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REDUCTION IN FORCE SEPARATION BENEFITS PLAN
SECTION 1. PURPOSE
This Plan (as defined herein) is designed to provide separation pay and benefits to Eligible Employees (as defined herein)
of the Company (as defined herein) pursuant to the terms and conditions set forth in this Plan. The Plan is intended to be an
employee welfare benefit plan, as defined in Section 3(1) of ERISA (as defined herein) and shall be interpreted to effectuate this
intent. This document shall serve as both a plan document and summary plan description for purposes of Title I of ERISA.
SECTION 2. EFFECTIVE DATE AND TERM
Any and all of the Company's policies and practices regarding severance benefits or similar payments upon employment
termination or position elimination with respect to Eligible Employees, other than written employment or separation agreements
with the Company that provide severance benefits executed prior to the effective date of this Plan, are hereby superseded by
this Plan, effective as of April 1, 2001. This plan will remain in effect for the period from April 1, 2001 through March 31, 2002, at
which time it shall automatically terminate and cease to be in effect, unless earlier renewed by the Board of Directors of
SECTION 3. DEFINITIONS
(a) "Base Pay" means the Eligible Employee's wages earned on a weekly basis determined as of the Eligible Employee's
Termination Date (as defined herein), excluding bonuses and commissions, and, if paid hourly, is based on the average number
of regularly scheduled hours worked per week for the three months preceding the Termination Date.
(b) "Board" means the Board of Directors of Cymer, Inc.
(c) "Cause" means, with respect to a particular Eligible Employee: (i) fraud, misappropriation, embezzlement or other act
of misconduct against the Company; (ii) conviction of a felony; (iii)