2.4 The Parties acknowledge that the Company has waived at the date of notification of the dismissal, all non-compete obligation and non-solicitation obligation. Therefore, no financial compensation is due in this respect to Mr. RONDE.
3.1 As a concession, the Company agrees for Mr. RONDE to an accelerated vesting of his equity called Restricted Stock Units (“RSU”) and Performance Stock Units (“PSU”). The RSUs and PSUs are governed by the terms and conditions of the Cohu Group’s 2005 Equity Incentive Plan (the “Cohu Equity Plan”).
Therefore and as a settlement which is considered as lump sum, global, final, all matters aggregated, Mr. RONDE will be able to vest:
● 36,914 RSUs on 30 November 2020, and
● 27,027 PSUs on 28 February 2021 at the latest (the Parties agree that the actual number of PSUs to be vested and issued as shares is expressly contingent upon the actual achievement of the corporate total shareholder value metrics for fiscal years 2019 and 2020 as set forth in the Cohu Equity Plan and as such metrics are finally approved by the Cohu Group board of directors).
This grant made in 2 steps will be executed after withholding at source of any income tax at a rate of tax communicated by the French tax authorities and after deduction of the applicable social security charges and the CSG and CRDS payable by Mr. RONDE since the share plans are considered as non-qualified plans.
Upon effective execution of these grants, Mr. RONDE will give full release to the Company.
3.2 In addition, the notice of termination as provided by the CBA for a period of six (6) months, which was initially due to end on April 22, 2021, will be extended until March 31, 2022 (hereinafter the “Termination Date”), which Mr. RONDE hereby accepts.
From 22 October 2020 to 5 February 2021, Mr. RONDE will continue to work during his notice period on a full-time basis.
Then, from 6 February 2021 to 31 May 2021, Mr. RONDE will work on a one-week per month basis (i.e., 5 working days) since he will take his paid vacation for the remaining days during this period. His counter of accrued paid holidays will therefore be fully liquidated on the Termination Date.
From 1st June 2021 to 31st March 2022, he will perform his notice period on a part-time basis, i.e. approximately 20% of his working time. During this period, Mr. RONDE's duties and responsibilities will be reduced. The Company will solicit Mr. RONDE, at a minimum, who will respond to some solicitations by e-mail or telephone calls. He will consequently receive a notice period indemnity of a gross monthly amount of EUR 4,167. During this part-time period, Mr. RONDE will not be eligible for any automobile allowance, and any reimbursable business expenses must be approved in advance by the company.