAMS shall designate
the arbitrator.

5. The party demanding arbitration shall promptly request that JAMS conduct a scheduling conference
within 15 days of the date of that party’s written demand for arbitration or on the first available
date thereafter on the arbitrator’s calendar. The arbitration hearing shall be held within 30
available date thereafter on the arbitrator’s calendar. Nothing in this paragraph shall prevent a
party from seeking temporary equitable relief at any time, from JAMS or any court of competent
jurisdiction, to prevent irreparable harm pending the resolution of the arbitration.

6. Discovery shall be conducted as follows: (a) prior to the arbitration any party may make a
written demands for lists of the witnesses to be called and the documents to be introduced at the
hearing; (b) the lists must be served within 15 days of the date of receipt of the demand, or one
day prior to the arbitration, whichever is earlier; and (c) each party may take no more than two
dispositions (pursuant to the procedure set forth in the California Code of Civil Procedure) with a
maximum of five hours of examination time per deposition, and no other form of pre-arbitration
discovery shall be permitted.

7. It is the intent of the parties that the Federal Arbitration Act (“FAA”) shall apply to
the enforcement of this provision unless it is held inapplicable by a court with
jurisdiction over the dispute, in which event the California Arbitration Act (“CAA”) shall
apply.

8. The arbitrator shall apply California law, including the California Evidence Code, and
shall be able to decree any and all relief of an equitable nature, including but not limited
to such relief as a temporary restraining order, a preliminary injunction, a permanent
injunction, or replevin of Company property. The arbitrator shall also be able to award
actual, general or consequential damages, but shall not award any other form of damage
(e.g., punitive damages).

 

 

9. Each party shall pay its pro rata share of the arbitrator’s fees and expenses, in
addition to other expenses of the arbitration approved by the arbitrator, pending the
resolution of the arbitration. The arbitrator shall have authority to award the payment of
such fees and expenses to the prevailing party, as appropriate in the discretion of the
arbitrator. Notwithstanding the foregoing, in no event shall the cost to Executive exceed
the cost in a court of law or equity. Each party shall pay its own attorneys’ fees, witness
fees and other expenses incurred for its own benefit.

10. The arbitrator shall render a written award setting forth the reasons for his or her
decision. The decree or judgment of an award by the arbitrator may be entered and enforced
in any court having jurisdiction over the parties. The award of the arbitrator shall be
final and binding upon the parties without appeal or review except as permitted by the FAA,
or if the FAA is not applicable, as permitted by the CAA.

2.

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