Document:

Exhibit 10.8

 

Churchill Capital Corp

640 Fifth Avenue, 12th Floor

New York, NY 10019

 

[•], 2018

 

M. Klein Associates, Inc.

640 Fifth Avenue, 12th Floor

New York, NY 10019

 

Re: Administrative Services Agreement

 

Gentlemen:

 

This letter agreement by and between Churchill Capital Corp, a Delaware
corporation (the “Company”) and [M. Klein Associates, Inc.], a New York corporation (“MKA”),
dated as of the date hereof, will confirm our agreement that, commencing on the date the securities of the Company are first listed
on the New York Stock Exchange (the “Listing Date”) and continuing until the earlier of the consummation
by the Company of an initial business combination and the Company’s liquidation (in each case as described in the Registration
Statement on Form S-1 (File No. 333-______) filed with the Securities and Exchange Commission) (such earlier date hereinafter referred
to as the “Termination Date”):

 

		1.	MKA shall make available to the Company, at 640 Fifth Avenue, 12th Floor, New York, New York 10019 (or any successor
location or other existing office locations of MKA or any of its affiliates), certain office space, administrative and support
services as may be reasonably requested by the Company. In exchange therefor, the Company shall pay, on the first day of each month,
MKA the sum of $10,000 per month commencing on the Listing Date and continuing monthly thereafter until the Termination Date; and

 

		2.	MKA hereby irrevocably waives any and all right, title, interest, causes of action and claims of any kind or nature whatsoever
(each, a “Claim”) in or to, and any and all right to seek payment of any amounts due to it out of, the
trust account established for the benefit of the public stockholders of the Company and into which substantially all of the proceeds
of the Company’s initial public offering will be deposited (the “Trust Account”), and hereby irrevocably
waives any Claim it presently has or may have in the future as a result of, or arising out of, this letter agreement, which Claim
would reduce, encumber or otherwise adversely affect the Trust Account or any monies or other assets in the Trust Account, and
further agrees not to seek recourse, reimbursement, payment or satisfaction of any Claim against the Trust Account or any monies
or other assets in the Trust Account for any reason whatsoever.

 

    	 	 	 

     

    

  

This letter agreement constitutes the entire agreement and understanding
of the parties hereto in respect of its subject matter and supersedes all prior understandings, agreements, or representations
by or among the parties hereto, written or oral, to the extent they relate in any way to the subject matter hereof or the transactions
contemplated hereby.

 

This letter agreement may not be amended, modified or waived as
to any particular provision, except by a written instrument executed by all parties hereto.

 

No party hereto may assign either this letter agreement or any of
its rights, interests, or obligations hereunder without the prior written approval of the other party, provided that MKA may assign
this letter agreement to an affiliate without the prior written approval of the Company. Any purported assignment in violation
of this paragraph shall be void and ineffectual and shall not operate to transfer or assign any interest or title to the purported
assignee.

 

This letter agreement constitutes the entire relationship of the
parties hereto with respect to the subject matter described herein and any litigation between the parties (whether grounded in
contract, tort, statute, law or equity) shall be governed by and construed in accordance with the laws of the State of New York.

 

This letter 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 one and the same letter
agreement.

 

[Signature page follows]

 

    	 	 	 

     

    

 

	 	Very truly yours,
	 	 
	 	CHURCHILL CAPITAL CORP
	 	 	 
	 	By: 	 
	 	 	Name:  
	 	 	Title:

 

	AGREED TO AND ACCEPTED BY:	 
	 	 
	M. KLEIN ASSOCIATES, INC.	 
	 	 	 
	By:	 	 
	 	Name:	 
	 	Title:	 

 

[Signature Page to Administrative Services Agreement]psuawardagreementwtscs04

                                      PERFORMANCE SHARE                                         AWARD AGREEMENT                                                                       Draft 04.25.18  Participant:      [Name]  Award Number:     PU_________  Plan:             2013 Long-Term Incentive Compensation Plan  Award Type:       Performance Shares  Grant Date:       ______ __, 201_  Performance Period:  ______ __, 201_to ______ __, 201_      Dear [_____]:    I am pleased to inform you that Cree, Inc. (the “Company”) has awarded _____ Performance Shares (the  “Performance Shares”) to you effective ______ __, 201_  (the “Grant Date”). The Performance Shares are  subject to and governed by the terms of the Cree, Inc. 2013 Long-Term Incentive Compensation Plan (the  “2013 Plan”), the terms of the [Severance Plan – Senior Leadership Team] [Vice President] (the “Severance  Plan”), dated April __, 2018, as it may be amended from time to time, and the terms of this Performance  Share Award Agreement (the “Agreement”).    Subject to the terms and conditions set forth in this Agreement and the Severance Plan, as applicable, you  are eligible to earn the Performance Shares based on the Company’s “Relative Total Shareholder Return”  (as defined in Exhibit A) in terms of percentile ranking as compared to the Peer Group (as defined in Exhibit  A) over the period beginning on ______ __, 201_ and ending immediately prior to the third anniversary of  the  Grant  Date  (the  “Vesting  Date”)  (such  period  between  the  Grant  Date  and  the  Vesting  Date,  the  “Measurement Period”).  The number of shares of the Company’s common stock (“Shares”) that will be  issued in payment of the Performance Shares will be calculated in accordance with the schedule below:           Relative Total Shareholder Return Ranking over Measurement Period Payout % Level         75th Percentile or Higher                            150%         50th – 74th  Percentile                              100%         25th – 49th  Percentile                              50%         0 – 24th  Percentile                                 0%    The calculation of the number of Shares to be issued will be rounded down to the nearest whole number of  Shares as necessary.    As of the date of your death or on the effective date of the determination of your Disability (as defined  below) by the Employee Benefits Committee of the Company (the “EBC”) or such other committee as may  be designated by the Board of Directors of the Company or a committee thereof, any unvested Performance  Shares shall be deemed to have vested in full and been achieved at the greater of (a) the target level and (b)  the actual performance level (with the date of your death or on the effective date of the determination of  your  Disability  being  treated  as  the  ending  date  for  the  measurement  period). For  purposes  of  this  Agreement,  “Disability”  will  have  the  meaning  given  to “LTD  Disability”  in  the Severance  Plan. The  determination of whether or not you have a Disability will be made by the EBC in good faith in its sole  discretion,  and  such  determination  shall  be  conclusive,  final  and  binding  upon  all  parties.  The above  definition of Disability applies in lieu of the definition of disability set out in the 2013 Plan.    Except as otherwise provided in the terms of the Severance Plan, as applicable, you must be continuously  in service with the Company or any Employer or any subsidiary or affiliate of the Company through the  Vesting Date in order to have a right to payment of Performance Shares, the Performance Shares will not  be considered earned until the Vesting Date, and except as may be specified otherwise in the Severance     

 

   Plan, if your employment is terminated prior to the Vesting Date, you will forfeit all of the Performance  Shares.    Capitalized terms defined in the 2013 Plan and used in this Agreement without definition have the meaning  specified in the 2013 Plan.    This award is intended to fulfill any and all agreements, obligations or promises, whether legally binding  or not, previously made by the Company or any Employer under the 2013 Plan to grant you Performance  Shares in connection with your sign-on award. By signing below, you accept such award, along with all  prior awards received by you, in full satisfaction of any such agreement, obligation or promise.    THE  TERMS  AND  CONDITIONS  ON  THE  PAGES  FOLLOWING  THIS  SIGNATURE  PAGE,  INCLUDING  ANY  APPENDIX,  ARE  AN  INTEGRAL  PART  OF  THIS  AGREEMENT  AND  ARE  INCORPORATED HEREIN BY THIS REFERENCE. BY SIGNING BELOW YOU ACKNOWLEDGE  THAT YOU HAVE READ, UNDERSTAND AND AGREE TO BE BOUND BY SUCH TERMS AND  CONDITIONS.  FAILURE  TO  SIGN  WILL  RESULT  IN  FORFEITURE  OF  THE  PERFORMANCE  SHARES.    Date: ______ __, 20__    CREE, INC.:                              ACCEPTED AND AGREED TO:                                        Gregg Lowe                               [Name]  President and Chief Executive Officer                                                                                                      Page 2 of 13  

 

                        PERFORMANCE AWARD AGREEMENT                             TERMS AND CONDITIONS    1.  Forfeiture of Performance Shares for Awards Not Timely Accepted.  The grant of the Performance      Shares is conditioned upon and subject to your accepting the Performance Shares by signing and      delivering to the Company this Agreement, or otherwise electronically accepting the Performance      Shares, no later than the first date the Performance Shares are scheduled to vest pursuant to this      Agreement. In the event of your death or incapacitation prior to accepting the Performance Shares,      the  Company  will  deem  the  Performance  Shares  as  being  accepted.  If  you  fail  to  accept  the      Performance Shares within the time described above, you will forfeit the Performance Shares.    2.  Payment.  Subject to the terms of the 2013 Plan, this Agreement and, if applicable, the Severance      Plan, within 30 days after the following date (except as provided otherwise in Section 19 below), the      Company shall make payment to you of the vested portion of the Performance Shares on such date      (if any), less any vested Performance Shares previously paid to you (if any): ______ __, 201_.      The Company shall make payment to you by delivery to you (or, in the event of your death, to your      estate or,  if the Committee establishes a beneficiary designation procedure pursuant to Section 12 of      the 2013 Plan, to any beneficiary that you have designated pursuant to such procedure) one or more      certificates for a number of Shares equal to the number of vested Performance Shares payable to you      on such date or in the Company's discretion may cause such Shares to be deposited in an account      maintained by a broker designated by the Company.    3.  Responsibility for Taxes.      (a)  For  purposes  of  this  Agreement,  “Tax-Related Items”  means  any  or  all income  tax,  social           insurance tax, payroll tax, payment on account or other tax-related items that may be applicable           to the Performance Shares by law or regulation of any governmental authority, whether federal,           state or local, domestic or foreign. Regardless of any action the Company takes with respect to           withholding Tax-Related Items, you acknowledge that you are ultimately responsible for all           Tax-Related Items and that such Tax-Related Items may exceed the amount actually withheld           by  the  Company  or  the  Employer.  You  further  acknowledge  that  the  Company  and/or  the           Employer (1) make no representations or undertakings regarding the treatment of any Tax-          Related Items in connection with any aspect of the Performance Shares, including, without           limitation, the grant, vesting or payment with respect to the Performance Shares, the subsequent           sale of Shares and the receipt of any dividends or dividend equivalents; and (2) do not commit           to  and  are  under  no  obligation  to  structure  the  terms  of  the  grant  or  any  aspect  of  the           Performance Shares to reduce or eliminate your liability for Tax-Related Items or to achieve           any particular tax result. Furthermore, if you have become subject to tax in more than one           jurisdiction  between  the  Grant  Date  and  the  date  of  any  relevant  taxable  event,  you           acknowledge that the Company and/or the Employer (or former Employer, as applicable) may           be required to withhold or account for Tax-Related Items in more than one jurisdiction.        (b)  Prior to any relevant taxable or tax withholding event, as applicable, you will pay or make           adequate arrangements satisfactory to the Company and/or the Employer to satisfy all Tax-          Related Items. If permissible under local law and at your election, the Company will satisfy           this condition pursuant to the withholding of Shares consistent with the “Share Withholding”           provisions under section 14.2 of the 2013 Plan. The Company, in its discretion, may authorize           alternative arrangements, including, if permissible under local law, the Company's selling or           arranging to sell Shares that you acquire under the 2013 Plan. In any event, to the extent this           condition is not otherwise satisfied, you authorize the Employer to withhold all applicable Tax-                                                                          Page 3 of 13  

 

            Related Items legally payable by you from your wages or other cash compensation paid to you           by the Employer.        (c)  Depending  upon  the  withholding  method,  the  Company  or  the  Employer  may  withhold  or           account  for  Tax-Related  Items  by  considering  applicable  minimum  or  maximum  statutory           withholding amounts or other applicable withholding rates. In the event Tax-Related Items are           over-withheld, you will receive a refund in cash for any over-withheld amounts and will have           no entitlement to the Shares equivalent. If the obligation for Tax-Related Items is satisfied by           withholding of Shares, you shall be deemed, for tax purposes, to have been issued the full           number of Shares, notwithstanding that a number of Shares is held back solely for the purpose           of paying the Tax-Related Items due as a result of any aspect of your participation in the 2013           Plan.        (d)  You shall pay to the Company or the Employer any amount of Tax-Related Items that the           Company  or the  Employer  may be  required to withhold or account for as a result of your           participation in the 2013 Plan that cannot be satisfied by the means previously described. The           Company may refuse to make payment with respect to the Performance Shares if you fail to           comply with your obligations in connection with the Tax-Related Items.    4.  Transfer of Performance Shares. The Performance Shares and any rights under any Performance      Share may not be assigned, pledged as collateral or otherwise transferred, except as permitted by the      2013 Plan, nor may they be subject to attachment, execution or other judicial process. In the event of      any attempt to assign, pledge or otherwise dispose of a Performance Share or any rights under a      Performance  Share,  except  as  permitted  by the  2013  Plan,  or  in  the  event  of  the  levy  of  any      attachment,  execution  or  similar  judicial  process  upon  the  rights  or  interests  conferred  by  a      Performance Share, the Committee may in its discretion terminate a Performance Share by notice to      you.    5.  Rights Prior to Vesting of Shares.      (a)  You  will  have  no  rights  as  a  shareholder  with  respect  to  any  Shares  issuable  under  the           Performance Shares, including but not limited to voting rights or rights to dividends or dividend           equivalents, until such Shares have  been duly issued by the  Company or its transfer agent           pursuant to the vesting and payment of the Performance Shares.            (b)  In the event of a change in capitalization within the meaning of Section 4.4 of the 2013 Plan,           the  number and  class  of Shares  or other securities that you are  entitled  to pursuant to this           Agreement  shall  be  appropriately  adjusted  or  changed  as  determined  by  the  Committee  to           reflect the change in capitalization, provided that any such additional Shares or additional or           different shares of securities shall remain subject to the restrictions in this Agreement.        6.   Termination of Service:  For purposes of this Agreement, “Termination of Service” will have the       meaning as prescribed by Treasury Regulation § 1.409A-1(h)(1)(ii) under Section 409A of       the Internal Revenue Code, as such meaning may be amended from time to time.  Except as       determined  otherwise  by  the  Committee  or  as  provided  in  the Severance  Plan,  you  will  not  be       deemed to have incurred a Termination of Service if the capacity in which you provide services to       the Company changes (for example, you change from being a non-employee director to being an       employee or you change from being an employee to a consultant) or if you transfer employment       among the various subsidiaries or affiliates of the Company constituting the Employer, so long as       there  is  no  interruption  in  your  provision  of  services  to  the  Company  or  other  Employer  as  an       employee or as a non-employee member of the Board of Directors of the Company. The Committee,                                                                           Page 4 of 13  

 

        in its discretion, will determine whether you have incurred a Termination of Service. You will not       be deemed to have incurred a Termination of Service during a period for which you are on military       leave, sick leave, or other leave of absence approved by the Employer.         7.   Detrimental Activity.  The Committee in its sole discretion may cancel and cause to be forfeited any       Performance Shares not previously vested or released under this Agreement if you engage in any       "Detrimental Activity” (as defined below). In addition, if you engage in any Detrimental Activity       prior to or within one (1) year after your Termination of Service, the Committee in its sole discretion       may require you to pay to the Company the amount of all gain you realized from any vesting of the       Performance Shares beginning six (6) months prior to your Termination of Service, provided that       the Committee gives you notice of such requirement within one (1) year after your Termination of       Service. In that event, the Company will be entitled to set off such amount against any amount the       Company owes to you, in addition to any other rights the Company may have. For purposes of this       section:                      (a)  “Company” includes Cree, Inc. and all other Employers under the 2013 Plan.                                  (b)  “Detrimental Activity” means that you have engaged in activity that breaches the                   terms of any restrictive covenants in any agreement between you and the Company,                   including without limitation the most recent version of the Employee Agreement                   Regarding Confidential Information, Intellectual Property, and Noncompetition in                   effect for you as of the relevant date.  If no such agreement exists, then “Detrimental                   Activity” shall mean any of the following conduct, as determined by the Committee                   in good faith:                            (i)  the  performance  of  services  for  any  Competing  Business  (as  defined                         below),  whether  as  an  employee,  officer,  director,  consultant,  agent,                         contractor or in any other capacity, except to the extent expressly permitted                         by any written agreement between you and the Company;                                             (ii) the unauthorized disclosure or use of any trade secrets or other confidential                         information of the Company any attempt to induce an employee to leave                         employment with the Company to perform services elsewhere;                             (iii) any attempt to cause a customer or supplier of the Company to curtail or                         cancel its business with the Company; or                            (iv) or any act of fraud, misappropriation, embezzlement, or tortious or criminal                         behavior that adversely impacts the Company.                      (c)   “Competing  Business" as  used  in Section  7(b)(i) means  any  corporation,       partnership,  university,  government  agency  or  other  entity  or  person  (other  than  the  Company)       engaged  in  any  part  of  the  Company’s  Business, including  the  development,  manufacture,       marketing, distribution, research, or sale of any product, service, or technology that Company is       developing, manufacturing, marketing, distributing, researching, or selling as of the date of your       Termination of Service.  As of the date of this Agreement, you acknowledge that the Company’s       Business  includes  the  following  products,  services,  and  technologies:  (1)  silicon  carbide  (SiC)       materials for electronic applications, (2) SiC materials for gemstone applications, (3) AIII nitride       materials for electronic applications, (4) light emitting diode (LED) devices and components, (5)       power semiconductor devices made using SiC and/or AIII nitride materials and components and                                                                           Page 5 of 13  

 

        modules incorporating such devices, (6) radio frequency (RF) and microwave devices made using       SiC and/or AIII nitride materials and components and modules incorporating such devices, (7) LED       backlights for liquid crystal displays (LCDs), (8) lighting products, modules, fixtures or devices       incorporating  any  of  the  above  materials  or  technology,  (9)  sensors,  drivers,  networking,  and       controls related to lighting products, and (10) other semiconductor devices made using SiC and/or       AIII nitride materials and components incorporating such devices. You acknowledge that during       your employment or other relationship with the Company, the Company’s Business may expand or       change and, you agree that any such expansions and changes shall expand or contract the definition       of the Company’s Business accordingly.                8.   Provisions of the 2013 Plan. The provisions of the 2013 Plan are incorporated by reference in this       Agreement as if set out in full in this Agreement. To the extent that any conflict may exist between       any other provision of this Agreement, a provision of the 2013 Plan, and the applicable provisions       of the Severance Plan, if any, the applicable provisions of the Severance Plan shall control. To the       extent that any conflict may exist between any other provision of this Agreement and a provision of       the  2013  Plan,  the  applicable  provisions  of  this  Agreement  shall  control.  All  decisions  of  the       Committee with respect to the interpretation, construction and application of the 2013 Plan or this       Agreement shall be final, conclusive and binding upon you and the Company.         9.   Data  Privacy. By  signing  this  Agreement,  you  explicitly  and  unambiguously consent  to  the       collection, use and transfer, in electronic or other form, of your personal data as described in this       Agreement by and among, as applicable, the Employer, and the Company and its subsidiaries and       affiliates  for  the  exclusive  purpose  of  implementing,  administering  and  managing  your       participation in the 2013 Plan.               You understand that the Employer holds certain personal information about you, including, but       not limited to, your name, home address and telephone number, date of birth, social insurance       number  or  other  identification  number,  salary,  nationality,  job  title,  any  shares  of  stock  or       directorships held in the Company, details of all Awards or any other entitlement to Shares of       stock awarded, canceled, exercised, vested, unvested or outstanding in your favor, for the purpose       of implementing, administering and managing the 2013 Plan (“Data”). You understand that Data       may  be  transferred  to  any  third  parties  assisting  in  the  implementation,  administration  and       management of the 2013 Plan, that these recipients may be located in your country or elsewhere,       and that the recipient's country may have different data privacy laws and protections than your       country. You understand that you may request a list with the names and addresses of any potential       recipients of the Data by contacting your local human resources representative. You authorize       the recipients to receive, possess, use, retain and transfer the Data, in electronic or other form,       for the purposes of implementing, administering and managing your participation in the 2013       Plan, including any requisite transfer of such Data as may be required to a broker or other third       party  with  whom  you  may  elect  to  deposit  any  Shares  of  stock  acquired  pursuant  to  this       Agreement. You understand that Data will be held only as long as is necessary to implement,       administer and manage your participation in the 2013 Plan. You understand that you may, at any       time, view Data, request additional information about the storage and processing of Data, require       any necessary amendments to Data or refuse or withdraw the consents above, in any case without       cost,  by  contacting  in  writing  your  local  human  resources  representative.  You  understand,       however, that refusing or withdrawing your consent may affect your ability to participate in the       2013 Plan. For more information on the consequences of your refusal to consent or withdrawal       of consent, you understand that you may contact your local human resources representative.         10.  Electronic Delivery. The Company  may, in its sole discretion, decide to deliver any documents       related to the Performance Shares granted under this Agreement by electronic means or to request                                                                           Page 6 of 13  

 

        your consent to participate in the 2013 Plan by electronic means. By signing this Agreement, you       consent to receive such documents by electronic delivery and, if requested, to agree to participate in       the 2013 Plan through an on-line or electronic system established and maintained by the Company       or another third party designated by Company.         11.  General.                (a)  Nothing  in  this Agreement  will  be  construed  as  constituting  a  commitment,  agreement  or           understanding of any kind that the Employer will continue your service relationship nor to limit           or restrict either party's right to terminate the service relationship.                 (b)  This Agreement shall be binding upon and inure to the benefit of you and the Company and           upon our respective heirs, executors, administrators, representatives, successors and permitted           assigns.              (c)  Notices under this Agreement must be in writing and delivered either by hand or by certified           or registered mail (return receipt requested and first-class postage prepaid), in the case of the           Company,  addressed  to  its  principal  executive  offices  to  the  attention  of  the  Stock  Plan           Administrator, and, in your case, to your address as shown on the Employer's records.              (d)  This Agreement shall be governed by and construed in accordance with the laws of the State           of North Carolina without regard to the conflict of law provisions thereof, as if made and to be           performed wholly within such State. For purposes of litigating any dispute that arises directly           or indirectly from the relationship of the parties evidenced by the Performance Shares or this           Agreement, the parties hereby submit to and consent to the exclusive jurisdiction of the State           of North Carolina, agree that such litigation shall be conducted in the courts of Durham County,           North Carolina, or the federal courts for the United States for the Middle District of North           Carolina, and no other courts, where the award of the Performance Shares is made and/or to be           performed.              (e)  No amendment or modification of this Agreement shall be valid unless the same is in writing           and signed by you and by an authorized executive officer of the Company. If any provision of           this Agreement is held to be invalid or unenforceable, such determination shall not affect the           other provisions of the Agreement and the Agreement shall be construed as if the invalid or           unenforceable  provision  were  omitted  and  a  valid  and  enforceable  provision,  as  nearly           comparable as possible, substituted in its place.              (f)  This Agreement, the 2013 Plan, and the applicable Severance Plan, if any, set forth all of the           promises,  agreements  and  understandings  between  you  and  Company  relating  to  the           Performance Shares evidenced by this Agreement. This Agreement supersedes any and all prior           agreements or understandings, whether oral or written, with respect to the Performance Shares           evidenced by this Agreement unless otherwise specified in the Agreement.              (g)  Shares issued upon settlement of the Performance Shares may be subject to such stop-transfer           orders and other restrictions as the Committee may deem advisable under the rules, regulations           and other requirements of the Securities and Exchange Commission, any stock exchange or           trading system upon which the Common Stock is listed or traded, and any applicable federal           or state laws, and the Committee may cause a legend or legends to be placed on any such           certificates to make appropriate reference to such restrictions.                                                                                   Page 7 of 13  

 

       (h)  You agree that each  Performance  Share evidenced by this Agreement serves as  additional,           valuable  consideration  for  your  obligations,  if  any,  undertaken  in  any  existing  agreement           between  you  and  the  Employer  regarding  confidential  information,  noncompetition,           nonsolicitation or similar covenants, including without limitation the most recent version of the           Employee Agreement Regarding Confidential Information, Intellectual Property, and           Noncompetition in effect for you as the relevant date.              (i)  You acknowledge, represent and warrant to the Company, and agree with the Company, that,           except for information provided in the Company's filings with the Securities and Exchange           Commission and in the Company's current prospectus relating to the 2013 Plan: (i) you have           not relied and will not rely upon the Committee, the Company, an Employer or any employee           or agent of the Company or an Employer in determining whether to accept the Performance           Shares, or in connection with any disposition of Shares obtained pursuant to settlement of the           Performance  Shares, or  with  respect  to  any  tax  consequences  related  to  the  grant  of  the           Performance  Shares  or  the  disposition  of  Shares  obtained  pursuant  to  settlement  of  the           Performance  Shares;  and  (ii)  you  will  seek  from  your  own  professional  advisors  such           investment, tax and other advice as you believe necessary.              (j)  You acknowledge that you may incur a substantial tax liability as a result of the Performance           Shares. You assume full responsibility for all such consequences and the filing of all tax returns           and related elections you may be required or find desirable to file. If you are required to make           any valuation of Performance Shares or Shares obtained pursuant to settlement of Performance           Shares under any federal, state or other applicable tax law, and if the valuation affects any tax           return or election of the Company or the Employer or affects the Company's financial statement           reporting, you agree that the Company may determine the value and that you will observe any           determination so made by the Company in all tax returns and elections filed by you.              (k)  You acknowledge that copies of the 2013 Plan and Plan prospectus are available upon written           or telephonic request to the Company’s Stock Plan Administrator.          12.  Severability. The provisions of this Agreement are severable and if any one of more provisions are       determined to be illegal or otherwise unenforceable, in whole or in part, the remaining provisions       shall nevertheless be binding and enforceable.         13.  Nature of Grant. In accepting this grant, you acknowledge, understand and agree that:               (a) the 2013 Plan is established voluntarily by the Company, is discretionary in nature and may be           modified, amended, suspended or terminated by the Company at any time, unless expressly           provided otherwise in the 2013 Plan or the Agreement;                  (b) the grant of the Performance Shares is voluntary and does not create any contractual or other           right to receive future grants of Performance Shares, or benefits in lieu of Performance Shares,           even if Performance Shares have been granted repeatedly in the past;               (c) all decisions with respect to future grants of Performance Shares, if any, will be at the sole           discretion of the Company;               (d) your participation in the 2013 Plan is voluntary;                                                                                   Page 8 of 13  

 

        (e) your participation in the 2013 Plan will not create a right to employment with the Company or           the Employer and will not interfere with the ability of the Company, the Employer or any           subsidiary or affiliate to terminate your employment or service relationship at any time;               (f) if you are employed by a non-U.S. entity and provide services outside the U.S., the Performance           Shares are an extraordinary item that does not constitute compensation of any kind for services           of any kind rendered to your Employer, and they are outside the scope of your employment or           service contract, if any, with your Employer;               (g) the  grant  of  the  Performance  Shares  is  not  intended  to  replace  any  pension  rights  or           compensation;               (h) the grant of the Performance Shares is not part of normal or expected compensation or salary           for  any  purposes,  including,  but  not  limited  to,  calculating  any  severance,  resignation,           termination, redundancy, dismissal, end-of-service payments, bonuses, long-service awards,           pension or retirement or welfare benefits or similar payments;               (i) the  grant  of  the  Performance  Shares  and  your  participation  in the  2013  Plan will  not  be           interpreted to form an employment or service contract or relationship with the Company, the           Employer or any subsidiary or affiliate of the Company;               (j) the future value of the Performance Shares is unknown and cannot be predicted with certainty;               (k) no  claim  or  entitlement  to  compensation  or  damages  shall  arise  from  forfeiture  of  the           Performance Shares resulting from termination of your employment or service relationship by           the Company or the Employer (for any reason whatsoever and whether or not later found to be           invalid or in breach of employment laws in the jurisdiction where you are employed or the           terms  of  your  employment  agreement,  if  any),  and,  in  consideration  of  the  grant  of  the           Performance  Shares,  to  which  you  otherwise  are  not  entitled,  you  irrevocably  agree,  if           applicable, to execute the Release, as defined in the applicable Severance Plan, if any;               (l) the  grant of the  Performance  Shares  and the benefits under the 2013 Plan, if any, will not           automatically transfer to another company in the case of a merger, takeover, or transfer of           liability;               (m) neither the Company, the Employer nor any subsidiary or affiliate of the Company shall be           liable for any foreign exchange rate fluctuation between your local currency and the United           States Dollar that may affect the value of the Performance Shares or of any payments due to           you pursuant to the subsequent sale of any Shares acquired upon the vesting of the Performance           Shares; and               (n) this award and any other award(s) granted under the 2013 Plan on the Grant Date are intended           to  fulfill  any  and  all  agreements,  obligations  or  promises,  whether  legally  binding  or  not,           previously made by the Company or another Employer under the 2013 Plan to grant you the           Performance  Shares  or  other  rights  to  common stock  of  the  Company.  By  signing  this           Agreement,  you  accept  such  awards,  along  with  all  prior  awards  received  by  you,  in  full           satisfaction of any such agreement, obligation or promise.          14. No Advice Regarding Grant. The Company is not providing any tax, legal, or financial advice, nor      is the Company making any recommendations regarding your participation in the 2013 Plan or sale                                                                           Page 9 of 13  

 

       of Shares. You are hereby advised to consult with your own personal tax, legal and financial advisors      regarding your participation in the 2013 Plan before taking any action related to the 2013 Plan.        15. Compliance with Law. Notwithstanding any other provision of the 2013 Plan or this Agreement,      unless there is an available exemption from any registration, qualification or other legal requirement      applicable to the Performance Shares or Shares, as applicable, the Company shall not be required to      deliver  the  Performance  Shares  or any  of  the  underlying  Shares  prior  to  the  completion  of  any      registration  or  qualification  of  the  Shares  under  any  local,  state,  federal  or  foreign  securities  or      exchange control law or under rulings or regulations of the U.S. Securities and Exchange Commission      (“SEC”) or of any other governmental regulatory body, or prior to obtaining any approval or other      clearance  from  any  local,  state,  federal  or  foreign  governmental  agency,  which  registration,      qualification or approval the Company shall, in its absolute discretion, deem necessary or advisable.      You understand that the Company is under no obligation to register or qualify the Performance Shares      or any of the underlying Shares with the SEC or any state or foreign securities commission or to seek      approval or clearance from any governmental authority for the issuance of the Performance Shares      and Shares. Further, you agree that the Company shall have unilateral authority to amend the 2013      Plan and the Agreement without your consent to the extent necessary to comply with securities or      other laws applicable to issuance of shares.        16. Waiver. You  acknowledge  that  a  waiver  by  the  Company  of  breach  of  any  provision  of  this      Agreement shall not operate or be construed as a waiver of any other provision of this Agreement, or      of any subsequent breach by you or any other participant.          17. Appendix.  Notwithstanding  any  provisions  in  this  Agreement,  the  Performance  Shares  shall  be      subject to any special terms and conditions set forth in any Appendix attached to this Agreement for      your  country  to  the  extent  that  the  Company  determines  that  the  application  of  such  terms  and      conditions  is  necessary  or  advisable  in  order  to  comply  with  local  law  or  to  facilitate  the      administration of the 2013 Plan. Moreover, if you relocate to or from one of the countries included      in any such Appendix, the special terms and conditions for the country you are moving from and/or      the country you are moving to will apply to you to the extent that the Company determines that the      application of such terms and conditions is necessary or advisable in order to comply with local law      or to facilitate the administration of the 2013 Plan. If included, any such Appendix is incorporated in      and constitutes part of this Agreement.          18. Imposition of Other Requirements.  The Company reserves the right to impose other requirements      on your participation in the 2013 Plan, on the Performance Shares and on any Shares acquired under      the 2013 Plan, provided such requirements do not conflict with the Severance Plan, to the extent that      the Company determines it is necessary or advisable in order to comply with local law or to facilitate      the  administration  of the  2013  Plan,  and  to  require  you  to  sign  any  additional  agreements  or      undertakings that may be necessary to accomplish the foregoing.          19. Section 409A. The  Performance  Shares  are  is  intended  to  qualify  for  the  “short-term  deferral”      exemption from Section 409A of the Code, and the provisions of this Agreement between you and      the  Company  will  be  interpreted,  operated  and  administered  in  a  manner  consistent  with  these      intentions. The right to payment triggered by each installment vesting date or vesting event pursuant      to this Agreement is intended to be a right to a separate payment for purposes of Section 409A of the      Code. The Company reserves the right, to the extent the Company deems necessary or advisable in      its sole discretion, without your consent, to unilaterally amend or modify the 2013 Plan and/or this      Agreement to ensure that the Performance Shares qualify for exemption from or comply with Section      409A  of  the  Code;  provided,  however,  that  the  Company  makes  no  representations  that  the      Performance Shares will be exempt from Section 409A of the Code and makes no undertaking to                                                                          Page 10 of 13  

 

                preclude Section 409A of the Code from applying to the Performance Shares. With respect to any  amounts payable under this Agreement that are subject to Section 409A of the Code, (i) it is intended,  and this Agreement will be so construed, that such amounts and the Company’s and your exercise of  authority or discretion hereunder shall comply with the provisions of Section 409A of the Code so as  not to subject you to the payment of interest and additional tax that may be imposed under Section  409A of the Code; (ii) any provisions of this Agreement that provide for payment of compensation  triggered by your termination of employment other than on account of your death shall be deemed to  provide for payment that is triggered only by your “separation from service” within the meaning of  Treasury Regulation Section §1.409A-1(h) (a “Section 409A Separation from Service”), (iii) if you  are a “specified employee” within the meaning of Treasury Regulation Section §1.409A-1(i) on the  date of your Section 409A Separation from Service (with such status determined by the Company in  accordance with rules established by the Company in writing in advance of the “specified employee  identification date” that relates to the date of such Section 409A Separation from Service or in the  absence of such rules established by the Company, under the default rules for identifying specified  employees under Treasury Regulation Section 1.409A-1(i)), such compensation triggered by such  Section 409A Separation from Service shall be paid to you six months following the date of such  Section 409A Separation from Service (provided, however, that if you die after the date of such  Section 409A Separation from Service, this six month delay shall not apply from and after the date  of  your  death),  and  (iv)  to  the  extent  necessary  to  comply  with  Section  409A  of  the  Code,  the  definition of change in control that applies under Section 409A of the Code shall apply under this  Agreement to the extent that it is more restrictive than the definition of change in control that would  otherwise apply. The Company will have no liability to you or to any other party if the Performance  Shares, the vesting of the Performance Shares, delivery of Shares in payment of the Performance  Shares or any other event hereunder that is intended to be exempt from or compliant with Section  409A of the Code, is not so exempt or compliant, or for any action taken by the Company with respect  thereto.                                                                                            Page 11 of 13  

 

                                              EXHIBIT A                     CALCULATION OF RELATIVE TOTAL SHAREHOLDER RETURN                                                      •  “Relative Total Shareholder Return” means the Company’s TSR relative to the TSR of the Peer Companies.      Relative Total Shareholder Return will be determined by ranking the Company and the Peer Companies from     highest to lowest according to their respective TSRs.  After this ranking, the percentile performance of the     Company relative to the Peer Companies will be determined as follows:                                                      R 1                                           P  1                                                  N  1    Where: “P” represents the percentile performance which will be rounded, if necessary, to the nearest whole  percentile by application of regular rounding.           “N” represents the remaining number of Peer Companies, plus the Company.           “R” represents Company’s ranking among the Peer Companies.    Example: If there are 24 Peer Companies, and the Company ranked 7th, the performance would be at the 75th  percentile: .75 = 1 – ((7-1)/(25-1)).    Relative Total Shareholder Return shall be calculated by the Compensation Committee of the Board of Directors of  the Company based on the terms set forth in this Exhibit A and in the Compensation Committee’s sole and absolute  discretion.     •  “TSR” means, for each of the Company and the Peer Companies, the company’s total shareholder return,     expressed as a percentage, which will be calculated by dividing (i) the Closing Average Share Value by (ii) the     Opening Average Share Value and subtracting one from the quotient.   •   “Opening Average Share Value” means the average, over the trading days in the Opening Average Period, of     the closing price of a company’s stock multiplied by the Accumulated Shares for each trading day during the     Opening Average Period.   •  “Opening Average Period” means the 30 trading days ending on the last trading day immediately preceding     _______ _, 20__.   •  “Accumulated Shares” means, for a given trading day, the sum of (i) one (1) share and (ii) a cumulative number     of shares of the company’s common stock purchased with dividends declared on a company’s common stock,     assuming same day reinvestment of the dividends in the common stock of a company at the closing price on the     ex-dividend date, for ex-dividend dates during the Opening Average Period or between the Grant Date and the     Vesting Date, as applicable.    •  “Closing Average Share Value” means the average, over the trading days in the Closing Average Period, of the     closing price of the company’s stock multiplied by the Accumulated Shares for each trading day during the     Closing Average Period.   •  “Closing Average Period” means the 30 trading days immediately preceding the Vesting Date.                                                                                             Page 12 of 13  

 

   •  “Peer Companies” means the companies included in the NASDAQ Composite Index filtered by the     Semiconductor, Semiconductor Equipment, and Electronics Equipment, Instruments and Components Sectors       •  For purposes of calculating TSR, the value of any Peer Company shares traded on a foreign exchange will be     converted to US dollars.                                                                                                  Page 13 of 13

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00286-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00286-of-00352.parquet"}]]