such award being repurchased by us at the original issuance price pursuant to a contractual repurchase right) or that result in any shares not being issued (including as a result of a SAR or an RSU that was settleable either in cash or in stock actually being settled in cash) will again be available for the grant of awards under the 2022 Plan (subject, in the case of incentive stock options, to any limitations under the Code). In the case of the exercise of a SAR, the number of shares counted against the shares available for the grant of awards and against the per-participant limit of the 2022 Plan will be the full number of shares subject to the SAR multiplied by the percentage of the SAR actually exercised, regardless of the number of shares actually used to settle the SAR upon exercise, and the shares covered by a tandem SAR will not again become available for grant upon the expiration or termination of the tandem SAR.

Shares of Common Stock that are delivered (by actual delivery, attestation or net exercise) to us by a participant to purchase shares of Common Stock upon exercise of an award or to satisfy tax withholding obligations (including shares retained from the award creating the tax obligation) will not be added back to the number of shares available for the future grant of awards under the 2022 Plan. Shares purchased by us on the open market using proceeds from the exercise of an award will not increase the number of shares available for future grant of awards.

In connection with a merger or consolidation of an entity with us or our acquisition of property or stock of an entity, our Board of Directors may grant awards under the 2022 Plan in substitution for any options or other stock or stock-based awards granted by such entity or an affiliate thereof on such terms as our Board of Directors determines appropriate in the circumstances, notwithstanding any limitation on awards contained in the 2022 Plan. No such substitute awards shall count against the overall share limits or any sub-limits of the 2022 Plan, except as required by reason of Section 422 and related provisions of the Code.

Descriptions of Awards

Options. Optionees receive the right to purchase a specified number of shares of Common Stock at a specified exercise price and subject to the other terms and conditions that are specified in connection with the option grant. An option that is not intended to be an “incentive stock option” is a “non-statutory stock option.” Options may not be granted at an exercise price that is less than 100% of the fair market value of our Common Stock on the date of grant. If our Board of Directors approves the grant of an option with an exercise price to be determined on a future date, the exercise price may not be less than 100% of the fair market value of our Common Stock on that future date. Under present law, incentive stock options may not be granted at an exercise price less than 110% of the fair market value in the case of stock options granted to optionees holding more than 10% of the total combined voting power of all classes of our stock or any of our subsidiaries. Under the terms of the 2022 Plan, options may not be granted for a term in excess of ten years (and, under present law, five years in the case of incentive stock options granted to optionees holding greater than 10% of the total combined voting power of all classes of our stock or any of our subsidiaries). The 2022 Plan permits participants to pay the exercise price of options using one or more of the following manners of payment: (i) payment by cash or by check, (ii) except as may otherwise be provided in the applicable option agreement or approved by our Board of Directors, in connection with a “cashless exercise” through a broker, (iii) to the extent provided in the applicable option agreement or approved by our Board of Directors, and subject to certain conditions, by delivery to us of shares of Common Stock owned by the participant valued at their fair market value, (iv) to the extent provided in an applicable non-statutory stock option agreement or approved by our Board of Directors, by delivery of a notice of “net exercise” as a result of which we will retain a number of shares of Common Stock otherwise issuable pursuant to the stock option equal to the aggregate exercise price for the portion of the option being exercised divided by the fair market value of our Common Stock on the date of exercise, (v) to the extent permitted by applicable law and provided for in the applicable option agreement or approved by our Board of Directors, by any other lawful means (but not by a promissory note of the participant), or (vi) by any combination of these forms of payment. No option granted under the 2022 Plan may contain a provision entitling the participant to the automatic grant of additional options in connection with any exercise of the original option. No options granted under the 2022 Plan may provide for the payment or accrual of dividend equivalents.

Stock Appreciation Rights.A SAR is an award entitling the holder, upon exercise, to receive a number of shares of our Common Stock, or cash (or a combination of shares of our Common Stock and cash) determined by reference to appreciation, from and after the date of grant, in the fair market value of a share of our Common

~~assure that at least two meetings per year of only the independent directors are held and chair any such meetings of the independent directors;~~


facilitate communications and serve as a liaison between the independent directors and the Chairman of the Board of Directors and/or the Chief Executive Officer, provided that any director is free to communicate directly with the ChairmanMKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				16

Stock over the measurement price. The 2022 Plan provides that the measurement price of a SAR may not be less than the fair market value of our Common Stock on the date the SAR is granted (provided, however, that if our Board of Directors approves the grant of a SAR effective as of a future date, the measurement price shall not be less than 100% of the fair market value on such future date) and that SARs may not be granted with a term in excess of 10 years. No SARs granted under the 2022 Plan may contain a provision entitling the participant to the automatic grant of additional SARs in connection with any exercise of the original SAR. No SARs granted under the 2022 Plan may provide for the payment or accrual of dividend equivalents.

Limitation on Repricing of Options or SARs. With respect to options and SARs, unless such action is approved by shareholders or otherwise permitted under the terms of the 2022 Plan in connection with certain changes in capitalization and reorganization events, we may not (1) amend any outstanding option or SAR granted under the 2022 Plan to provide an exercise price or measurement price per share that is lower than the then-current exercise price or measurement price per share of such outstanding option or SAR, (2) cancel any outstanding option or SAR (whether or not granted under the 2022 Plan) and grant in substitution therefor new awards under the 2022 Plan (other than certain substitute awards issued in connection with an acquisition by us, described above) covering the same or a different number of shares of our Common Stock and having an exercise price or measurement price per share lower than the then-current exercise price or measurement price per share of the canceled option or SAR, (3) cancel in exchange for a cash payment any outstanding option or SAR with an exercise price or measurement price per share above the then-current fair market value of our Common Stock or (4) take any other action under the 2022 Plan that constitutes a “repricing” within the meaning of the rules of the Nasdaq Stock Market, or Nasdaq.

Restricted Stock Awards.Restricted stock awards entitle recipients to acquire shares of our Common Stock, subject to our right to repurchase all or part of such shares at their issue price or other stated or formula price (or to require forfeiture of such shares if issued at no cost) in the event that the conditions specified in the applicable award are not satisfied prior to the end of the applicable restriction period established for such award. Any dividends (whether paid in cash, stock or property) declared and paid by us with respect to shares of restricted stock will be paid to the participant only if and when such shares become free from the restrictions on transferability and forfeitability that apply to such shares.

Restricted Stock Unit Awards. RSUs entitle the recipient to receive shares of our Common Stock, or cash equal to the fair market value of such shares, to be delivered at the time such award vests or on a deferred basis pursuant to the terms and conditions established by our Board of Directors. Our Board of Directors may provide that settlement of RSUs will be deferred on a mandatory basis or, at the election of the participant, in a manner that complies with Section 409A of the Code. A participant has no voting rights with respect to any RSU. Our Board of Directors may provide that a grant of RSUs may provide the participant with the right to receive an amount equal to any dividends or other distributions declared and paid on an equal number of outstanding shares of our Common Stock. Any such dividend equivalents may be settled in cash and/or shares of our Common Stock and will be subject to the same restrictions on transfer and forfeitability as the RSUs with respect to which such dividend equivalents are awarded.

Other Stock-Based Awards. Under the 2022 Plan, our Board of Directors may grant other awards of shares of our Common Stock, and other awards that are valued in whole or in part by reference to, or are otherwise based on, shares of our Common Stock or other property, having such terms and conditions as our Board of Directors may determine. We refer to these types of awards as other stock-based awards. Other stock-based awards may be available as a form of payment in settlement of other awards granted under the 2022 Plan or as payment in lieu of compensation to which a participant is otherwise entitled. Other stock-based awards may be paid in shares of our Common Stock or in cash, as our Board of Directors may determine. The award agreements of other stock-based awards may provide the holder of these awards with the right to receive dividend equivalents. Dividend equivalents may be settled in cash and/or shares of our Common Stock and will be subject to the same restrictions on transfer and forfeitability as the other stock-based award with respect to which they are awarded.

Cash Awards. Under the 2022 Plan, the Board of Directors has the right to grant cash-based awards, including awards subject to performance conditions.


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				17

Performance Conditions. Our Board of Directors may specify that the degree of granting, vesting and/or payout of any award subject to performance-based vesting conditions will be subject to the achievement of one or more of the following performance measures established by the Board of Directors, which may be based on the relative or absolute attainment of specified levels of one or any combination of the following measures (and which may be determined pursuant to generally accepted accounting principles (“GAAP”) or on a non-GAAP basis, as determined by the Board of Directors): net income, earnings before or after discontinued operations, interest, taxes, depreciation and/or amortization, earnings per share, earnings per share before or after discontinued operations, interest, taxes, depreciation and/or amortization, bookings, bookings growth, revenue, revenue growth, operating profit before or after discontinued operations and/or taxes, operating expenses, gross margin, operating margin, profit margin, cost savings, inventory management, working capital, customer satisfaction, product quality, manufacturing objectives, completion of strategic acquisitions/dispositions, receipt of regulatory approvals, cash position, earnings growth, cash flow or cash position, stock price, market share, return on sales, assets, equity or investment, improvement of financial ratings, achievement of balance sheet, income statement or cash flow objectives, total shareholder return or any other performance measure as the Board of Directors may determine. These goals may reflect absolute entity or business unit performance or a relative comparison to the performance of a peer group of entities or other external measure of the selected performance criteria and may be absolute in their terms or measured against or in relationship to other companies comparably, similarly or otherwise situated. The Board of Directors may specify that such performance measures will be adjusted to exclude any one or more of (i) extraordinary, non-recurring charges or other events, (ii) gains or losses on the dispositions of discontinued operations, (iii) other non-standard gains or losses, (iv) the cumulative effects of changes in accounting principles, (v) the write-down of any asset, (vi) fluctuation in foreign currency exchange rates, (vii) amortization of acquired intangible assets, (viii) acquisition and divestiture related charges or credits, (ix) litigation or claim judgments or settlements, (x) gain on sale of assets (xi) excess and obsolete inventory adjustments, (xii) tax effects of adjustments, (xiii) the effect of changes in tax laws or other laws affecting reported results, (xiv) charges for restructuring and reorganization programs and (xv) any other factors as the Board of Directors may determine. Such performance measures: (x) may vary by participant and may be different for different awards; (y) may be particular to a participant or the department, branch, line of business, subsidiary or other unit in which the participant works and (z) may cover such period as may be specified by the Board of Directors. The Board of Directors will have the authority to make equitable adjustments to the performance goals in recognition of unusual or non-recurring events affecting the Company or the financial statements of the Company, in response to changes in applicable laws or regulations or to account for items of gain, loss or expense determined to be extraordinary or unusual in nature or infrequent in occurrence or related to the disposal of a segment of a business or related to a change in accounting principles. Our Board of Directors may adjust the cash or number of shares payable pursuant to a performance award, and the Board of Directors may, at any time, waive the achievement of the applicable performance measures. Notwithstanding its designation as a performance award, no option or SAR will provide for the payment or accrual of dividend equivalents, any dividends declared and paid by the Company with respect to shares of restricted stock will be subject to the same dividend rules for restricted stock awards not designated as a performance award and any right to receive dividend equivalents on an award of RSUs and other stock-based awards will be subject to the same dividend equivalent rules for such awards that are not designated as a performance award.

Eligibility to Receive Awards

All of our employees, officers, and directors, as well as our consultants and advisors, are eligible to receive awards under the 2022 Plan. However, incentive stock options may only be granted to our employees, employees of our present or future parent or subsidiary corporations, and employees of any other entities the employees of which are eligible to receive incentive stock options under the Code.

Transferability of Awards

Awards may not be sold, assigned, transferred, pledged or otherwise encumbered by a participant, either voluntarily or by operation of law, except by will or the laws of descent and distribution or, other than in the case of an incentive stock option, pursuant to a qualified domestic relations order. During the life of the participant, awards are exercisable only by the participant. However, except with respect to awards that are subject to Section 409A of the Code and incentive stock options, our Board of Directors may permit or provide in an award for the gratuitous transfer of the award by the participant to or for the benefit of any immediate family member,


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				18

family trust or other entity established for the benefit of the participant and/or an immediate family member thereof if we would be eligible to use a Form S-8 under the Securities Act of 1933, as amended, for the registration of the sale of the Common Stock subject to such award to the proposed transferee. Further, we are not required to recognize any transfer until such time as the participant and the permitted transferee have, as a condition to the transfer, delivered to us a written instrument in form and substance satisfactory to us confirming that such transferee will be bound by all of the terms and conditions of the award. None of the restrictions described in this paragraph prohibit a transfer from the participant to the Company.

No Rights as a Shareholder; Clawback

No participant shall have any rights as a shareholder with respect to any shares of Common Stock to be distributed with respect to an award granted under the 2022 Plan until becoming a record holder of such shares, subject to the terms of an award agreement. In accepting an award under the 2022 Plan, a participant agrees to be bound by any clawback policy that the Company has in effect or may adopt in the future.

Plan Benefits

As of March 2, 2022, seven executive officers (all of whom are also employees) and seven directors (excluding the CEO, who is an executive officer) would be eligible to receive awards under the 2022 Plan. In addition, the 2022 Plan permits grants of awards to employees. As of March 2, 2022, we had approximately 6,000 employees. The granting of awards under the 2022 Plan is discretionary, and the Company cannot now determine the number or type of awards to be granted in the future to any particular person or group.

On March 2, 2022, the last reported sale price of our Company Common Stock on Nasdaq was $153.42.

Administration

The 2022 Plan will be administered by our Board of Directors. Our Board of Directors has the authority to grant awards, to adopt, amend and repeal the administrative rules, guidelines and practices relating to the 2022 Plan that it deems advisable, and to construe and interpret the provisions of the 2022 Plan and any award agreements entered into under the 2022 Plan. Our Board of Directors may correct any defect, supply any omission or reconcile any inconsistency in the 2022 Plan or any award. All actions and decisions by our Board of Directors with respect to the 2022 Plan and any awards made under the 2022 Plan will be made in our Board of Directors’ discretion and will be final and binding on all persons having or claiming any interest in the 2022 Plan or in any award.

Pursuant to the terms of the 2022 Plan, our Board of Directors may delegate any or all of its powers under the 2022 Plan to one or more committees or subcommittees of our Board of Directors. The Board of Directors has authorized the Compensation Committee to administer certain aspects of the 2022 Plan. Awards granted to non-employee directors must be granted and administered by a committee of the Board of Directors, all of the members of which are independent directors as defined by Section 5605(a)(2) or any successor provision of the Nasdaq Marketplace Rules.

Subject to any applicable limitations contained in the 2022 Plan, the Board of Directors, the Compensation Committee, or any other committee to whom the Board of Directors delegates authority, as the case may be, selects the recipients of awards and determines (i) the number of shares of Common Stock, cash or other consideration covered by awards and the terms and conditions of such awards, including the dates upon which such awards become exercisable or otherwise vest, (ii) the exercise or measurement price of awards, if any, and (iii) the duration of awards.

Each award under the 2022 Plan may be made alone or in addition or in relation to any other award. The terms of each award need not be identical, and our Board of Directors need not treat participants uniformly. Our Board of Directors will determine the effect on an award of the disability, death, termination or other cessation of employment or service, authorized leave of absence or other change in the employment or other service status of a participant, and the extent to which, and the period during which, the participant (or the participant’s legal representative, conservator, guardian or designated beneficiary) may exercise rights or receive any benefits under an award. The Board of Directors may at any time provide that any award shall become immediately exercisable in whole or in part, free from some or all restrictions or conditions or otherwise realizable in whole or in part, as the case may be.


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				19

In the event of any stock split, reverse stock split, stock dividend, recapitalization, combination of shares, reclassification of shares, spin-off or other similar change in capitalization or event, or any dividend or distribution to holders of our Common Stock, other than an ordinary cash dividend, we are required to make equitable adjustments (or make substituted awards, as applicable), in the manner determined by our Board of Directors, to (i) the number and class of securities available under the 2022 Plan, (ii) the share counting rules set forth in the 2022 Plan, (iii) the sub-limit contained in the 2022 Plan, (iv) the number and class of securities and exercise price per share of each outstanding option, (v) the share- and per-share provisions and the measurement price of each outstanding SAR, (vi) the number of shares subject to and the repurchase price per share subject to each outstanding award of restricted stock, and (vi) the share and per-share-related provisions and the purchase price, if any, of each outstanding RSU award and each outstanding other stock-based award.

We will indemnify and hold harmless each director, officer, employee or agent to whom any duty or power relating to the administration or interpretation of the 2022 Plan has been or will be delegated against any cost or expense (including attorneys’ fees) or liability (including any sum paid in settlement of a claim with our Board of Directors’ approval) arising out of any act or omission to act concerning the 2022 Plan unless arising out of such person’s own fraud or bad faith.

Amendment of awards. Except as otherwise provided under the 2022 Plan with respect to repricing outstanding stock options or SARs and with respect to actions requiring shareholder approval, our Board of Directors may amend, modify or terminate any outstanding award, including but not limited to, substituting therefor another award of the same or a different type, changing the date of exercise or realization, and converting an incentive stock option to a non-statutory stock option, provided that the participant’s consent to any such action will be required unless our Board of Directors determines that the action, taking into account any related action, does not materially and adversely affect the participant’s rights under the 2022 Plan or the change is otherwise permitted under the terms of the 2022 Plan in connection with a change in capitalization or reorganization event.

Reorganization Events

The 2022 Plan contains provisions addressing the consequences of any reorganization event. A reorganization event is defined under the 2022 Plan as (a) any merger or consolidation of us with or into another entity as a result of which all of our Common Stock is converted into or exchanged for the right to receive cash, securities or other property, or is canceled, (b) any transfer or disposition of all of our Common Stock for cash, securities or other property pursuant to a share exchange or other transaction or (c) our liquidation or dissolution.

Provisions Applicable to Awards Other than Restricted Stock. Under the 2022 Plan, if a reorganization event occurs, our Board of Directors may take any one or more of the following actions as to all or any (or any portion of) outstanding awards other than restricted stock on such terms as our Board of Directors determines (except to the extent specifically provided otherwise in an applicable award agreement or another agreement between a participant and us): (1) provide that such awards shall be assumed, or substantially equivalent awards shall be substituted, by the acquiring or succeeding corporation (or an affiliate thereof), (2) upon written notice to a participant, provide that all of the participant’s unvested awards will be forfeited immediately before the reorganization event and/or that all of the participant’s unexercised awards will terminate immediately prior to the consummation of such reorganization event unless exercised by the participant (to the extent then exercisable) within a specified period following the date of such notice, (3) provide that outstanding awards shall become exercisable, realizable, or deliverable, or restrictions applicable to an award shall lapse, in whole or in part prior to or upon such reorganization event, (4) in the event of a reorganization event under the terms of which holders of our Common Stock will receive upon consummation thereof a cash payment for each share surrendered in the reorganization event, which we refer to as the Acquisition Price, make or provide for a cash payment to participants with respect to each award held by a participant equal to (A) the number of shares of our Common Stock subject to the vested portion of the award (after giving effect to any acceleration of vesting that occurs upon or immediately prior to such reorganization event) multiplied by (B) the excess, if any, of (I) the Acquisition Price over (II) the exercise, measurement or purchase price of such award and any applicable tax withholdings, in exchange for the termination of such award, provided, that if the Acquisition Price per share (as determined by our Board of Directors) does not exceed the exercise price of the award, then the award will be canceled without any payment of consideration, (5) provide that, in connection with our liquidation or dissolution, awards shall convert


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				20

into the right to receive liquidation proceeds (if applicable, net of the exercise, measurement or purchase price thereof and any applicable tax withholdings) and (6) any combination of the foregoing. Our Board of Directors is not obligated to treat all awards, all awards held by a participant, or all awards of the same type, identically. Certain RSU awards that are subject to Section 409A of the Code will be settled in accordance with the terms of the applicable award agreement. Our Board of Directors, with reasonable notice to participants holding options or SARs, may impose a limitation on the ability these participants to exercise their awards for the minimum number of days prior to the closing of the reorganization event as is reasonably necessary to facilitate the orderly closing of the reorganization event.

Provisions Applicable to Restricted Stock. Upon the occurrence of a reorganization event other than our liquidation or dissolution, our repurchase and other rights with respect to outstanding restricted stock will inure to the benefit of our successor and will, unless our Board of Directors determines otherwise, apply to the cash, securities or other property which our Common Stock was converted into or exchanged for pursuant to such reorganization event in the same manner and to the same extent as they applied to such restricted stock. However, our Board of Directors may either provide for termination or deemed satisfaction of such repurchase or other rights under the instrument evidencing any restricted stock or any other agreement between a participant and us, either initially or by amendment or provide for forfeiture of such restricted stock if issued at no cost. Upon the occurrence of a reorganization event involving our liquidation or dissolution, except to the extent specifically provided to the contrary in the instrument evidencing any award of restricted stock or any other agreement between the participant and us, all restrictions and conditions on all restricted stock then outstanding shall automatically be deemed terminated or satisfied.

Provisions for Foreign Participants

The Board of Directors may establish one or more sub-plans under the 2022 Plan to satisfy applicable securities, tax or other laws of various jurisdictions. The Board of Directors will establish such sub-plans by adopting supplements to the 2022 Plan containing any limitations on the Board of Directors’ discretion under the 2022 Plan and any additional terms and conditions not otherwise inconsistent with the 2022 Plan as the Board of Directors deems necessary or desirable. All supplements adopted by the Board of Directors will be deemed to be part of the 2022 Plan, but each supplement will only apply to participants within the affected jurisdiction.

Amendment or Termination

If we receive shareholder approval of the 2022 Plan, no award may be granted under the 2022 Plan after May 9, 2032, but awards previously granted may extend beyond that date. Our Board of Directors may amend, suspend or terminate the 2022 Plan or any portion of the 2022 Plan at any time, except that (i) no amendment may be made to the plan to permit an option or SAR to be repriced without shareholder approval and (ii) no amendment that would require shareholder approval under the rules of the national securities exchange on which the Company then maintains its primary listing may be made effective unless and until such amendment has been approved by our shareholders. If the national securities exchange on which the Company then maintains its primary listing does not have rules regarding when shareholder approval of amendments to equity compensation plans is required (or if our Common Stock is not then listed on any national securities exchange), no amendment of the 2022 Plan materially increasing the number of shares authorized under the plan, expanding the types of awards that may be granted under the plan or materially expanding the class of participants eligible to participate in the plan will be effective unless and until the Company’s shareholders approve such amendment. If at any time the approval of our shareholders is required as to any other modification or amendment under Section 422 of the Code or any successor provision with respect to incentive stock options, our Board of Directors may not effect such modification or amendment without such approval. Unless otherwise specified in the amendment, any amendment to the 2022 Plan adopted in accordance with the procedures described above will apply to, and be binding on the holders of, all awards outstanding under the 2022 Plan at the time the amendment is adopted, provided that our Board of Directors determines that such amendment, taking into account any related action, does not materially and adversely affect the rights of participants under the 2022 Plan. No award will be made that is conditioned on shareholder approval of any amendment to the 2022 Plan unless the award provides that (i) it will terminate or be forfeited if shareholder approval of such amendment is not obtained within no more than 12 months from the date the award was granted and (ii) it may not be exercised or settled (or otherwise result in the issuance of shares of our Common Stock) prior to the receipt of such shareholder approval.


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				21

If shareholders do not approve the adoption of the 2022 Plan, the 2022 Plan will not go into effect, and the Company will not grant any awards under the 2022 Plan. In this event, the Board of Directors will consider whether to adopt alternative arrangements based on its assessment of the needs of the Company.

Federal Income Tax Consequences

The following is a summary of the United States federal income tax consequences that generally will arise with respect to awards granted under the 2022 Plan. This summary is based on the federal tax laws in effect as of the date of this proxy statement. In addition, this summary assumes that all awards are exempt from, or comply with, the rules under Section 409A of the Code regarding nonqualified deferred compensation. Changes to these laws could alter the tax consequences described below.

Incentive Stock Options. A participant will not have income upon the grant of an incentive stock option. Also, except as described below, a participant will not have income upon exercise of an incentive stock option if the participant has been employed by the Company or its corporate parent or 50% or majority-owned corporate subsidiary at all times beginning with the option grant date and ending three months before the date the participant exercises the option. If the participant has not been so employed during that time, then the participant will be taxed as described below under “Non-statutory Stock Options.” The exercise of an incentive stock option may subject the participant to the alternative minimum tax.

A participant will have income upon the sale of the stock acquired under an incentive stock option at a profit (if sales proceeds exceed the exercise price). The type of income will depend on when the participant sells the stock. If a participant sells the stock more than two years after the option was granted and more than one year after the option was exercised, then all of the profit will be long-term capital gain. If a participant sells the stock prior to satisfying these waiting periods, then the participant will have engaged in a disqualifying disposition and a portion of the profit will be ordinary income and a portion may be capital gain. This capital gain will be long-term if the participant has held the stock for more than one year and otherwise will be short-term. If a participant sells the stock at a loss (sales proceeds are less than the exercise price), then the loss will be a capital loss. This capital loss will be long-term if the participant held the stock for more than one year and otherwise will be short-term.

Non-statutory Stock Options.A participant will not have income upon the grant of a non-statutory stock option. A participant will have compensation income upon the exercise of a non-statutory stock option equal to the value of the stock on the day the participant exercised the option less the exercise price. Upon sale of the stock, the participant will have capital gain or loss equal to the difference between the sales proceeds and the value of the stock on the day the option was exercised. This capital gain or loss will be long-term if the participant has held the stock for more than one year and otherwise will be short-term.

Stock Appreciation Rights.A participant will not have income upon the grant of a SAR. A participant generally will recognize compensation income upon the exercise of a SAR equal to the amount of the cash and the fair market value of any stock received. Upon the sale of the stock, the participant will have capital gain or loss equal to the difference between the sales proceeds and the value of the stock on the day the SAR was exercised. This capital gain or loss will be long-term if the participant held the stock for more than one year and otherwise will be short-term.

Restricted Stock Awards.A participant will not have income upon the grant of restricted stock unless an election under Section 83(b) of the Code is made within 30 days of the date of grant. If a timely 83(b) election is made, then a participant will have compensation income equal to the value of the stock less the purchase price. When the stock is sold, the participant will have capital gain or loss equal to the difference between the sales proceeds and the value of the stock on the date of grant. If the participant does not make an 83(b) election, then when the stock vests the participant will have compensation income equal to the value of the stock on the vesting date less the purchase price. When the stock is sold, the participant will have capital gain or loss equal to the sales proceeds less the value of the stock on the vesting date. Any capital gain or loss will be long-term if the participant held the stock for more than one year and otherwise will be short-term.

Restricted Stock Units. A participant will not have income upon the grant of an RSU. A participant is not permitted to make a Section 83(b) election with respect to an RSU award. When the RSU vests, the participant will


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				22

have income on the vesting date in an amount equal to the fair market value of the stock on the vesting date less the purchase price, if any. When the stock is sold, the participant will have capital gain or loss equal to the sales proceeds less the value of the stock on the vesting date. Any capital gain or loss will be long-term if the participant held the stock for more than one year and otherwise will be short-term.

Other Stock-Based Awards. The tax consequences associated with any other stock-based award granted under the 2022 Plan will vary depending on the specific terms of such award. Among the relevant factors are whether or not the award has a readily ascertainable fair market value, whether or not the award is subject to forfeiture provisions or restrictions on transfer, the nature of the property to be received by the participant under the award, and the participant’s holding period and tax basis for the award or underlying Common Stock.

Tax Consequences to the Company. There will be no tax consequences to the Company except that the Company will be entitled to a deduction when a participant has compensation income, subject to the limitations of Section 162(m) of the Code.

THE BOARD OF DIRECTORS RECOMMENDS THAT YOU VOTE “FOR” THE APPROVAL OF THE MKS INSTRUMENTS, INC. 2022 STOCK INCENTIVE PLAN.


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				23

PROPOSAL THREE – ADVISORY VOTE ON EXECUTIVE COMPENSATION

The Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, or the Dodd-Frank Act, enables our shareholders to vote to approve, on a non-binding, advisory basis, the compensation of our Named Executive Officers as disclosed in this proxy statement under the heading “Executive Compensation” including “Compensation Discussion and Analysis,” the tabular disclosure regarding such compensation, and the accompanying narrative disclosure. This vote is not intended to address any specific item of compensation, but rather the overall compensation of our Named Executive Officers and the philosophy, policies and practices of executive compensation described in this proxy statement. The advisory vote is not a vote on our compensation practices for non-executive employees or our Board of Directors. The Dodd-Frank Act requires the Company to hold the advisory vote on executive compensation at least once every three years, but we have elected to submit the advisory vote to shareholders annually.

As described in detail under the heading “Executive Compensation — Compensation Discussion and Analysis,” our executive compensation program is designed to attract, motivate, and retain our executive officers, who are critical to our success. Under this program, our executive officers are rewarded for the achievement of specific short-term and long-term goals. Please see the “Compensation Discussion and Analysis” for additional details about our executive compensation program and philosophy, including information about the compensation of our Named Executive Officers.

The Compensation Committee continually reviews the compensation program for our executive officers to ensure it achieves the desired goals of aligning our executive compensation structure with our shareholders’ interests and current market practices. At the 2021 Annual Meeting of Shareholders, our shareholders overwhelmingly approved our executive compensation, with over 98% of the votes cast voting in favor of the “say-on-pay” proposal. The Compensation Committee considered the results of the 2021 “say-on-pay” vote, and based upon strong shareholder support, determined that our executive compensation program did not require any material changes in response to the 2021 “say-on-pay” vote.

Our Board of Directors is asking shareholders to approve a non-binding advisory vote on the following resolution:

RESOLVED, that the compensation paid to the Company’s Named Executive Officers, as disclosed pursuant to the compensation disclosure rules of the SEC, including the Compensation Discussion and Analysis, the compensation tables and any related material disclosed in this proxy statement, is hereby approved.

This vote on the compensation of our Named Executive Officers is advisory, and therefore not binding on the Company, the Compensation Committee or our Board of Directors. Our Board of Directors and our Compensation Committee value the opinions of our shareholders and to the extent there is any significant vote against the Named Executive Officers’ compensation as disclosed in this proxy statement, we will consider our shareholders’ concerns and the Compensation Committee will evaluate whether any actions are necessary to address those concerns.

THE BOARD OF DIRECTORS BELIEVES THAT THE PROPOSAL TO APPROVE, ON A NON-BINDING ADVISORY BASIS, THE EXECUTIVE COMPENSATION CONTAINED IN THIS PROXY STATEMENT IS IN THE BEST INTERESTS OF MKS AND OUR SHAREHOLDERS AND THEREFORE RECOMMENDS A VOTE “FOR” THIS PROPOSAL.


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				24

PROPOSAL FOUR – RATIFICATION OF SELECTION OF

INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

Our Audit Committee has selected PricewaterhouseCoopers LLP, or PwC, as the Company’s independent registered public accounting firm for the fiscal year ending December 31, 2022. PwC was our independent registered public accounting firm for the fiscal year ended December 31, 2021.

Representatives of PwC are expected to attend the 2022 Annual Meeting. They will have the opportunity to make a statement if they so desire and will be available to respond to appropriate questions from shareholders. In the event that the ratification of the selection of PwC as our independent registered public accounting firm is not obtained at the 2022 Annual Meeting, the Board of Directors will reconsider its appointment.

THE BOARD OF DIRECTORS BELIEVES THAT THE PROPOSAL TO RATIFY THE SELECTION OF PWC AS OUR INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM FOR THE FISCAL YEAR ENDING DECEMBER 31, 2022 IS IN THE BEST INTERESTS OF MKS AND OUR SHAREHOLDERS AND THEREFORE RECOMMENDS A VOTE “FOR” THIS PROPOSAL.

CORPORATE GOVERNANCE

Board Independence

The Board of Directors has determined that all of the members of the Board of Directors, other than Mr. Colella and Dr. Lee, are independent as defined under the rules of Nasdaq. Mr. Colella is not independent, as he is our former Chief Executive Officer, and Dr. Lee is not independent as he currently serves as our President and Chief Executive Officer.

Board Leadership Structure

Since 2005, we have separated the roles of Chief Executive Officer and Chair of the Board of Directors in recognition of the differences between the two roles. The Chief Executive Officer is responsible for setting the strategic direction of the Company and the day-to-day leadership and performance of the Company, while the Chair of the Board of Directors provides guidance to the Chief Executive Officer, sets the agenda for Board meetings and presides over meetings of the full Board of Directors.

In addition, our Corporate Governance Guidelines provide that during any period in which the Chair of the Board of Directors is not an independent director, and in such other instances as the Board of Directors may determine from time to time, a Lead Director shall be elected by and from the independent directors. As Mr. Colella, the Chair of our Board of Directors, is not independent, we are currently obligated under our Corporate Governance Guidelines to have a Lead Director. Ms. Moloney has served as our Lead Director since 2020.

The primary role of the Lead Director is to serve as a liaison between the independent directors and the Chair of the Board of Directors and/or the Chief Executive Officer and to represent the independent directors, as appropriate. Pursuant to our Corporate Governance Guidelines, which are posted on our website at https://www.mksinst.com/corporate-governance under Corporate Governance Documents, the Lead Director shall, among other matters:

have the authority to call meetings of the independent directors;

preside at all meetings of the Board of Directors at which the Chair of the Board of Directors is not present;

assure that at least two meetings per year of only the independent directors are held and chair any such meetings of the independent directors;

facilitate communications and serve as a liaison between the independent directors and the Chair of the Board of Directors and/or the Chief Executive Officer, provided that any director is free to communicate directly with the Chair of the Board of Directors and with the Chief Executive Officer;

~~work with the Chairman of the Board of Directors and the Chief Executive Officer in the preparation of the agenda for each Board of Directors meeting and approve each such agenda;~~MKS INSTRUMENTS, INC. | 2022 PROXY STATEMENT

if a meeting is held between a major shareholder and a representative of the independent directors, the Lead Director shall serve, subject to availability, as such representative of the independent directors; and25

~~otherwise consult with the Chairman of the Board of Directors and the Chief Executive Officer on matters relating to corporate governance and performance of the Board of Directors.~~

Our Board of Directors believes that its leadership structure is appropriate at this time for our Company because it strikes an effective balance between management and independent leadership participation in the Board of Directors’ process.

~~Communications from Shareholders~~

The Board of Directors will give attention to written communications that are submitted by shareholders and will respond if appropriate. The Chair of the Nominating and Corporate Governance Committee, with the assistance of our General Counsel, is primarily responsible for monitoring communications from shareholders and for providing copies or summaries to the other directors as he or she considers appropriate. Communications are forwarded to all directors if they relate to important substantive matters and include suggestions or comments that the Chair of the Nominating and Corporate Governance Committee considers to be important for the directors to know. In general, communications relating to corporate governance and long-term corporate strategy are more likely to be forwarded than communications relating to ordinary business affairs, personal grievances and matters as to which we tend to receive repetitive or duplicative communications.

Shareholders who wish to send communications on any topic to the Board of Directors should address such communications to the Board of Directors in care of Kathleen F. Burke, Esq., Senior Vice President, General Counsel and Secretary, MKS Instruments, Inc., 2 Tech Drive, Suite 201, Andover, MA 01810.

~~Code of Business Conduct and Ethics~~

We have adopted a code of business conduct and ethics that applies to all of our directors, officers and employees (including the principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions), which is posted on our website at~~investor.mksinst.com~~ ~~in the Corporate Governance tab. We intend to disclose on our website any amendments to, or waivers for our executive officers or directors from, our code of business conduct and ethics.~~

~~Board’s Role in Risk Oversight~~

~~Management is responsible for theday-to-day~~ management of risks the Company faces, while the Board of Directors, as a whole and through its committees, has the ultimate responsibility for the oversight of risk management. Senior management attends quarterly meetings of the Board of Directors, provides presentations on operations, including significant risks, and is available to address any questions or concerns raised by the Board of Directors. Additionally, our three standing board committees assist the Board of Directors in fulfilling its oversight responsibilities in certain areas of risk. Pursuant to its charter, the Audit Committee coordinates the Board of Directors’ oversight of the Company’s internal controls over financial reporting, disclosure controls and procedures, and code of business conduct and ethics. The Audit Committee also is responsible for discussing the

Company’s policies with respect to financial risk assessment and financial risk management. Management regularly reports to the Audit Committee on these areas. The Compensation Committee assists the Board of Directors in fulfilling its oversight responsibilities with respect to the management of risks arising from our compensation policies and programs as well as succession planning. The Nominating and Corporate Governance Committee assists the Board of Directors in fulfilling its oversight responsibilities with respect to the management of risks associated with board organization, membership and structure, succession planning for our directors, corporate governance and corporate social responsibility.

work with the Chair of the Board of Directors and the Chief Executive Officer in the preparation of the agenda for each Board of Directors meeting and approve each such agenda;

otherwise consult with the Chair of the Board of Directors and the Chief Executive Officer on matters relating to corporate governance and performance of the Board of Directors.

Communications from Shareholders

Code of Business Conduct and Ethics

We have adopted a code of business conduct and ethics that applies to all of our directors, officers and employees (including the principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions), which is posted on our website at https://www.mksinst.com/corporate-governance under Corporate Governance Documents. We intend to disclose on our website any amendments to, or waivers for our executive officers or directors from, our code of business conduct and ethics.

Board’s Role in Risk Oversight

Management is responsible for the day-to-day management of risks the Company faces, while the Board of Directors, as a whole and through its committees, has the ultimate responsibility for the oversight of risk management. Senior management attends quarterly meetings of the Board of Directors, provides presentations on operations, including significant risks, and is available to address any questions or concerns raised by the Board of Directors. Additionally, our three standing board committees assist the Board of Directors in fulfilling its oversight responsibilities in certain areas of risk. Pursuant to its charter, the Audit Committee coordinates the Board of Directors’ oversight of the Company’s internal controls over financial reporting, disclosure controls and procedures, and code of business conduct and ethics. The Audit Committee also is responsible for discussing the Company’s policies with respect to financial risk assessment and financial risk management and overseeing the steps management has taken with respect to data privacy and cybersecurity risk exposure. Management regularly reports to the Audit Committee on these areas. The Compensation Committee assists the Board of Directors in fulfilling its oversight responsibilities with respect to the management of risks arising from our compensation policies and programs as well as succession planning. The Nominating and Corporate Governance Committee assists the Board of Directors in fulfilling its oversight responsibilities with respect to the management of risks associated with board organization, membership and structure, succession planning for our directors, corporate governance and corporate social responsibility, including climate-related risks. In addition, from time to time, the Board of Directors may constitute a special committee to focus on a particular matter or risk. When any of the committees receives a report related to material risk oversight, the chair of the relevant committee reports on the discussion to the full Board of Directors.

~~Transactions with Related Persons~~

Our code of business conduct and ethics sets forth the general principle that our directors, officers and employees should refrain from engaging in any activity having a personal interest that presents a conflict of interest. The code of business conduct and ethics prohibits directors, officers and employees from engaging in any activity that may reasonably be expected to give rise to a conflict of interest or to adversely affect our interests. The code of business conduct and ethics provides that all employees are responsible to disclose to their managers, the Human Resources Department or the Legal Department any material transaction or relationship that reasonably could be expected to give rise to a material conflict of interest, and officers and directors must report such transactions to the Board of Directors, which shall be responsible for determining whether such transaction or relationship constitutes a material conflict of interest.

In addition, our written Related Person Transaction Procedures set forth the procedures for reviewing transactions that could be deemed to be “related person transactions” (defined as transactions required to be disclosed pursuant to Item 404 of Regulation~~S-K~~ of applicable SEC regulations). In accordance with these procedures, directors and executive officers are required to submit annual certifications regarding interests and affiliations held by them and certain of their family members. We then review our records to determine whether we have engaged in any transactions since the beginning of our prior fiscal year with such affiliated persons and entities or with any person or entity known by MKS to be the beneficial owner of more than 5% of our voting securities, and provide a summary to the Audit Committee of any such material transaction in which the related person has a direct or indirect interest. In accordance with the procedures, the Audit Committee reviews any such transactions (including, but not limited to, transactions constituting related person transactions). In reviewing any such transaction, the Audit Committee considers, among other things, the related person’s interest in the transaction, the approximate dollar value of the transaction, whether the transaction was undertaken in the ordinary course of business, whether the terms of the transaction were at arm’s length, the purpose and potential benefits to the Company of the transaction, and whether the transaction is in the best interests of the Company. The Audit Committee may, in its sole discretion, impose such conditions as it deems appropriate in connection with any related person transaction. In accordance with the Audit Committee charter, the Audit Committee reviews the Related Person Transaction Procedures from time to time.

Wellington Management Group, LLP, Wellington Group Holdings LLP, Wellington Investment Advisors Holdings LLP, and Wellington Management Company LLP, which we refer to collectively as the Wellington Group, collectively beneficially owned approximately 7% of the Company’s outstanding voting shares as of December 31, 2019, according to a filing they have made with the SEC. Wellington Management LLP, an affiliate of the Wellington Group, manages cash accounts of MKS, in the aggregate amount of approximately $164 million as of December 31, 2019. In 2019, MKS paid Wellington Management LLP approximately $300,000 for these cash management services. Wellington Management LLP must manage the MKS cash accounts in accordance with, and subject to, the Company’s Corporate Investment Policy, which establishes clear guidelines for acceptable investments. As part of our Related Person Transaction Procedures, our Audit Committee reviewed the foregoing relationship with Wellington Management LLP.

~~Board of Director Meetings and Committees of the Board of Directors~~

The Board of Directors held four meetings in 2019. During 2019, each director attended at least 75% of the aggregate of the total number of meetings of the Board of Directors and the total number of meetings of all committees of the Board of Directors on which he or she served. Pursuant to our Corporate Governance Guidelines, directors are encouraged to attend our annual meeting of shareholders. All of the directors then serving on the Board of Directors, other than Messrs. Chute and Hanley, who were not standing for~~re-election~~ ~~at the 2019 Annual Meeting, attended the 2019 Annual Meeting of Shareholders.~~

The Board of Directors has established three standing committees — Audit, Compensation, and Nominating and Corporate Governance — each of which operates under a charter that has been approved by the Board of Directors. Each committee’s current charter is posted on our website at~~investor.mksinst.com~~ ~~in the Corporate Governance tab.~~

~~Audit Committee~~

The Audit Committee consists of Mr. Beecher (Chair), Ms. Moloney and Ms. Mora. The Board of Directors has determined that each of the three current members of the Audit Committee is an “audit committee financial expert” as defined in applicable SEC regulations. Each member of the Audit Committee also meets the requirements for independence under applicable Nasdaq and SEC rules. The Audit Committee’s responsibilities include:


~~appointing, approving the fees of, assessing the independence of, evaluating, retaining and, when necessary, terminating the engagement of our independent registered public accounting firm;~~MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				~~overseeing the work of our independent registered public accounting firm, including through the receipt and consideration of certain reports from the independent registered public accounting firm;~~26

Transactions with Related Persons

Our code of business conduct and ethics sets forth the general principle that our directors, officers and employees should refrain from engaging in any activity having a personal interest that presents a conflict of interest. The code of business conduct and ethics prohibits directors, officers and employees from engaging in any activity that may reasonably be expected to give rise to a conflict of interest or to adversely affect our interests. The code of business conduct and ethics provides that all employees are responsible for disclosing to the Company any transaction or relationship that reasonably could be expected to give rise to a conflict of interest, and executive officers and directors must report such transactions to the Board of Directors, which shall be responsible for determining whether such transaction or relationship constitutes a conflict of interest.

In addition, our written Related Person Transaction Procedures set forth the procedures for reviewing transactions that could be deemed to be “related person transactions” (defined as transactions required to be disclosed pursuant to Item 404 of Regulation S-K of applicable SEC regulations). In accordance with these procedures, directors and executive officers are required to submit annual certifications regarding interests and affiliations held by them and certain of their family members. We then review our records to determine whether we have engaged in any transactions since the beginning of our prior fiscal year with such affiliated persons and entities or with any person or entity known by MKS to be the beneficial owner of more than 5% of our voting securities, and provide a summary to the Audit Committee of any such material transaction in which the related person has a direct or indirect interest. In accordance with the procedures, the Audit Committee reviews any such transactions (including, but not limited to, transactions constituting related person transactions). In reviewing any such transaction, the Audit Committee considers, among other things, the related person’s interest in the transaction, the approximate dollar value of the transaction, whether the transaction was undertaken in the ordinary course of business, whether the terms of the transaction were at arm’s length, the purpose and potential benefits to the Company of the transaction, and whether the transaction is in the best interests of the Company. The Audit Committee may, in its sole discretion, impose such conditions as it deems appropriate in connection with any related person transaction. In accordance with the Audit Committee charter, the Audit Committee reviews the Related Person Transaction Procedures from time to time.

Wellington Management Group LLP, Wellington Group Holdings LLP, Wellington Investment Advisors Holdings LLP and Wellington Management Company LLP, which we refer to collectively as the Wellington Group, collectively beneficially owned approximately 8% of the Company’s outstanding voting shares as of March 2, 2022, based on a filing they made with the SEC. Wellington Management LLP, an affiliate of the Wellington Group, manages a cash and investment account of MKS in the aggregate amount of approximately $306 million as of December 31, 2021. In 2021, MKS paid Wellington Management LLP approximately $273,000 for these cash and investment management services. Wellington Management LLP must manage this account in accordance with, and subject to, the Company’s Corporate Investment Policy, which establishes clear guidelines for acceptable investments. As part of our Related Person Transaction Procedures, our Audit Committee reviewed the foregoing relationship with Wellington Management LLP.

Board of Director Meetings and Committees of the Board of Directors

The Board of Directors held 12 meetings in 2021. During 2021, each director attended at least 75% of the aggregate of the total number of meetings of the Board of Directors and the total number of meetings of all committees of the Board of Directors on which he or she served. Pursuant to our Corporate Governance Guidelines, directors are encouraged to attend our annual meeting of shareholders. All of the directors then serving on the Board of Directors attended the 2021 Annual Meeting of Shareholders.

The Board of Directors has established three standing committees — Audit, Compensation, and Nominating and Corporate Governance — each of which operates under a charter that has been approved by the Board of Directors. Each committee’s current charter is posted on our website at https://www.mksinst.com/corporate-governance under Corporate Governance Documents.

Audit Committee

The Audit Committee consists of Ms. Mora (Chair), Mr. Cannone and Mr. Donahue. Ms. Mora was elected Chair of the Audit Committee and Ms. Moloney joined the Audit Committee in February 2021, when Janice K. Henry

~~reviewing and discussing our annual audited financial statements and related disclosures with management and the independent registered public accounting firm;~~MKS INSTRUMENTS, INC. | 2022 PROXY STATEMENT

~~reviewing our quarterly unaudited financial statements;~~27

~~coordinating oversight of our internal controls over financial reporting, disclosure controls and procedures, and code of business conduct and ethics;~~

~~overseeing our internal audit function;~~

~~discussing our policies with respect to financial risk assessment and financial risk management;~~

~~establishing procedures for the receipt and retention of accounting-related complaints and concerns;~~

discussing generally the types of information to be disclosed in our earnings press releases, as well as in financial information and earnings guidance provided to analysts, rating agencies and others;

~~meeting independently with our internal audit staff, independent registered public accounting firm and management;~~

~~reviewing our procedures for reviewing related person transactions, recommending any changes to these procedures and reviewing any related person transactions;~~

~~reviewing and approving swaps, including those subject to mandatory clearing; and~~

~~preparing the Audit Committee report required to be included in the annual proxy statement.~~

~~The Audit Committee held five meetings in 2019.~~

~~Compensation Committee~~

~~The Compensation Committee consists of Ms. Mora (Chair), Mr. Batra and Mr. Hess. Dr. Peter R. Hanley also served on the Compensation Committee until May 2019 when his tenure as a director ended.~~

resigned as a member of the Board of Directors. In May 2021, Mr. Cannone replaced Ms. Moloney as a member of the Audit Committee upon his election to the Board of Directors. The Board of Directors has determined that each of Ms. Mora and Mr. Cannone is an “audit committee financial expert” as defined in applicable SEC regulations. Each member of the Audit Committee also meets the requirements for independence under applicable Nasdaq and SEC rules. The Audit Committee’s responsibilities include:

appointing, approving the fees of, assessing the independence of, evaluating, retaining and, when necessary, terminating the engagement of our independent registered public accounting firm;

overseeing the work of our independent registered public accounting firm, including through the receipt and consideration of certain reports from the independent registered public accounting firm;

reviewing and discussing our annual audited financial statements and related disclosures with management and the independent registered public accounting firm;

reviewing our quarterly unaudited financial statements;

coordinating oversight of our internal controls over financial reporting, disclosure controls and procedures, and code of business conduct and ethics;

overseeing our internal audit function;

discussing our policies with respect to financial risk assessment and financial risk management;

establishing procedures for the receipt and retention of accounting-related complaints and concerns;

discussing our earnings press releases in advance of public disclosure, as well as generally discussing the types of financial information and earnings guidance, including “pro forma” and other “adjusted” non-GAAP information, provided to analysts, rating agencies and others;

meeting independently with our internal audit staff, independent registered public accounting firm and management;

reviewing our procedures for reviewing related person transactions, recommending any changes to these procedures and reviewing any related person transactions;

reviewing and approving our corporate investment policy, including our hedging policy;

reviewing and approving derivative financial instruments, including those subject to mandatory clearing;

overseeing the work of management to monitor and control data privacy and cybersecurity risk exposure;

reviewing with management our overall tax strategy, including areas requiring significant judgment or risk; and

preparing the Audit Committee report required to be included in the annual proxy statement.

The Audit Committee held five meetings in 2021.

Compensation Committee

The Compensation Committee consists of Mr. Batra (Chair), Ms. Moloney and Ms. Mora. Mr. Batra was elected Chair of the Compensation Committee in February 2021 when Ms. Mora assumed the role of Chair of the Audit Committee. Each member of the Compensation Committee meets the requirements for independence under applicable Nasdaq and SEC rules. The Compensation Committee’s responsibilities include:

reviewing and approving the compensation of our Chief Executive Officer, our other executive officers and, at the discretion of the Compensation Committee, other direct reports to our Chief Executive Officer;

overseeing the evaluation of our Chief Executive Officer, our other executive officers and, at the discretion of the Compensation Committee, other direct reports to our Chief Executive Officer;

overseeing our Chief Executive Officer and our ~~other executive officers;~~

~~overseeing the evaluation of our executive officers;~~

~~overseeing Chief Executive Officer and~~ other executives’ succession planning;

periodically reviewing and approving our management incentive bonus plans;

overseeing the risks associated with our compensation policies and practices and annually reviewing whether such policies and practices are reasonably likely to have a material adverse effect on the Company;MKS INSTRUMENTS, INC. | 2022 PROXY STATEMENT

~~reviewing the Compensation Discussion and Analysis required to be included in the annual proxy statement;~~28

~~preparing the annual Compensation Committee Report required to be included in the annual proxy statement;~~

~~overseeing and administering our equity incentive plans;~~

~~reviewing and making recommendations to the Board of Directors with respect to director compensation; and~~

~~appointing, compensating, assessing the independence of, and overseeing the work of any compensation consultant.~~

The Compensation Committee held six meetings in 2019. See the section below entitled “Executive Compensation — Compensation Discussion and Analysis” for further information about the role of the Compensation Committee and the scope of its activities.

~~Compensation Risk Assessment~~

Our Compensation Committee engaged its independent compensation consultant, Pearl Meyer, to conduct a risk assessment of our compensation programs and practices to understand if any risks exist that are reasonably likely to have a material adverse effect on our Company, and the results were reviewed by our Compensation Committee. Based on this assessment, our Compensation Committee concluded that our compensation programs and practices, as a whole, are appropriately structured and do not pose a material risk to our Company. Our compensation programs are intended to reward our executive officers and other employees for strong performance over the long-term, with consideration to short-term actions and results that strengthen and grow our Company. We believe our compensation programs provide the appropriate balance between short-term and long-term incentives, focusing on sustainable and profitable growth for our Company.

~~Compensation Committee Interlocks and Insider Participation~~

In 2019, the Compensation Committee was comprised of Ms. Mora (Chair), Mr. Hess, Mr. Batra and Dr. Hanley, who stepped down in May 2019 when his tenure as a director ended. None of the members of the Compensation Committee during 2019

reviewing the Compensation Discussion and Analysis required to be included in the annual proxy statement;

preparing the annual Compensation Committee Report required to be included in the annual proxy statement;

overseeing and administering our equity incentive plans;

reviewing the results of advisory shareholder votes on executive compensation and recommending how frequently the Company should conduct such votes;

overseeing our stock ownership guidelines and monitoring compliance therewith;

reviewing and approving our clawback policy and monitoring compliance therewith;

reviewing and making recommendations to the Board of Directors with respect to director compensation; and

appointing, compensating, assessing the independence of, and overseeing the work of any compensation consultant.

The Compensation Committee held seven meetings in 2021. See the section below entitled “Executive Compensation — Compensation Discussion and Analysis” for further information about the role of the Compensation Committee and the scope of its activities.

Compensation Risk Assessment

Our Compensation Committee engaged its independent compensation consultant, Pearl Meyer & Partners, LLC, or Pearl Meyer, to conduct a risk assessment of our compensation programs and practices to understand if any risks exist that are reasonably likely to have a material adverse effect on our Company, and the results were reviewed by our Compensation Committee. Based on this assessment, our Compensation Committee concluded that our compensation programs and practices, as a whole, are appropriately structured and do not pose a material risk to our Company. Our compensation programs are intended to reward our executive officers and other employees for strong performance over the long-term, with consideration to short-term actions and results that strengthen and grow our Company. We believe our compensation programs provide the appropriate balance between short-term and long-term incentives, focusing on sustainable and profitable growth for our Company.

Compensation Committee Interlocks and Insider Participation

In 2021, Mr. Batra, Ms. Moloney and Ms. Mora served on the Compensation Committee. None of the members of the Compensation Committee during 2021 were, at any time, officers or employees of MKS or our subsidiaries, and none of them had any relationship with us requiring disclosure under applicable SEC rules and regulations. None of our executive officers serves, or has served, as a member of the Board of Directors or Compensation Committee (or other committee serving an equivalent function) of any other entity which has one or more executive officers serving as a member of our Board of Directors or Compensation Committee.

Nominating and Corporate Governance Committee

The Nominating and Corporate Governance Committee consists of Ms. Moloney (Chair), Mr. Batra and Ms. Warner. ~~Mr. Batra and Ms. Warner replaced Dr. Hanley and Richard S. Chute, each of whom stepped down in May 2019 when his tenure as a director ended.~~ Each member of the Nominating and Corporate Governance Committee meets the requirements for independence under applicable Nasdaq and SEC rules. The Nominating and Corporate Governance Committee’s responsibilities include:

identifying individuals qualified to become members of the Board of Directors, consistent with criteria approved by the Board of Directors;

~~recommending to the Board of Directors the persons to be nominated for election as directors and to each of the committees of the Board of Directors;~~MKS INSTRUMENTS, INC. | 2022 PROXY STATEMENT

~~designating a Lead Director (if any), subject to the approval of the independent directors;~~29

~~reviewing each director’s continuation on the Board of Directors at least once every three years;~~

~~overseeing corporate governance policies and reviewing the Company’s charter,by-laws~~ ~~and corporate governance guidelines;~~

~~reviewing and reporting to the Board of Directors on the Company’s corporate social responsibility and sustainability efforts;~~

recommending to the Board of Directors the persons to be nominated for election as directors and to each of the committees of the Board of Directors, including the director recommended to serve as chair of each committee;

designating a Lead Director (if any), subject to the approval of the independent directors;

reviewing each director’s continuation on the Board of Directors at least once every three years;

overseeing the director succession planning process;

reviewing each director’s independence under Nasdaq listing standards and the applicable rules of the SEC;

overseeing corporate governance policies and reviewing the Company’s charter, by-laws and corporate governance guidelines;

reviewing and reporting to the Board of Directors on the Company’s corporate social responsibility and sustainability efforts, including climate-related risks and opportunities;

retaining and terminating any search firm to be used to identify director nominees;

periodically reviewing the Board of Directors’ leadership structure to assess whether it is appropriate;

conducting the annual evaluations of the Board of Directors, each of the committees of the Board of Directors and the directors who are up for nomination; and

monitoring communications from shareholders and other interested parties, including stockholder proposals, such as those related to corporate social responsibility, environmental and governance matters.

The Nominating and Corporate Governance Committee held nine meetings in 2021.

For information relating to the nomination of directors, see “Director Candidates” below.

Director Candidates

In considering whether to recommend any particular candidate for inclusion in the Board of Directors’ slate of recommended director nominees, the Nominating and Corporate Governance Committee applies the criteria attached to the Company’s Corporate Governance Guidelines. These criteria include the candidate’s integrity, business acumen, knowledge of our business and industry, effectiveness, experience, diligence, conflicts of interest and the ability to act in the interests of all shareholders. The Nominating and Corporate Governance Committee does not assign specific weights to particular criteria and no particular criterion is a prerequisite for each prospective nominee. The Nominating and Corporate Governance Committee also assesses the candidate’s professional background and skills against those of the existing Board members to ensure a breadth and diversity of expertise that suits the Company’s current and future business risks, industries and challenges. See “Directors — Board Skills Matrix.” Nominees shall not be discriminated against on the basis of race, religion, national origin, sex, sexual orientation, disability or any other basis proscribed by law. In considering director candidates, the Nominating and Corporate Governance Committee actively seeks diverse candidates for the pool from which candidates are chosen. While the Nominating and Corporate Governance Committee does not have a formal policy with respect to diversity, the Board of Directors and the Nominating and Corporate Governance Committee believe that it is essential that the members of the Board of Directors represent diverse viewpoints. In considering


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				30

candidates for the Board of Directors, the Nominating and Corporate Governance Committee considers the entirety of each candidate’s credentials in the context of these standards. We believe that the backgrounds and qualifications of our directors, considered as a group, should provide a composite mix of experience, knowledge and abilities that will allow the Board of Directors to fulfill its responsibilities.

Shareholders may recommend individuals to the Nominating and Corporate Governance Committee for consideration as potential director candidates by submitting their names, together with appropriate biographical information and background materials and a statement as to whether the shareholder or group of shareholders making the recommendation has beneficially owned at least $2,000 in market value or 1% of our Common Stock, whichever is less, for at least a year as of the date such recommendation is made, to the Nominating and Corporate Governance Committee, in care of Kathleen F. Burke, Esq., Senior Vice President, General Counsel and Secretary, MKS Instruments, Inc., 2 Tech Drive, Suite 201, Andover, MA 01810. Assuming that appropriate biographical and background material has been provided on a timely basis, the Nominating and Corporate Governance Committee will evaluate shareholder-recommended candidates by following substantially the same process, and applying the same criteria, as it does in considering other candidates.

Shareholders also have the right under our Amended and Restated By-Laws to directly nominate director candidates, without any action or recommendation on the part of the Nominating and Corporate Governance Committee or the Board of Directors, by following the procedures set forth under the heading “Deadline for Submission of Shareholder Proposals for the 2023 Annual Meeting” below.

CORPORATE SOCIAL RESPONSIBILITY

Governance

Corporate Social Responsibility, or CSR, is a key priority for MKS and our leaders. As such, our CSR Program and overall CSR Management System is overseen by the CEO and the Nominating and Corporate Governance Committee.

MKS’ cross-functional CSR Steering Committee meets throughout the year, and sets program strategy, defines annual objectives, provides guidance on high-level tactics to achieve its stated objectives, communicates the CSR Program to internal and external stakeholders and monitors CSR industry trends. In accordance with its charter, the Nominating and Corporate Governance Committee also reviews and reports to the Board of Directors on the Company’s CSR and sustainability efforts, including climate-related risks and opportunities as well as the impact of other environmental and social issues on the Company.

In addition, our leadership approach is based on our commitment to conduct business with the highest standards of integrity. Our Code of Business Conduct and Ethics and our Human Rights and Labor Standards Policy are designed to ensure that we deliver on this commitment every day.

Human Capital Management

We are committed to our people and strive to foster a diverse, equitable and inclusive community, invest in continuous learning and development, engage meaningfully with employees, offer a competitive compensation and benefits program and provide a safe and healthy workplace. We believe that diversity of gender, race, ethnicity, sexual orientation, culture, education, background and experience fuels innovation and results as well as enables our employees to succeed. Our executive team is comprised of 20% female members and is 20% racially diverse, our Board of Directors is comprised of 38% female members, is 25% racially diverse and 13% LGBTQ+, and our Lead Director is a woman.

In 2021, we offered diversity, equity and inclusion, or DE&I, training for all employees and began bias awareness training for our global talent acquisition team. We proactively provide our hiring managers with diverse candidate slates in our employee recruiting process and, in accordance with our Corporate Governance Guidelines, seek diverse candidates for the pool from which our Board of Director nominees are chosen. We also regularly conduct robust analyses of pay practices across gender globally and other diversity factors within the United States to detect any existing disparities within base and total compensation, taking prompt and effective action to correct any identified disparities.


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				31

MKS is committed to investing in learning and professional development. Our employees have access to a wide range of programs, classes, and resources to help them excel in their careers and share what they learn with their colleagues. Our performance management process includes performance feedback and career development discussions that are dynamic and actionable throughout the year. In 2021, we broadly rolled out a course to develop our focus on employee engagement, change management and leadership excellence. Over the last two years, approximately 240 of our leaders also completed a DE&I course hosted by a consulting firm recognized as best-in-class in the area of DE&I capability building. In addition, we provide financial support for college and graduate education for U.S. employees and access to online learning for all employees in local languages to help further the careers of our entire workforce.

In 2021, MKS conducted its first global employee engagement survey, the results of which were thoroughly assessed and shared with our CEO and executive leadership team as well as our Board of Directors. We plan to conduct employee engagement surveys on an annual basis and use the feedback we receive to examine current practices and drive new initiatives. MKS is also committed to providing total compensation packages that attract, motivate and retain our employees, as well as recognizing and rewarding each employee’s sustained performance and results. In addition, we are committed to ensuring that our total compensation packages are externally competitive while supporting our business plans and strategies. As employee turnover is an indicator of employee satisfaction, we monitor turnover globally. MKS has a very stable and committed workforce, as evidenced by low voluntary turnover. Our 12-month rolling average for voluntary turnover at the end of 2021 was below 7%. Our employee average tenure is more than 10 years.

Health & Safety

MKS is committed to providing a safe and healthy workplace for all employees. We accomplish this through compliance with applicable laws and regulations regarding workplace safety, including recognition and control of workplace hazards, tracking injury and illness rates and maintaining detailed emergency and business continuity plans. We also offer employees and eligible family members a full range of health and wellness programs, as well as many clinical and administrative services.

Throughout the COVID-19 pandemic, the safety and well-being of our global workforce has been our highest priority. The commitment to this effort is evidenced by the extensive planning and numerous actions we swiftly took to respond to the pandemic, including implementing a number of safety precautions for our employees and a “work-from-home” policy for a significant portion of our workforce. MKS continues to maintain workplace flexibility such as working remotely where possible to reduce the number of people who are on site each day.

Environmental Management

We value the environment and the communities in which we live and work. We are committed to operating our business in an environmentally and socially responsible manner, while conserving natural resources and reducing our environmental impact on the air, water, and land.

Innovation is a key part of our ability to sustain our product differentiation and increase our relevance to customers. Our products are used in a broad range of industries and applications. In particular, our products contribute to indirectly driving positive environmental impact and progress, including through supporting the development of renewable energy infrastructure, enabling environmental safety compliance, and increasing energy and water efficiencies in certain production processes.

In 2020, we collected data from certain of our offices and facilities, mostly in the United States, on our greenhouse gas emissions, energy consumption, and water consumption, which we reported in 2021. We strive to continue collecting this data across more of our MKS sites globally and plan to introduce new metrics in the future.

We believe that it is critical to create relationships with our stakeholders that support responsible and ethical business practices, conduct and compliance, which in turn benefits our employees, our environment, and our business.

Additional information regarding MKS’ activities related to its people and sustainability can be found in our Corporate Social Responsibility Report, which is accessible through the Corporate Social Responsibility section of our website at https://www.mksinst.com/corporate-social-responsibility. Our Corporate Social Responsibility Report is updated periodically.


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				32

DIRECTOR COMPENSATION

Cash Compensation

The following table summarizes the cash compensation payable by us to non-employee directors in 2021:


	Annual Retainer
Base Retainer for All Non-Employee Board Members	$	70,000

Additional Retainers for Services:
Chair	$	75,000
Lead Director	$	25,000
Audit Committee Chair	$	25,000
Other Audit Committee Members	$	12,500
Compensation Committee Chair	$	20,000
Other Compensation Committee Members	$	10,000
Nominating and Corporate Governance Committee Chair	$	15,000
Other Nominating and Corporate Governance Committee Members	$	7,500

Retainers are pro-rated based on the time a director serves in the capacities listed. In addition, from time to time, the Board of Directors may establish special committees related to specific matters and may include a retainer for service on such special committees in its discretion.

Equity Compensation

Non-employee directors are eligible for awards under our 2014 Stock Incentive Plan, which is administered by the Compensation Committee. If the 2022 Plan is approved by our shareholders, non-employee directors will be eligible for awards under the 2022 Plan. In 2021, under our director compensation program, non-employee directors received automatic grants of RSUs on the date of the 2021 Annual Meeting of Shareholders, with a grant date value of $200,000, which RSUs shall vest in full on the day prior to the 2022 Annual Meeting.

If a new non-employee director joins our Board of Directors after our annual meeting of shareholders but before January 1st of the following year, he or she will be entitled to an initial RSU grant with a value equal to the annual RSU grant. In the event a non-employee director joins our Board of Directors during the period from January 1st through the date of that year’s annual meeting of shareholders, he or she will not be entitled to an initial RSU grant but will be entitled to the annual RSU grant on the date of the annual meeting of shareholders.

Director Compensation Table for 2021

The following table summarizes compensation earned by or paid to non-employee directors in 2021. Dr. Lee is excluded from the table because he was an executive officer in 2021 and his compensation is set forth in the Executive Compensation section below, under the heading “Executive Compensation Tables — Summary Compensation Table for 2021.”


Name	Fees Earned or Paid in Cash ($)			Stock Awards ($)(1)		Total ($)
Rajeev Batra	$	95,972		$	200,000	$	295,972
Peter J. Cannone III(2)	$	55,809	(3)	$	200,000	$	255,809
Gerald G. Colella	$	153,000	(3)(4)	$	200,000	$	353,000
Joseph B. Donahue	$	90,500	(3)	$	200,000	$	290,500
Janice K. Henry(5)	$	14,514		$	—	$	14,514
Jacqueline F. Moloney	$	122,589		$	200,000	$	322,589
Elizabeth A. Mora	$	104,618		$	200,000	$	304,618
Michelle M. Warner	$	85,500	(3)	$	200,000	$	285,500


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				33

(1)

Represents the aggregate grant date fair value for each RSU granted during the year, calculated in accordance with Financial Accounting Standards Board Accounting Standards Codification 718, or ASC 718. The assumptions used in determining the grant date fair values of these awards are set forth in Note 17 to our consolidated financial statements, which were included in our Annual Report on Form 10-K that was filed with the SEC on February 28, 2022. The outstanding stock awards held as of December 31, 2021 by each of the non-employee directors consisted of 1,147 RSUs.

(2)	Mr. Cannone became a director in May 2021.

(3)

Includes consideration for services on a special committee of the Board of Directors, ~~each~~which compensation consists of ~~the committees~~a flat fee of ~~the Board of Directors and the directors who are~~$3,000 for up ~~for nomination; and~~

~~monitoring communications from shareholders and other interested parties.~~

~~The Nominating and Corporate Governance Committee held~~to five meetings ~~in 2019.~~

~~For information relating~~and $1,000 per meeting thereafter up to a maximum of $10,000. In connection with their service on the ~~nomination of directors, see “Director Candidates” below.~~

~~Director Candidates~~

The Nominating and Corporate Governance Committee recommended to the Board of Directors that the director nominees be nominated by the Board of Directors for election as Class III Directors. The Nominating and Corporate Governance Committee utilizes a number of processes to identify and evaluate director candidates, including the engagement of a third-party executive search firm and other resources to identify potential director candidates, as needed. Activities relating to identifying and selecting nominees include Board assessments of each incumbent director nominee for the current year, requests to Board members and others for recommendations of potential candidates, meetings from time to time to evaluate biographical information and background material relating to potential candidates and interviews of selected candidates by the members of the Nominating and Corporate Governance Committee and the Board of Directors. In the case ofspecial committee, Mr. ~~Donahue, he was identified as a potential candidate by anon-management~~ ~~member of our Board of Directors. In the case of Ms. Henry, she was identified as a potential candidate by anon-management~~ ~~member of our Board of Directors, by our Chief Executive Officer and by one of our other executive officers.~~Colella, Mr. Donahue and Ms. ~~Henry were recognized for their experience~~Warner each received $10,000 and ~~expertise, which were complementary to the existing Board’s skillsets. The Nominating and Corporate Governance Committee recommended to the Board of Directors the nomination of~~ Mr. ~~Donahue and Ms. Henry.~~Cannone, who became a director in May 2021, received $3,000.

(4)

In ~~considering whether to recommend any particular candidate for inclusion~~connection with his retirement as Chief Executive Officer in the Board of Directors’ slate of recommended director nominees, the Nominating and Corporate Governance Committee applies the criteria attached to the Company’s Corporate Governance Guidelines. These criteria include the candidate’s integrity, business acumen, knowledge of our business and industry, effectiveness, experience, diligence, conflicts of

interest and the ability to act in the interests of all shareholders. The Nominating and Corporate Governance Committee does not assign specific weights to particular criteria and no particular criterion is a prerequisite for each prospective nominee. The Nominating and Corporate Governance Committee also assesses the candidate’s professional background and skills against those of the existing Board members to ensure a breadth and diversity of expertise that suits the Company’s current and future business risks, industries and challenges. See “Directors — Board Skills Matrix.” Nominees shall not be discriminated against on the basis of race, religion, national origin, sex, sexual orientation, disability or any other basis proscribed by law. In considering director candidates, the Nominating and Corporate Governance Committee takes into account the value of diversity on the Board of Directors. While the Nominating and Corporate Governance Committee does not have a formal policy with respect to diversity, the Board of Directors and the Nominating and Corporate Governance Committee believe that it is essential that the members of the Board of Directors represent diverse viewpoints. In considering candidates for the Board of Directors, the Nominating and Corporate Governance Committee considers the entirety of each candidate’s credentials in the context of these standards. We believe that the backgrounds and qualifications of our directors, considered as a group, should provide a composite mix of experience, knowledge and abilities that will allow the Board of Directors to fulfill its responsibilities.

~~Shareholders also have the right under our Amended and RestatedBy-Laws~~ to directly nominate director candidates, without any action or recommendation on the part of the Nominating and Corporate Governance Committee or the Board of Directors, by following the procedures set forth under the heading “Deadline for Submission of Shareholder Proposals for the 2021 Annual Meeting” below.

~~DIRECTOR COMPENSATION~~

~~Cash Compensation~~

~~The following table summarizes the cash compensation payable by us tonon-employee~~ ~~directors in 2019:~~

   Annual
Retainer
Base Retainer for AllNon-Employee Board Members
   $ 70,000
Additional Retainers for Services:
Chairman
   $ 60,000
Lead Director
   $ 25,000
Audit Committee Chair
   $ 25,000
Other Audit Committee Members
   $ 12,500
Compensation Committee Chair
   $ 20,000
Other Compensation Committee Members
   $ 8,000
Nominating and Corporate Governance Committee Chair
   $ 12,500
Other Nominating and Corporate Governance Committee Members
   $ 5,500

~~In February~~January 2020, ~~the Board of Directors, upon the recommendation of the Compensation Committee, approved several changes to ournon-employee~~ director cash compensation program. The Compensation Committee recommended these changes after reviewing a competitive analysis of director compensation programs of our peer group prepared by the Committee’s independent compensation consultant, Pearl Meyer, and finding that certain components of board compensation fell below the median of our peer group. The table below sets forth the cash compensation payable by us~~to non-employee directors~~ ~~under the new cash compensation program effective as of January 1, 2020:~~

   Annual
Retainer
Base Retainer for AllNon-Employee Board Members
   $ 70,000
Additional Retainers for Services:
Chairman
   $ 75,000
Lead Director
   $ 25,000
Audit Committee Chair
   $ 25,000
Other Audit Committee Members
   $ 12,500
Compensation Committee Chair
   $ 20,000
Other Compensation Committee Members
   $ 10,000
Nominating and Corporate Governance Committee Chair
   $ 15,000
Other Nominating and Corporate Governance Committee Members
   $ 7,500

~~In addition, from time to time, the Board of Directors may establish special committees related to specific matters and may include a retainer for service on such special committees in its discretion.~~

~~Equity Compensation~~

~~Non-employee~~ ~~directors are eligible for awards under our 2014 Stock Incentive Plan, which is administered by the Compensation Committee. In 2019, under our director compensation program,non-employee~~ directors received automatic grants of restricted stock units, or RSUs, on the date of the 2019 Annual Meeting of Shareholders, with a grant date value of $170,000, which RSUs shall vest in full on the day prior to the 2020 Annual Meeting. In February 2020, the Board of Directors, upon the recommendation of the Compensation Committee, increased the value of the annual RSU grant to $200,000 for~~each non-employee director,~~ effective on the date of the 2020 Annual Meeting. Our Compensation Committee recommended this increase after reviewing the board compensation analysis discussed above under Director Compensation — Cash Compensation and finding that the equity compensation paid to~~non-employee~~ ~~members of our Board fell below the median of our peer group.~~

~~If a newnon-employee~~ director joins our Board of Directors after our annual meeting of shareholders but before January 1st of the following year, he or she will be entitled to an initial RSU grant with a value equal to the annual RSU grant. In the event a~~non-employee~~ director joins our Board of Directors during the period from January 1st through the date of that year’s annual meeting of shareholders, he or she will not be entitled to an initial RSU grant but will be entitled to the annual RSU grant on the date of the annual meeting of shareholders.

Mr. ~~Bertucci~~

~~Mr. Bertucci resigned from his employment as our Executive Chairman effective December 31, 2006. At that time, he remained a Class III Director and becamenon-executive~~ ~~Chairman of the Board of Directors. Pursuant to the terms of his employment agreement, Mr. Bertucci~~Colella receives retiree medical benefits for life for himself and his ~~spouse, which had a~~spouse. In addition, Mr. Colella is reimbursed for certain out-of-pocket health care costs capped at $6,000 annually. The net present value of ~~$326,082~~these benefits was $592,073 as of December 31, ~~2019.~~2021 and we paid $24,935 for these benefits in 2021. Mr. ~~Bertucci also receives a car allowance for life, which had a net present value of $169,444 as of December 31, 2019. Mr. Bertucci~~Colella receives no other retirement benefits.

~~The following table summarizes compensation paid tonon-employee~~ directors in 2019. Mr. Colella is excluded from the table because he was an executive officer in 2019, and his compensation is set forth in the Executive Compensation section below, under the heading “Executive Compensation Tables — Summary Compensation Table for 2019.”

~~Director Compensation Table for 2019~~

(5) Ms. Henry served as a director until February 2021.

AUDIT AND FINANCIAL ACCOUNTING OVERSIGHT

Audit Committee Report

The Audit Committee of our Board of Directors has reviewed our audited financial statements for the year ended December 31, 2021 and discussed them with our management.

The Audit Committee discussed with PricewaterhouseCoopers LLP, or PwC, our independent registered public accounting firm, the matters required to be discussed bythe applicable requirements of the Public Company Accounting Oversight Board and the SEC.

The Audit Committee has received the written disclosures and the letter from our independent registered public accounting firm required by the applicable requirements of the Public Company Accounting Oversight Board regarding the independent accountant’s communications with the Audit Committee concerning independence, and has discussed with the independent accountant the independent accountant’s independence.

Based on the review and discussions referred to above, the Audit Committee recommended to our Board of Directors that the audited financial statements be included in our Annual Report on Form 10-K for the year ended December 31, 2021.

Respectfully submitted,

Elizabeth A. Mora, Chair

Peter J. Cannone III

Joseph B. Donahue

Name
   Fees
Earned or
Paid in
Cash
($) Stock
Awards
($)(1)    All Other
Compensation
($)    Total
($)
Rajeev Batra
   $ 81,550 $ 170,000      $          -    $ 251,550
Gregory R. Beecher
   $ 123,000 (2) $ 170,000      $          -    $ 293,000
John R. Bertucci
   $ 133,000 (2) $ 170,000      $ 41,801(3)    $ 344,801
Richard S. Chute(4)
   $ 29,237 $ -      $          -    $ 29,237
Peter R. Hanley(4)
   $ 29,591 $ -      $          -    $ 29,591
Rick D. Hess
   $ 78,000 $ 170,000      $          -    $ 248,000
Jacqueline F. Moloney
   $ 92,519 $ 170,000      $          -    $ 262,519
Elizabeth A. Mora
   $ 102,500 $ 170,000      $          -    $ 272,500
Michelle M. Warner(5)
   $ 48,742 $ 170,000      $          -    $ 218,742


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				34

Principal Accountant Fees and Services

For the years ended December 31, 2021 and 2020, aggregate fees for professional services rendered by our independent registered public accounting firm, PwC, in the following categories were as follows:

~~(1)~~

Represents the aggregate grant date fair value for each RSU granted during the year, calculated in accordance with Financial Accounting Standards Board Accounting Standards Codification 718, or ASC 718. The assumptions used in determining the grant date fair values of these awards are set forth in Note 17 to our consolidated financial statements, which were included in our 2019 Annual Report filed with the SEC on February 28, 2020. The outstanding stock awards held as of December 31, 2019 by each of the~~non-employee~~ ~~directors consisted of 1,980 RSUs.~~

   2021    2020
Audit Fees
   $ 4,093,450    $ 4,143,170
Audit-Related Fees
   172,500    -
Tax Fees
   239,483    284,204
All Other Fees
   376,150    116,052




Total
   $ 4,881,583    $ 4,543,426

Audit Fees

~~(2)~~

Includes $3,000 in consideration for services on a special committee of the Board of Directors, which compensation consisted of a flat fee of $3,000 for up to five meetings and $1,000 per meeting thereafter up to a maximum of $10,000.

Audit fees billed for both years consisted of fees for professional services rendered for: (i) the audit of our annual consolidated financial statements, (ii) statutory audits, (iii) the review of our consolidated financial statements included in our quarterly reports on Form 10-Q, (iv) audit services related to other reports filed with the SEC and (v) the audit of our internal controls over financial reporting as required by the rules and regulations promulgated under Section 404 of the Sarbanes-Oxley Act of 2002.

~~(3)~~

In connection with his retirement and pursuant to the terms of his previous employment agreement, Mr. Bertucci receives retiree medical benefits and a car allowance. The retiree medical benefits consist of benefits for life for himself and his spouse. We paid $21,937 for this benefit in 2019. We paid $19,864 for Mr. Bertucci’s car allowance in 2019.

Audit-Related Fees

~~(4)~~

~~Messrs. Chute and Hanley each served as a director until May 2019.~~

Audit-related fees for the year ended December 31, 2021 were for professional services associated with the proposed acquisition of Atotech. There were no audit-related fees for the year ended December 31, 2020.

~~(5)~~

~~Ms. Warner became a director in May 2019.~~

~~AUDIT AND FINANCIAL ACCOUNTING OVERSIGHT~~

~~Audit Committee Report~~

~~The Audit Committee of our Board of Directors has reviewed our audited financial statements for the year ended December 31, 2019 and discussed them with our management.~~

The Audit Committee has also received from, and discussed with, PricewaterhouseCoopers LLP, or PwC, our independent registered public accounting firm, various communications that our registered public accounting firm is required to provide to the Audit Committee, including the matters required to be discussed bythe applicable requirements of the Public Company Accounting Oversight Board and the Commission.

The Audit Committee has received the written disclosures and the letter from our independent registered public accounting firm required by the applicable requirements of the Public Company Accounting Oversight Board and the Commission, and has discussed with our registered public accounting firm its independence.

~~Based on the review and discussions referred to above, the Audit Committee recommended to our Board of Directors that the audited financial statements be included in our Annual Report on Form10-K~~ ~~for the year ended December 31, 2019.~~

~~Respectfully submitted,~~

~~Gregory R. Beecher, Chair~~

~~Jacqueline F. Moloney~~

~~Elizabeth A. Mora~~

~~Principal Accountant Fees and Services~~

For the years ended December 31, 2019 and 2018, aggregate fees for professional services rendered by our independent registered public accounting firm, PwC, in the following categories were as follows:

Tax Fees

Tax fees for the years ended December 31, 2021 and December 31, 2020 were for services related to tax compliance, including the preparation of tax returns, and tax planning and tax advice, including assistance with foreign operations and foreign tax audits.

All Other Fees

All other fees for the years ended December 31, 2021 and December 31, 2020 were for due diligence services performed in connection with potential acquisitions and for accounting research software.

In 2021 and 2020, all fees for professional services rendered by our independent registered public accounting firm were pre-approved pursuant to the Audit Committee’s pre-approval requirements, described below.

Pre-Approval Policy and Procedures

The Audit Committee’s charter sets forth the Audit Committee’s obligations relating to the approval of all audit and non-audit services that are to be performed by our independent registered public accounting firm. The charter provides that we will not engage our independent registered public accounting firm to provide audit or non-audit services unless the service is pre-approved by the Audit Committee. In addition, we will not engage any other accounting firm to provide audit services unless such services are pre-approved by the Audit Committee. It is the Audit Committee’s policy that with respect to services performed or to be performed by PwC in connection with each fiscal year of the Company, the annual fees for non-audit services in such year shall not exceed one half of the aggregate fees payable to PwC for such year, without the prior express approval of the Audit Committee.

In connection with the foregoing, the Audit Committee may approve specific services in advance. In addition, from time to time, the Audit Committee may pre-approve specified types of services that are expected to be provided to us by our independent registered public accounting firm during the next 12 months. Any such pre-approval of types of services is detailed as to the particular service or type of service to be provided and is also generally subject to a maximum dollar amount.

   2019    2018
Audit Fees
   $ 4,664,773    $ 3,396,704
Audit-Related Fees
   -    588,620
Tax Fees
   259,076    389,613
All Other Fees
   2,700    2,700




Total
   $ 4,926,549    $ 4,377,637

~~Audit Fees~~MKS INSTRUMENTS, INC. | 2022 PROXY STATEMENT

Audit fees billed for both years consisted of fees for professional services rendered for: (i) the audit of our annual consolidated financial statements, (ii) statutory audits, (iii) the review of our consolidated financial statements included in our quarterly reports on Form~~10-Q,~~ (iv) audit services related to other reports filed with the SEC, and (v) the audit of our internal controls over financial reporting as required by the rules and regulations promulgated under Section 404 of the Sarbanes-Oxley Act of 2002.

~~Audit-Related Fees~~35

Audit-Related fees for the year ended December 31, 2018 were for due diligence performed in connection with our acquisition of Electro Scientific Industries, Inc. and for professional services associated with a new leasing accounting standard.

~~Tax Fees~~

Tax Fees for the years ended December 31, 2019 and December 31, 2018 were for services related to tax compliance, including the preparation of tax returns, and tax planning and tax advice, including assistance with foreign operations and foreign tax audits.

~~All Other Fees~~

~~All Other Fees for the years ended December 31, 2019 and 2018 were for accounting research software.~~

~~In 2019 and 2018, all Audit Fees, Audit-Related Fees, Tax Fees and All Other Fees werepre-approved~~ ~~pursuant to the Audit Committee’spre-approval~~ ~~requirements, described below.~~

~~Pre-Approval~~ ~~Policy and Procedures~~

~~The Audit Committee’s charter sets forth the Audit Committee’s obligations relating to the approval of all audit andnon-audit~~ ~~services that are to be performed by our independent registered public accounting firm. The~~

~~charter provides that we will not engage our independent registered public accounting firm to provide audit ornon-audit~~ ~~services unless the service ispre-approved~~ ~~by the Audit Committee. In addition, we will not engage any other accounting firm to provide audit services unless such services arepre-approved~~ ~~by the Audit Committee. It is the Audit Committee’s policy that with respect to services performed or to be performed by PwC in connection with each fiscal year of the Company, the annual fees fornon-audit~~ ~~services in such year shall not exceed one half of the aggregate fees payable to PwC for such year, without the prior express approval of the Audit Committee.~~

~~In connection with the foregoing, the Audit Committee may approve specific services in advance. In addition, from time to time, the Audit Committee maypre-approve~~ ~~specified types of services that are expected to be provided to us by our independent registered public accounting firm during the next 12 months. Any suchpre-approval~~ ~~of types of services is detailed as to the particular service or type of service to be provided and is also generally subject to a maximum dollar amount.~~

~~The Audit Committee has also delegated to the Chair of the Audit Committee the authority to approve any audit ornon-audit~~ services to be provided to us by our independent registered public accounting firm. Any approval of services by the Chair of the Audit Committee pursuant to this delegated authority is reported on at the next meeting of the Audit Committee.

~~The Audit Committee has considered and determined that the provision of thenon-audit~~ ~~services noted in the foregoing table is compatible with maintaining PwC’s independence.~~

~~SECURITY OWNERSHIP OF CERTAIN BENEFICIAL~~

The Audit Committee has also delegated to the Chair of the Audit Committee the authority to approve any audit or non-audit services to be provided to us by our independent registered public accounting firm. Any approval of services by the Chair of the Audit Committee pursuant to this delegated authority is reported on at the next meeting of the Audit Committee.

The Audit Committee has considered and determined that the provision of the non-audit services noted in the foregoing table is compatible with maintaining PwC’s independence.


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				36

SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT

The following table sets forth certain information with respect to the beneficial ownership of our Common Stock by (i) each shareholder known to us to be the beneficial owner of more than 5% of the outstanding shares of our Common Stock; (ii) the Named Executive Officers named in the Summary Compensation Table below; (iii) each of our current directors; and (iv) all of our directors and executive officers as a group. Unless otherwise indicated in the footnotes to the table, all equity amounts set forth in the table are as of March 2, 2022, and the address for each of our directors and executive officers is: c/o MKS Instruments, Inc., 2 Tech Drive, Suite 201, Andover, Massachusetts 01810.


Name of Beneficial Owner	Number of Shares Beneficially Owned(1)			Percentage of Common Stock Beneficially Owned
5% shareholders
The Vanguard Group, Inc. 100 Vanguard Blvd. Malvern, PA 19355		5,643,401	(2)		10.16	%

BlackRock, Inc. 55 East 52^nd Street New York, NY 10055		5,059,771	(3)		9.11	%

Capital International Investors 333 South Hope Street 55th Floor Los Angeles, CA 90071		4,859,954	(4)		8.75	%

Wellington Management Group LLP 280 Congress Street Boston, MA 02210		4,401,028	(5)		7.92	%

Named Executive Officers
John T.C. Lee		51,516			*
Seth H. Bagshaw		31,764			*
Kathleen F. Burke		46,128			*
Mark M. Gitin		8,608	(6)		*
James A. Schreiner		5,758			*

Non-Employee Directors
Rajeev Batra		6,083			*
Joseph B. Donahue		1,988			*
Peter J. Cannone III		-			-
Gerald G. Colella		97,001	(7)		*
Jacqueline F. Moloney		7,467			*
Elizabeth A. Mora		13,401			*
Michelle M. Warner		3,969			*

All directors and executive officers as a group (14 persons)		284,382	(8)		*

*	Represents less than 1% of the outstanding Common Stock.

(1)

We believe that each shareholder has sole voting and investment power with respect to the shares listed, except as otherwise noted. The number of shares beneficially owned by each shareholder is determined under SEC rules, and the information is not necessarily indicative of ownership for any other purpose. Under such


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				37

rules, beneficial ownership includes any shares as to which the person has sole or shared voting or investment power and also any shares that the individual has the right to acquire within 60 days after March 2, 2022, subject to the vesting of RSUs or the exercise of any stock option or other right. The inclusion herein of any shares of Common Stock deemed beneficially owned does not constitute an admission by such shareholder of beneficial ownership of ~~our~~those shares of Common Stock. Percentage ownership calculations are based on 55,562,986 shares of Common Stock ~~by (i) each shareholder known~~outstanding as of March 2, 2022. Shares of Common Stock which an individual or entity has a right to usacquire within the 60-day period following March 2, 2022, pursuant to the vesting of RSUs or the exercise of any stock options or other right, are deemed to be outstanding for the ~~beneficial owner~~purpose of ~~more than 5%~~computing the percentage ownership of such individual or entity, but are not deemed to be outstanding for the ~~outstanding shares~~purpose of ~~our Common Stock; (ii)~~computing the ~~Named Executive Officers named~~percentage ownership of any other person or entity shown in the Summary Compensation Table below; (iii) each of our current directors and director nominees; and (iv) all of our directors, director nominees and executive officers as a group. Unless otherwise indicated in the footnotes to the table, all equity amountstable.

(2)

Based on information set forth in ~~the table are~~a Schedule 13G/A filed by The Vanguard Group, Inc. on February 10, 2022, reporting stock ownership as of ~~January~~December 31, 2021. The Vanguard Group, Inc. has shared voting power with respect to 33,066 shares, sole investment power with respect to 5,564,790 shares and shared investment power with respect to 78,611 shares.

(3)	Based on information set forth in a Schedule 13G/A filed by BlackRock, Inc. on February 1, ~~2020;~~2022, reporting stock ownership as of December 31, 2021. BlackRock, Inc. has sole voting power with respect to 4,891,641 shares and sole investment power with respect to 5,059,771 shares.

(4)

Based on information set forth in a Schedule 13G/A filed by Capital International Investors, a division of Capital Research and Management Company, on February 11, 2022, reporting stock ownership as of December 31, 2021. Capital International Investors has sole voting power with respect to 4,858,766 shares and sole investment power with respect to 4,859,954 shares.

(5)

Based on information set forth in a Schedule 13G/A filed by Wellington Management Group LLP on February 4, 2022, reporting stock ownership as of December 31, 2021. Wellington Management Group LLP has shared voting power with respect to 3,898,269 shares and shared investment power with respect to 4,401,028 shares.

(6)	Consists of 6,811 shares held directly by Dr. Gitin and 1,797 shares subject to RSUs that vest within 60 days after March 2, 2022.

(7)	Consists of one share held directly by Mr. Colella and 97,000 shares held in the ~~address for each~~name of ~~our~~The Gerald G. Colella Living Trust.

(8)	Consists of 280,385 shares held directly or indirectly by such directors and executive officers ~~is: c/o MKS Instruments, Inc.,~~and 3,997 shares subject to RSUs that vest within 60 days of March 2, ~~Tech Drive, Suite 201, Andover, Massachusetts 01810.~~2022.

To our knowledge, there are no voting trusts or similar arrangements among any of the foregoing persons or entities with respect to the voting of shares of Common Stock.

Name of Beneficial Owners
   Number of Shares
Beneficially Owned(1) Percentage of
Common Stock
Beneficially Owned
5% shareholders

Black Rock, Inc.
    55 East 52^nd Street
    New York, NY 10055
   5,157,397 (2)   9.44%
The Vanguard Group, Inc.
    100 Vanguard Blvd.
    Malvern, PA 19355
   5,080,203 (3)   9.31%
Capital International Investors
    11100 Santa Monica Boulevard
    16th Floor
    Los Angeles, CA 90025
   4,357,432 (4)   7.98%
Wellington Management Group, LLP
    280 Congress Street
    Boston, MA 02210
   3,832,320 (5)   7.02%
Named Executive Officers

Gerald G. Colella
   98,548 (6) *
John T.C. Lee
   24,704 (7) *
Seth H. Bagshaw
   31,989 (8) *
Kathleen F. Burke
   35,483 (9) *
John R. Abrams
   - (10) -
Non-Employee Directors; Director Nominees

Rajeev Batra
   2,114 *
Gregory R. Beecher
   18,143 *
John R. Bertucci
   367,050 (11) *
Joseph B. Donahue
   - (12) -
Janice K. Henry
   - (12) -
Rick D. Hess
   3,487 *
Jacqueline F. Moloney
   5,232 *
Elizabeth A. Mora
   13,837 *
Michelle M. Warner
   - -
All directors, director nominees and executive officers as a group (14 persons)
   600,587 (13)   1.10%

MKS INSTRUMENTS, INC. | 2022 PROXY STATEMENT

*	~~Represents less than 1% of the outstanding Common Stock.~~

EXECUTIVE OFFICERS

The following is a brief summary of the background of each of our current executive officers, other than Dr. Lee, whose background is described under the heading “Directors” above:


Name		Age		Background and Qualifications

~~(1)~~

Seth H. Bagshaw,

under SEC rules, and the information is not necessarily indicative of ownership for any other purpose. Under such rules, beneficial ownership includes any shares as to which the person has sole or shared voting or investment power and also any shares that the individual has the right to acquire within 60 days after January 1, 2020, subject to the vesting of RSUs or the exercise of any stock option or other right. The inclusion herein of any shares of Common Stock deemed beneficially owned does not constitute an admission by such shareholder of beneficial ownership of those shares of Common Stock. Percentage ownership calculations are based on 54,628,370 shares of Common Stock outstanding as of January 1, 2020. Shares of Common Stock which an individual or entity has a right to acquire within the~~60-day~~ period following January 1, 2020, pursuant to the vesting of RSUs or the exercise of any stock options or other right, are deemed to be outstanding for the purpose of computing the percentage ownership of such individual or entity, but are not deemed to be outstanding for the purpose of computing the percentage ownership of any other person or entity shown in the table.

~~(2)~~

Based on information set forth in Schedule 13G/A filed by Black Rock, Inc. on February 5, 2020, reporting stock ownership as of December 31, 2019. Black Rock, Inc. has sole voting power with respect to 4,949,175 shares and sole investment power with respect to 5,157,397 shares.

~~(3)~~

Based on information set forth in Schedule 13G/A filed by The Vanguard Group, Inc. on February 12, 2020, reporting stock ownership as of December 31, 2019. The Vanguard Group, Inc. has sole voting power with respect to 28,348 shares, shared voting power with respect to 10,836 shares, sole investment power with respect to 5,048,403 shares and shared investment power with respect to 31,800 shares.

~~(4)~~

Based on information set forth in Schedule 13G filed by Capital International Investors, division of Capital Research and Management Company, on February 14, 2020, reporting stock ownership as of December 31, 2019. Capital International Investors has sole voting power with respect to 4,357,356 shares, and sole investment power with respect to 4,357,432 shares.

~~(5)~~

Based on information set forth in Schedule 13G filed by Wellington Management Group, LLP on January 30, 2020, reporting stock ownership as of December 31, 2019. Wellington Management Group LLP has shared voting power with respect to 3,455,090 shares and sole investment power with respect to 3,832,320 shares.

~~(6)~~

~~Consists of 98,548 shares held in the name of Mr. Colella’s trusts.~~

~~(7)~~

~~Consists of 12,050 shares held directly by Dr. Lee and 12,654 shares subject to RSUs that vest within 60 days after January 1, 2020.~~

~~(8)~~

~~Consists of 19,009 shares held directly by Mr. Bagshaw and 12,980 shares subject to RSUs that vest within 60 days after January 1, 2020.~~

~~(9)~~

~~Consists of 28,930 shares held directly by Ms. Burke and 6,553 shares subject to RSUs that vest within 60 days after January 1, 2020.~~

~~(10)~~

~~Mr. Abrams, our former~~ Senior Vice President, ~~of Global Sales, retired on February 28, 2019.~~

~~(11)~~

Consists of 83,245 shares held directly by Mr. Bertucci, 102,050 shares held in the name of Mr. Bertucci’s trusts, 79,705 shares held directly by Mr. Bertucci’s wife and 102,050 shares held in the name of Mrs. Bertucci’s trusts.

~~(12)~~

~~Director nominee.~~

~~(13)~~

~~Consists of 568,400 shares held directly or indirectly by such directors, director nominees and executive officers and 32,187 shares subject to RSUs that vest within 60 days of January 1, 2020.~~

~~To our knowledge, there are no voting trusts or similar arrangements among any of the foregoing persons or entities with respect to the voting of shares of Common Stock.~~

~~EXECUTIVE OFFICERS~~Chief Financial Officer

~~The following is a brief summary of the background of each of our current executive officers, other than Dr. Lee, whose background is described under the heading “Directors” above:~~and Treasurer


~~Name~~	~~Age~~	~~Background and Qualifications~~
~~Seth H. Bagshaw,~~ ~~Senior Vice President, Chief Financial Officer and Treasurer~~	60	Mr. Bagshaw has served as our Senior Vice President and Chief Financial Officer since May 2017 and as Treasurer since March 2011. From January 2010 to May 2017, he served as our Vice President and Chief Financial Officer. From March 2006 until January 2010, Mr. Bagshaw served as our Vice President and Corporate Controller. Prior to joining MKS, Mr. Bagshaw served as Vice President and Chief Financial Officer of Vette Corp., an integrated global supplier of thermal management systems, from 2004 until 2006. From 1999 until 2004, Mr. Bagshaw served as Vice President and Corporate Controller of Varian Semiconductor Equipment Associates, Inc., a leading producer of ion implantation equipment used in the semiconductor manufacturing industry, and from 1998 until 1999, he served as Vice President and Chief Financial Officer of Palo Alto Products International, Inc., an industrial design, engineering and manufacturing company, until its acquisition by Flextronics International, Ltd. Prior to that, Mr. Bagshaw held several senior financial management positions at Waters Corporation, a developer of innovative analytical science solutions, most recently as Vice President and Chief Financial Officer of its Asia-Pacific region, and was a Senior Manager at PricewaterhouseCoopers LLP. Mr. Bagshaw has been a member of ~~the Board of Directors of Associated Industries of Massachusetts, anon-profit~~ state-wide employer advocacy and service organization, since 2010 and has served on its Audit Committee since 2014. Mr. Bagshaw is a Certified Public Accountant and has a B.S. in Business Administration from Boston University and an M.B.A. from Cornell University.

~~Kathleen F. Burke,~~ ~~Senior Vice President, General Counsel and Secretary~~	55	Ms. Burke has served as our Senior Vice President and General Counsel since May 2017 and as our Secretary since May 2019. From April 2011 to May 2017, she served as our Vice President and General Counsel, and from January 2005 to May 2019, she served as our Assistant Secretary. From January 2005 to April 2011, Ms. Burke served as our General Counsel, and from February 2004 to January 2005, she served as our Corporate Counsel. Prior to joining MKS, Ms. Burke was a corporate attorney at WilmerHale (formerly Hale and Dorr LLP), a full-service international law firm, from 1994 to 2004. Ms. Burke has been a member of the Board of Directors of the Northeast Chapter of the Association of Corporate Counsel, a global legal association, since 2009 and served as the Chapter’s President from 2011 to 2013, and its Vice President and Treasurer from 2009 to 2011. Ms. Burke holds a B.A. from Boston College and a J.D. from Boston College Law School.

~~Name~~

~~Age~~

~~Background and Qualifications~~

~~James A. Schreiner,~~

~~Senior Vice President and Chief Operating Officer~~

Mr. Schreiner has served as our Senior Vice President and Chief Operating Officer since September 2019. From July 2017 to September 2019, he served as the Senior Vice President of Global Operations for the Rosemount Measurement & Analytical Group of Automation Solutions at Emerson Electric, a multinational corporation that manufactures products and provides engineering services for a wide range of industrial, commercial, and consumer markets. Mr. Schreiner served in other senior roles at Emerson Electric, including Vice President of North America from March 2016 to July 2017, and Vice President of Europe from November 2010 to March 2016, both for the Rosemount Measurement & Analytical Group at Emerson Electric. Prior to Emerson Electric, Mr. Schreiner served in progressive leadership roles at Plexus Corporation, ILX Lightwave Corporation, Tetrapak and 3M Corporation. Mr. Schreiner holds a B.S. in Electrical Engineering from Montana State University, Bozeman as well as an Executive MBA from the University of Colorado, Denver.

~~Our executive officers are appointed by~~ the Board of Directors of Associated Industries of Massachusetts, a non-profit state-wide employer advocacy and service organization, since 2010 and has served on its Audit Committee since 2014. Mr. Bagshaw is a Certified Public Accountant and has a B.S. in Business Administration from Boston University and an ~~annual basis~~M.B.A. from Cornell University.

Kathleen F. Burke,

Senior Vice President, General

Counsel and ~~serve until their successors are duly appointed~~Secretary

Ms. Burke has served as our Senior Vice President and ~~qualified. There are no family relationships among any of~~General Counsel since May 2017 and as our ~~executive officers or directors.~~

~~EXECUTIVE COMPENSATION~~

~~Compensation Discussion~~Secretary since May 2019. From April 2011 to May 2017, she served as our Vice President and ~~Analysis~~

~~Introduction~~

~~The purpose of this section of our proxy statement is~~General Counsel, and from January 2005 to provide an overview of our executive compensation program, our compensation philosophy and objectives, and the material decisions we made with respect to each element of our executive compensation program.

In May 2019, ~~we announced~~she served as our ~~Chief Executive Officer succession plan. Pursuant~~Assistant Secretary. From January 2005 to ~~that plan, on~~April 2011, Ms. Burke served as our General Counsel, and from February 2004 to January ~~1, 2020,~~2005, she served as our ~~then Chief Executive Officer, Gerald G. Colella, retired~~Corporate Counsel. Prior to joining MKS, Ms. Burke was a corporate attorney at Wilmer Cutler Pickering Hale and ~~our then President, John T.C. Lee, succeeded Mr. Colella~~Dorr LLP (formerly Hale and Dorr LLP), a full-service international law firm, from 1994 to 2004. Ms. Burke served as ~~Chief Executive Officer and continued to serve as President. Mr. Colella continues to serve on our~~a member of the Board of Directors of the Northeast Chapter of the Association of Corporate Counsel, a global legal association, from 2009 to 2020 and served as ~~previously announced, will assume~~ the ~~role of Chairman of our Board in May 2020.~~

~~Throughout this proxy statement, we refer~~Chapter’s President from 2011 to ~~the “2019 Named Executive Officers” listed below.~~2013, and its Vice President from 2010 to 2011 and its Treasurer from 2009 to 2011. Ms. Burke holds a B.A. from Boston College and a J.D. from Boston College Law School.


~~Name~~		~~Title~~
~~Gerald G. Colella~~		~~Former Chief Executive Officer~~
~~John T.C. Lee~~		~~Current President and Chief Executive Officer; Former President~~
~~Seth H. Bagshaw~~		~~Senior Vice President, Chief Financial Officer and Treasurer~~
~~Kathleen F. Burke~~		~~Senior Vice President, General Counsel and Secretary~~
~~John R. Abrams(1)~~		~~Former Senior Vice President of Global Sales~~

MKS INSTRUMENTS, INC. | 2022 PROXY STATEMENT

~~(1)~~

~~Mr. Abrams retired as our Senior Vice President of Global Sales on February 28, 2019.~~


Name		Age		Background and Qualifications

~~Following this Compensation Discussion~~Mark M. Gitin,

Senior Vice President and

General Manager, Light and

Motion Division

Dr. Gitin has served as our Senior Vice President and ~~Analysis, you will find~~General Manager, Light and Motion Division since January 2019. From June 2018 to December 2018, he served as our Vice President and General Manager of the Photonics Business Unit and Instruments and Motion Business Unit, and from September 2017 to December 2018, he served as our Vice President and General Manager of the Photonics Business Unit. Prior to joining MKS, from March 1995 to September 2017, Dr. Gitin held various management positions covering a ~~series~~wide range of ~~tables containing specific information about~~technologies at Coherent, Inc., a leading provider of laser solutions and optics for microelectronics, life sciences, industrial manufacturing and scientific markets, including Vice President of Strategic Marketing, Vice President of Business Development and Vice President and General Manager of the ~~compensation earned or paid~~Diodes, Fibers and Systems Business Unit. Dr. Gitin holds a B.S. in Electrical Engineering from University of California, Davis and an M.Eng. and Ph.D. in Electrical Engineering from Cornell University.

David P. Henry,

Senior Vice President, Corporate Marketing, Project Management Office & Global Service

Mr. Henry has served as our Senior Vice President, Corporate Marketing, Project Management Office and Global Service since November 2020, where he oversees our marketing communications, strategic marketing, ecommerce, and project management functions and our global service business unit. From January 2020 to November 2020, he served as our Senior Vice President of Corporate Marketing and Project Management Office. From July 2016 to December 2019, Mr. Henry served as our Vice President of Corporate Marketing. From February 2014 to July 2016, he served as our Senior Director of Strategic Marketing. Prior to joining MKS, from December 1999 to February 2014, Mr. Henry served in various supply chain and marketing positions at 3M Company, a diversified technology company with a global presence in the safety and industrial, transportation and electronics, health care and consumer businesses. Mr. Henry holds a B.S. in Industrial Engineering from Worcester Polytechnic Institute and an M.B.A. from Bentley College.

James A. Schreiner,

Senior Vice President and Chief

Operating Officer

Mr. Schreiner has served as our Senior Vice President and Chief Operating Officer since September 2019. From July 2017 to September 2019, ~~Named Executive Officers. When we announced Mr. Abrams’ retirement in May~~he served as the Senior Vice President of ~~2018, we entered into~~Global Operations for the Rosemount Measurement & Analytical Group of Automation Solutions at Emerson Electric Co., a ~~Transition~~multinational corporation that manufactures products and Retirement Agreement with Mr. Abrams, which set forth, among other things, Mr. Abrams’ compensation upon his retirement. As a result, we did not make any compensation decisions with respect to Mr. Abrams during 2019 and he was not eligibleprovides engineering services for a ~~salary adjustment or~~wide range of industrial, commercial, and consumer markets. Mr. Schreiner served in other senior roles at Emerson Electric, including Vice President of North America from March 2016 to July 2017, and Vice President of Europe from November 2010 to March 2016, both for the Rosemount Measurement & Analytical Group at Emerson Electric. Prior to Emerson Electric, Mr. Schreiner served in progressive leadership roles at Plexus Corp., ILX Lightwave Corporation, Tetra Pak and 3M Company. Mr. Schreiner holds a ~~2019 cash bonus, and he did not receive any equity awards. For this reason, Mr. Abrams is not included~~B.S. in the discussion that follows. We refer to our 2019 Named Executive Officers who did serve through December 31, 2019 as the “Named Executive Officers” throughout the discussion below. References to “2019 Named Executive Officers” include Mr. Abrams. For a detailed discussion of the material terms of Mr. Abrams’ Transition and Retirement Agreement, see “Executive Compensation Tables — Potential Payments Upon Termination or~~Change-in-Control.”~~

~~Executive Summary~~

~~Our Business~~

We are a global provider of instruments, systems, subsystems and process control solutions that measure, monitor, deliver, analyze, power and control critical parameters of advanced manufacturing processes to improve process performance and productivity for our customers. Our products are derivedElectrical Engineering from our core competencies in pressure measurement and control, flow measurement and control, gas and vapor delivery, gas composition analysis, electronic control technology, reactive gas generation and delivery, power generation and delivery, vacuum technology, lasers, photonics, optics, precision motion control, vibration control and laser-based manufacturing systems solutions. We also provide services relating to the maintenance and repair of our products, installation services and training. Our primary served markets include semiconductor, industrial technologies, life and health sciences, research and defense.

~~Company Performance in 2019~~

The first half of 2019 was challenging for MKS due to the continued downturn in our Semiconductor Market, where our customers continued to experience excess production capacity, which drove lower capital expenditures negatively impacting our business. In our Advanced Markets, heightened geopolitical and trade headwinds led to more cautious spending. In addition, the consumer electronics market also underwent a prolonged period of digestion of excess capacity. However, in the second half of the year, we saw improved fundamentals within the Semiconductor Market and stabilization in our Advanced Markets, as trade tensions started to ease. In the fourth quarter of 2019, we delivered strong net revenues of $500 million and experienced strong sequential growth in our Semiconductor Market net revenues, which increased 22% in the quarter. This growth was driven by strong foundry and logic spending,Montana State University, Bozeman as well as ~~early signs of recovery in memory.~~

In February 2019, MKS completed the acquisition of Electro Scientific Industries, Inc., or ESI, a worldwide leader in advanced manufacturing processes within the printed circuit board, electronic thin film and electronic component markets. Our acquisition of ESI represents a significant step in broadening our market reach and expanding our addressable market by approximately $2.2 billion. The acquisition also provides MKS with a more balanced portfolio, with approximately 51% of our combined revenue in 2019 coming from Advanced Markets, and 49%an Executive M.B.A. from the ~~Semiconductor Market. We expect the addition~~University of ~~ESI to further strengthen~~Colorado, Denver.


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				40

Name

Age

Background and Qualifications

Eric R. Taranto,

Senior Vice President and

General Manager, Vacuum and

Analysis Division

Mr. Taranto has served as our ~~expertise in the lasers, photonics~~Senior Vice President and ~~optics markets, enabling us to develop systems that provide unique and cost-effective solutions to meet the challenges of our customers’ evolving technology needs.~~

~~In 2019, key results include:~~

net revenues of $1.9 billion, a decrease of 8% from $2.1 billion in 2018, driven largely by softness in the Semiconductor Market during the first half of 2019, as well as geopolitical and cyclical headwinds; net revenues in the Semiconductor Market were $929 million, a decrease of 19% compared to 2018, while net revenues from Advanced Markets, which included the contribution from ESI of $151 million, were $971 million, an increase of 4% compared to 2018;

~~net revenues for the~~General Manager, Vacuum and Analysis Division since November 2020. From September 2014 to November 2020, he served as our Vice President and General Manager of ~~$990 million,~~Business Units in our Vacuum & Analysis Division. In that position, he managed business units in our Company that primarily serve the semiconductor capital equipment market, including Automation and Control, Mass Spectrometry, Process and Environmental Gas, Integrated Systems, Plasma & Reactive Gas, and Power Solutions. From July 2014 to December 2020, he was also a ~~decrease~~member of 21% from $1.3 billion in 2018. The decline was driven largely by softness in the Semiconductor Market during the first half of 2019. Net revenues for the Light and Motion Division were $726 million in 2019, a decrease of 11% from $814 million in 2018, driven largely by lower shipments to industrial manufacturing customers. Net revenues for the Equipment and Solutions Division were $184 million in 2019;

~~net income of $140 million, or $2.55 per diluted share, compared to net income of $393 million, or $7.14 per diluted share in 2018;~~

~~substantial completion~~our Office of the ~~successful integration~~Chief Technology Officer (OCTO), and he chaired the OCTO from January 2018 to December 2020. From September 2000 to September 2014, Mr. Taranto served in a range of ~~ESI,~~managerial and ~~commencement of beta shipments of our differentiated High Density Interconnect PCB drilling tool, which represents a meaningful expansion of our addressable market;~~

~~a return of approximately $44 million~~senior engineering positions at MKS. From December 1997 to ~~MKS shareholders in cash dividends; and~~

~~further strengthening of our balance sheet position and cost structure by completing our fifth repricing of our existing term loan as well as $100 million in voluntary principal prepayments in 2019.~~

~~2019 Compensation Outcomes~~

Our executive compensation program is designed to reward our Named Executive Officers for performance and to align their interests with those of our shareholders. As a result of our financial results in 2019, our Named Executive Officers received 91% of their target variable cash compensation tied to~~non-GAAP~~ ~~operating income and 82% of their target performance-based equity compensation tied tonon-GAAP~~ cash flow from operations. We believe these financial performance metrics are important to our shareholders because each is an indicator of how well we manage the operations and capital of our Company. The rigor of our performance goals for 2019 is evidenced by the fact that both our variable cash and our performance-based equity compensation plans funded

below target. In 2019, the variable cash compensation for all our executive officers was tied to the financial performance of our Company, excluding the financial performance of the Company’s Equipment and Solutions Division, which division was formedSeptember 2000, he served as a ~~result of the Company’s acquisition of Electro Scientific Industries,~~senior engineer for D.I.P. Inc., ~~or ESI,~~a digital-control network supplier, until it was acquired by MKS in ~~2019.~~September 2000.

Our executive officers are appointed by the Board of Directors on an annual basis and serve until their successors are duly appointed and qualified. There are no family relationships among any of our executive officers or directors.


~~When our Compensation Committee set 2019 executive compensation in early 2019, long-term equity incentive compensation comprised 65%~~MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				41

EXECUTIVE COMPENSATION

Compensation Discussion and Analysis

Introduction

The purpose of this section of ~~total target compensation for~~ our proxy statement is to provide an overview of our executive compensation program, our compensation philosophy and objectives, and the material decisions we made with respect to each element of our executive compensation program. Throughout this proxy statement, we refer to the “Named Executive Officers” listed below.


Name		Title
John T.C. Lee		President and Chief Executive Officer and 59.2% of total target compensation, on average, for our other Named Executive Officers. Total target compensation is defined as the sum of base salary, target annual cash incentive compensation and target long-term equity incentive compensation. By making equity a substantial component of executive officer compensation, we align our executive officers’ long-term interests with those of our shareholders. Also, at least 50% of each Named Executive Officer’s target long-term equity incentive compensation is based on a measure of Company performance.
~~Our annual cash incentive plan is designed to complement our long-term equity incentive plan by focusing on our Company’s annual financial performance as measured bynon-GAAP~~ ~~operating income. In 2019, our target annual cash incentive compensation comprised 19.1% of total target compensation for our~~Seth H. Bagshaw		Senior Vice President, Chief ~~Executive~~Financial Officer and ~~17.7% of total target compensation, on average, for our other Named Executive Officers.~~Treasurer
~~In 2019, base salary accounted for 15.9% of total target compensation for our~~Kathleen F. Burke		Senior Vice President, General Counsel and Secretary
Mark M. Gitin		Senior Vice President and General Manager, Light & Motion Division
James A. Schreiner		Senior Vice President and Chief ~~Executive~~Operating Officer and 23.1% of total target compensation, on average, for our other Named Executive Officers. In 2019, our Chief Executive Officer had 84.1% of his total target compensation opportunity tied to annual and long-term incentive compensation and our other Named Executive Officers, on average, had 76.9% of their total target compensation opportunity tied to annual and long-term incentive compensation. ~~Consideration of 2019 Advisory Vote on Executive Compensation~~ ~~At our 2019 Annual Meeting of Shareholders, held on May 8, 2019, we submitted to our shareholders an advisory vote on executive compensation. Although annual advisory“say-on-pay”~~ ~~votes arenon-binding,~~ our Compensation Committee has considered, and will continue to consider, the outcome of this vote each year when making compensation decisions for our Named Executive Officers. At the 2019 Annual Meeting, our shareholders overwhelmingly approved our executive compensation, with approximately 96.5% of the votes cast voting in favor of the~~“say-on-pay”~~ ~~proposal.~~ ~~The Compensation Committee considered the results of the 2019say-on-pay~~ vote, and based upon the strong shareholder support, does not believe that our executive compensation program requires material changes. The Compensation Committee will continue to consider the views of our shareholders in connection with our executive compensation program and will consider changes based upon evolving best practices, market compensation information and changing regulatory requirements. The Compensation Committee believes that the 2019 shareholder vote was an endorsement of our compensation and pay decisions made in relation to our performance. *~~Compensation Philosophy and Objectives~~* ~~The primary objectives of our executive compensation program are to:~~

In October 2021, as described under the heading “Proposed Acquisition of Atotech,” our Board of Directors appointed Mr. Schreiner, who currently serves as our Senior Vice President and Chief Operating Officer, to the position of Senior Vice President and Chief Operating Officer, Atotech Division, subject to and effective upon the closing of the proposed acquisition of Atotech.

Following this Compensation Discussion and Analysis, you will find a series of tables containing specific information about the compensation earned by or paid to our Named Executive Officers in 2021.

Executive Summary

Our Business

We are a global provider of instruments, systems, subsystems and process control solutions that measure, monitor, deliver, analyze, power and control critical parameters of advanced manufacturing processes to improve process performance and productivity for our customers. Our products are derived from our core competencies in pressure measurement and control, flow measurement and control, gas and vapor delivery, gas composition analysis, electronic control technology, reactive gas generation and delivery, power generation and delivery, vacuum technology, temperature sensing, lasers, photonics, optics, precision motion control, vibration control and laser-based manufacturing systems solutions. We also provide services relating to the maintenance and repair of our products, installation services and training. Our primary served markets include semiconductor, industrial technologies, life and health sciences, and research and defense.

Company Performance in 2021

We delivered record revenue, net income and operating cash flow in 2021, despite unprecedented supply chain constraints and continuous COVID disruptions.

Our record performance was driven by significant growth in revenue from our Semiconductor and Advanced Markets. We were able to execute with laser focus on meeting our customers’ needs while ensuring the safety and wellbeing of our employees, which remains our highest priority.

Our focus on meeting our customers’ needs did not impact our long-term strategy. We invested in a number of areas to drive organic growth, while executing on strategic M&A opportunities. Our acquisition of Photon Control Inc., which we completed in July 2021, brought us critical temperature sensing, which is a seamless fit within our Surround the Chamber^® offering. We expect our proposed acquisition of Atotech, which was announced on July 1, 2021, will add valuable chemistry expertise, enhance the breadth of our innovation capabilities, and accelerate our customers’ roadmaps in the era of miniaturization and complexity.

We also made important strides in strengthening MKS by prioritizing our Corporate Social Responsibility efforts. We issued our inaugural CSR report, in which we articulated our strong commitment to diversity, equity and inclusion, as well as environmental management, employee development and governance.


~~attract and retain high caliber executive talent;~~MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				42

In 2021, key results include:

record revenue of $2.9 billion, an increase of 27% from $2.3 billion in 2020;

record Semiconductor Market revenue of $1.8 billion, an increase of 32% from $1.4 billion in 2020, led by strong growth across our Vacuum and Analysis Division, including another record year in our Power Solutions business, and strong growth in sales by our Light and Motion Division to semiconductor applications, particularly for lithography, metrology and inspection customers;

Advanced Markets revenue of $1.1 billion, an increase of 19% from $944 million in 2020, led by growing demand in Advanced Electronics applications, particularly for Flexible PCB via drilling applications, and recovery in Industrial, Life and Health Science, and Research and Defense markets;

record net income of $551 million, or $9.90 per diluted share, compared to net income of $350 million, or $6.33 per diluted share, in 2020;

record operating cash flow of $640 million, a 25% increase from the $513 million reported in 2020; and

a return of $48 million to MKS shareholders in cash dividends.

2021 Compensation Outcomes

Our executive compensation program is designed to reward our Named Executive Officers for performance and to align their interests with those of our shareholders. As a result of our financial performance in 2021, our Named Executive Officers received 200% of their target variable cash compensation tied to non-GAAP operating income and 200% of their target performance-based equity compensation tied to non-GAAP EBITDA. We believe these financial performance metrics are important to our shareholders because each is an indicator of how well we manage the operations and profitability of our Company. The successful alignment of our financial performance goals with our incentive payout opportunities for 2021 is evidenced by the fact that both our annual cash incentive plan and our performance-based equity awards paid out at maximum achievement in a year where our Company achieved record revenue, net income and operating cash flow.

Consideration of 2021 Advisory Vote on Executive Compensation

At our 2021 Annual Meeting of Shareholders, held on May 11, 2021, we submitted to our shareholders an advisory vote on executive compensation. Although annual advisory “say-on-pay” votes are non-binding, our Compensation Committee considers the outcome of this vote each year when making compensation decisions for our Named Executive Officers. At the 2021 Annual Meeting, our shareholders overwhelmingly approved our executive compensation, with over 98% of the votes cast voting in favor of the “say-on-pay” proposal.

The Compensation Committee considered the results of the 2021 “say-on-pay” vote, and based upon strong shareholder support, determined that our executive compensation program did not require any material changes in response to the 2021 “say-on-pay” vote. The Compensation Committee will continue to consider the views of our shareholders in connection with our executive compensation program, in addition to considering evolving best practices, market compensation information and changing regulatory requirements. The Compensation Committee believes that the results of the 2021 “say-on-pay” vote were an endorsement of our compensation and pay decisions made in relation to our performance.

Compensation Philosophy and Objectives

The primary objectives of our executive compensation program are to:

attract and retain high caliber executive talent;

motivate and reward the attainment of short-term objectives that drive long-term value; and

foster long-term alignment of executive and shareholder interests.

We target each of our Named Executed Officers’ various compensation elements, including base salary, annual cash incentive compensation, and long-term equity incentive compensation, to be within a competitive range around median levels (plus or minus 15% of median) for each such respective position in the market. The competitive range is considered alongside other key factors when setting compensation levels, and final values may range from approximately the 25th percentile to approximately the 75th percentile, determined on an

~~foster long-term alignment of executive and shareholder interests.~~MKS INSTRUMENTS, INC. | 2022 PROXY STATEMENT

We target each of the various compensation elements, including base salary, annual cash incentive compensation, and long-term equity incentive compensation, to be within a competitive range around median levels for the individual position in the market. The competitive range is considered alongside other key factors when setting compensation levels, and final values may range from approximately the 25th percentile to approximately the 75th percentile, as appropriate. In considering the compensation of our Named Executive

Officers relative to the market, we also look qualitatively at the individual’s overall performance, tenure and potential contributions to MKS’ ongoing growth. Currently, all of our Named Executive Officers are paid

individual basis. In considering the compensation of our Named Executive Officers relative to the market, we also qualitatively assess each Named Executive Officer’s overall performance, tenure and potential contributions to MKS’ ongoing growth. For 2021, the total target compensation of each of our Named Executive Officers fell within the competitive range of the median of our peer group, with the exception of the total target compensation of our Chief Financial Officer, which fell outside of the competitive range of the median of our peer group but below the 75th percentile.

Base salaries are designed to provide executives with a level of predictability and stability with respect to a portion of their total compensation package. Base salaries are a relatively small component of the overall pay packages of our Named Executive Officers because we believe a significant majority of executive compensation should be variable and based on performance.

Our annual cash incentive compensation program is designed to reward the attainment of short-term earnings goals that drive the long-term growth of MKS. We believe that our program goals are aligned with significant value creation, and that our plan creates a strong link between pay and performance while providing a meaningful incentive for our Named Executive Officers to deliver financial results that exceed our goals.

We provide our Named Executive Officers with long-term equity incentive compensation in the form of RSUs, approximately half of which are performance-based, in order to:

foster long-term alignment of executive and shareholder interests;

balance the short-term focus on annual cash incentive compensation with creating long-term shareholder value;

reward strong operational performance; and

retain executives by providing equity-based compensation that generally vests over a three-year period.

In order to further underscore our compensation values and enhance the efficacy of our pay programs, we also adhere to the following practices:

What We Do

✓	Offer a balanced compensation program designed to align with our business strategy, market practices and shareholder interests

✓	Provide maximum payout caps under incentive plans

✓	Conduct robust annual reviews and validation of our peer ~~group.~~group

✓	~~Base salaries are designed to provide executives with~~Conduct annually a ~~level~~comprehensive risk assessment of ~~predictability and stability with respect to~~compensation programs

✓	Maintain a ~~portion~~clawback policy for incentive-based compensation

✓	Provide change-in-control benefits only upon a qualified termination of ~~their total~~employment

✓	Review prior levels of compensation ~~package. Base salaries are a relatively small component in the overall pay packages of our Named Executive Officers because we believe the significant majority of~~when making executive compensation ~~should be variable and based~~decisions

✓	Maintain stock ownership guidelines

✓	Maintain a fully independent Compensation Committee

✓	Utilize an independent compensation consultant

✓

Executing on ~~performance.~~

~~Our annual cash incentive compensation program is designed~~plan to reward the attainment of short-term earnings goals that drive the long-term growth of MKS. We believe that our program goals are aligned with significant value creation, and that our plan creates a strong link between pay and performance while providing meaningful incentive for our Named Executive Officers to exceed our financial goals.

~~We provide our Named Executive Officers with long-term equity incentive compensation in the form of restricted stock units, or RSUs, approximately half of which are performance-based, in order to:~~

~~foster long-term alignment of executive and shareholder interests;~~

~~balance the short-term focus of annual cash incentive compensation with creating long-term shareholder value;~~

~~reward strong operational performance; and~~

~~retain executives by providing equity-based compensation that generally vests over a three-year period.~~

~~In order to further underscore our compensation values, and enhance the efficacy of our pay programs, we have also implemented the following practices:~~

~~What We Do~~

✓	~~Provide maximum payout caps under incentive plans~~eliminate perquisites altogether

✓	~~Have a clawback policy for incentive-based compensation~~

✓	~~Providechange-in-control~~ ~~benefits only upon a qualified termination of employment~~

✓	~~Review prior levels of compensation when making executive compensation decisions~~

✓	~~Have stock ownership guidelines~~

✓	~~Have a fully independent Compensation Committee~~

✓	~~Utilize an independent compensation consultant~~

What We Do Not Do

x	No repricing of underwater options without shareholder approval

x	No hedging or pledging of MKS shares

x	No incentives for excessive risk taking

x	No excessive perquisites


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				44

The following charts show the components of total target compensation for our Chief Executive Officer and our other Named Executive Officers as a group for 2021.

When the Compensation Committee met in May 2020 to review the peer companies to be used to determine 2021 executive compensation, the Committee elected to make no changes to the existing peer group, which consisted of 17 U.S. publicly traded companies that were primarily selected based on similar industry and size. In determining whether these companies remained appropriate for continued inclusion in the peer group, the Compensation Committee considered whether they had a revenue range relative to our trailing 12-month revenue as of December 31, 2019 between approximately 0.5 to 2.5 times and a market capitalization range relative to our market capitalization as of April 10, 2020 between approximately 0.3 and 3.0 times. The Compensation Committee also considered secondary factors including other relevant peer groups, commonality of peers, other performance considerations and whether a company is a competitor for talent. Publicly available compensation data from the following peer companies was used in determining executive compensation for 2021:


AMETEK, Inc.		KLA Corporation
Amkor Technology, Inc.		Lumentum Holdings Inc.
Brooks Automation, Inc. (now Azenta, Inc.)		National Instruments Corporation
Coherent, Inc.		Sensata Technologies Holding plc
Entegris, Inc.		Skyworks Solutions, Inc.
FLIR Systems, Inc. (now Teledyne FLIR, LLC)		Teradyne, Inc.
II-VI Incorporated		Trimble Inc.
IPG Photonics Corporation		Zebra Technologies Corporation
Keysight Technologies, Inc.

In certain instances where robust peer group benchmark data was not available, our Compensation Committee utilized size and industry-appropriate broad survey data from Radford.

Elements of Compensation

The following summarizes the compensation elements for our Named Executive Officers:

Base Salary

When our Compensation Committee set 2021 annual executive compensation in February 2021, it approved salary increases of approximately 7% for Dr. Lee, approximately 4% for Mr. Schreiner, and approximately 3% for each of Mr. Bagshaw, Ms. Burke and Dr. Gitin. These salary increases were based on the compensation data of our peer group. In addition, with the exception of Dr. Gitin, who was not eligible to receive perquisites, the Compensation Committee approved salary adjustments for our Named Executive Officers to recognize the elimination of perquisites, effective December 31, 2020. These adjustments were calculated based on the value of the eliminated perquisites, which included company-leased cars or car allowances, company-paid health insurance, reimbursement of certain out-of-pocket healthcare costs, golf club memberships, financial planning


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				45

benefits and executive physicals.These salary increases and adjustments took effect on March 21, 2021. Mr. Bagshaw and Mr. Schreiner will receive an additional salary adjustment in 2024 to recognize the elimination of the only remaining perquisites, company-leased cars, which Mr. Bagshaw and Mr. Schreiner were permitted to retain until the expiration of their respective leases in 2023 to avoid lease cancellation costs.

Listed below is the base salary for Dr. Lee, our President and Chief Executive Officer, in 2020 and 2021.


Chief Executive Officer	2020 Base Salary		2021 Base Salary		Percentage Increase without Perquisite Adjustment			Percentage Increase with Perquisite Adjustment
John T.C. Lee	$	850,000	$	925,000		6.6	%		8.8	%

Listed below are the base salaries for our other Named Executive Officers in 2020 and 2021.


Named Executive Officer	2020 Base Salary		2021 Base Salary		Percentage Increase without Perquisite Adjustment			Percentage Increase with Perquisite Adjustment
Seth H. Bagshaw	$	563,000	$	600,000		3.1	%		6.6%
Kathleen F. Burke	$	446,000	$	484,000		3.3	%		8.5%
Mark M. Gitin	$	438,900	$	452,000		3.0	%		N/A
James A. Schreiner	$	410,000	$	440,000		3.8	%		7.3%

Annual Cash Incentive Compensation

For 2021, the Compensation Committee did not make any changes to our annual cash incentive program compared to 2020. Under our annual cash incentive plan, each Named Executive Officer was eligible to receive a performance bonus based on a specified percentage of eligible earnings, which is defined as eligible W-2 earnings received during the 2021 calendar year (i.e., base salary, including regular, holiday, vacation and sick pay, but excluding bonus payments). Cash bonus payouts for 2021 were based entirely on non-GAAP operating income after bonus and excluded any charges or income not related to the operating performance of the Company.

In 2021, payouts under the annual cash incentive plan were determined by multiplying a Named Executive Officer’s “Target Bonus Amount” by the Company’s percentage achievement of the financial performance objective, each as discussed below. Target Bonus Amount is the amount determined by multiplying each Named Executive Officer’s eligible earnings in 2021 by the Target Bonus Percentages determined by our Compensation Committee each year. When our Compensation Committee set 2021 annual executive compensation in early 2021, it elected to increase the Target Bonus Percentage for Dr. Lee by 10%, increase the Target Bonus Percentage for each of Mr. Bagshaw and Ms. Burke by 5%, and maintain the existing Target Bonus Percentage for each of Dr. Gitin and Mr. Schreiner.

Listed below is the 2021 Target Bonus Percentage for each Named Executive Officer.


Named Executive Officer	2021 Target Bonus Percentage
John T.C. Lee		120	%
Seth H. Bagshaw		90	%
Kathleen F. Burke		70	%
Mark M. Gitin		65	%
James A. Schreiner		65	%

In 2021, our Compensation Committee approved goals and associated incentive payout opportunities related to our 2021 non-GAAP operating income performance. Due to the cyclical nature and volatility of the markets in which we operate, including the consumer electronics market and semiconductor market, our Compensation Committee views it of paramount importance to set financial performance goals that are rigorous but attainable given the outlook for these markets for the coming year. For 2021, our Compensation Committee set target


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				46

achievement for our annual cash incentive plan at an amount that was greater than either target achievement or actual achievement in 2020. The successful alignment of our financial performance goals with our incentive payout opportunities for 2021 is evidenced by the fact that our annual cash incentive plan paid out at maximum achievement in a year where we achieved record revenue, net income and operating cash flow.

In 2021, participants in the annual cash incentive plan would not receive any portion of their Target Bonus Amount if non-GAAP operating income for the Company was less than $292.54 million, which is referred to as the “Threshold Bonus Amount.” Participants would receive 50% of their Target Bonus Amount if such non-GAAP operating income was $292.5 million, would receive 100% of their Target Bonus Amount if such non-GAAP operating income was $585.07 million, and would receive the maximum 200% if such non-GAAP operating income was $702.09 million or more, with proportional payments for achievement in between these levels. If non-GAAP operating income before the calculation of bonus was greater than the Threshold Bonus Amount, but the inclusion of the bonus would result in an amount lower than the Threshold Bonus Amount, then only the portion of pre-bonus operating income above the Threshold Bonus Amount would be payable to participants on a pro rata basis. In 2021, for purposes of the annual cash incentive plan, non-GAAP operating income was $783.01 million. As a result, participants were eligible to receive 200% of their Target Bonus Amounts under this formula. The 2021 non-GAAP operating income excludes the results of Photon Control Inc., which we acquired in July 2021, as well as restructuring charges, acquisition and integration costs and amortization of intangible assets.

Listed below are our Named Executive Officers’ earned cash bonus payouts for 2021.


Named Executive Officer	Cash Payout		Payment as a Percent of Target
John T.C. Lee	$	2,178,466		200	%
Seth H. Bagshaw	$	1,064,683		200	%
Kathleen F. Burke	$	665,404		200	%
Mark M. Gitin	$	583,671		200	%
James A. Schreiner	$	563,001		200	%

Our Compensation Committee has the authority to make other cash bonus awards to our executive officers as it deems appropriate. In November 2021, upon the recommendation of Dr. Lee, who requested that he not be considered for an award, the Compensation Committee approved discretionary cash bonuses to Mr. Bagshaw, Ms. Burke and Mr. Schreiner in recognition of their outstanding leadership of and attention to multiple strategic transactions in 2021. Among other transactions, Mr. Bagshaw, Ms. Burke and Mr. Schreiner led the Company through the acquisition of Photon Control Inc., which was completed in July 2021, and our proposed acquisition of Atotech, which was signed in July 2021, in addition to attending to their day-to-day responsibilities. These bonuses were paid in the following amounts in January 2022:


Named Executive Officer	Cash Bonus(1)
Seth H. Bagshaw	$	50,000
Kathleen F. Burke	$	50,000
James A. Schreiner	$	50,000

(1) Gross amount less all applicable taxes.

Our annual cash incentive program is also designed to incentivize profitability improvements during cyclical downturns in our business. Individuals who are eligible to participate in our annual cash incentive plan are also eligible to participate in our profit improvement cash bonus plan. In order to receive any payout under this plan, MKS must achieve specified profit enhancements or cost reductions by the end of the applicable calendar year. A participant’s maximum bonus under this plan is 25% of his or her Target Bonus Amount (using the same definition as used in our annual cash incentive plan). A participant is only eligible to receive a payout under the profit improvement cash bonus plan if the participant receives less than 100% of his or her Target Bonus Amount under our annual incentive bonus plan. In addition, any payout under our profit improvement cash bonus plan is capped such that the combined payout under our annual cash incentive plan and under our profit improvement cash bonus plan will not exceed an amount equal to 100% of the participant’s Target Bonus Amount under our annual


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				47

cash incentive plan. In 2021, our Named Executive Officers were not eligible to receive any payouts under our profit improvement cash bonus plan because our annual cash incentive plan paid out at over 100%.

Our Compensation Committee did not make any material design changes to our annual cash incentive program for 2022.

Long-Term Equity Incentive Compensation

When our Compensation Committee set 2021 annual executive compensation in February 2021, it awarded the following time-based and performance-based RSUs to our Named Executive Officers. These RSUs vest in three equal annual installments. The performance-based RSUs are subject to a one-year performance metric described below.


Named Executive Officer	Grant Date Value of Performance-Based RSUs(1)		Number of Performance-Based RSUs(1)		Grant Date Value of Time-Based RSUs		Number of Time-Based RSUs
John T.C. Lee	$	2,486,000		14,436.70	$	2,034,000		11,811.85
Seth H. Bagshaw	$	1,003,750		5,828.98	$	821,250		4,769.16
Kathleen F. Burke	$	525,000		3,048.78	$	525,000		3,048.78
Mark M. Gitin	$	285,000		1,655.05	$	285,000		1,655.05
James A. Schreiner	$	337,500		1,959.93	$	337,500		1,959.93

(1)	Grant date value of performance-based RSUs and corresponding number of performance-based RSUs assuming 100% achievement. Achievement is capped at 200%.

With respect to performance-based RSUs, our goal is to select a Company financial performance metric that best aligns with our Company objectives. Since 2020, we have used non-GAAP EBITDA (defined as the Company’s GAAP operating income excluding any charges or income not related to the operating performance of the Company plus depreciation and stock compensation expense), which we believe is an appropriate indicator of how effectively we manage the operations of our Company, while continuing to recognize the cyclical nature and volatility of the markets we serve, as well as to drive continued improvement in our Company’s operating model independent of revenue levels.

Further, we choose to measure non-GAAP EBITDA over a one-year performance period because of the cyclical nature and volatility of our markets, making it challenging to set multi-year performance targets. To ensure our executive officers are focused on our Company’s long-term performance, the performance-based RSUs vest over a three-year period in equal annual installments.

We use RSUs as our form of equity incentive compensation because we believe RSUs help to ensure that our executive officers’ interests are aligned with our shareholders’ interests in both a rising and a declining stock market. We believe RSUs are preferable to options, which have a relatively high accounting cost as compared to their potential value to the executive officer, and restricted stock, which gives the executive officer voting and dividend rights prior to full vesting. Also, because RSUs are worth more than options on the date of grant, we are able to grant fewer RSUs as compared to options, resulting in less dilution to shareholders’ holdings.

In 2021, our Named Executive Officers would have forfeited all of their performance-based RSUs if our non-GAAP EDITDA was less than $439.5 million at a revenue level of $2.25 billion, or if such non-GAAP EBITDA was less than $676.4 million at a revenue level of $2.95 billion (with intermediate non-GAAP EBITDA minimum thresholds at different revenue levels in between). However, if we did achieve these non-GAAP EBITDA threshold levels at the respective revenue levels identified, our Named Executive Officers would receive 50% of their target performance-based RSUs. If our non-GAAP EBITDA was at or above $568.8 million at a revenue level of $2.25 billion or was at or above $875.4 million at a revenue level of $2.95 billion (with proportional thresholds in between), then our Named Executive Officers would receive the maximum of 200% of their target performance-based RSUs. Proportional achievement levels would be made for non-GAAP EBITDA between the minimum and maximum levels. In 2021, because our revenue was $2.92 billion and our non-GAAP EBITDA was $867.5 million, after excluding the results of Photon Control Inc., which we acquired in July 2021, as well as restructuring charges, acquisition and integration costs, amortization of intangible assets, depreciation of fixed assets and stock-based


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				48

compensation expense, our Named Executive Officers received 200% of their target performance-based RSUs. These performance-based RSUs, along with the time-based RSUs granted to our Named Executive Officers, vest in equal annual installments over three years from the original date of grant.

It is our practice to make an initial equity-based grant to all of our Named Executive Officers at the time they commence employment in an amount that is consistent with amounts granted to other executive officers in the industry at similar levels of seniority. In addition, we typically make an annual grant of equity-based compensation to our Named Executive Officers during the first fiscal quarter of each year. Discretionary equity-based awards may also be made throughout the year to provide an incentive to achieve a specific goal or to reward a significant achievement or for other reasons that the Compensation Committee determines. Our Compensation Committee did not make any discretionary equity-based awards to our Named Executive Officers in 2021.

Our Compensation Committee did not make any design changes to our 2022 annual equity incentive program.

Perquisites

Our Compensation Committee elected to discontinue perquisites effective December 31, 2020, with the exception that Mr. Bagshaw and Mr. Schreiner could retain their company-leased cars until the expiration of their respective leases in 2023 to avoid lease cancellation costs. To recognize the elimination of perquisites, adjustments were made when determining 2021 base salaries for each Named Executive Officer, other than Dr. Gitin, who was not eligible for perquisites, and for Mr. Bagshaw and Mr. Schreiner, an additional adjustment will be made to their respective 2024 base salaries when their car leases expire. See “Elements of Compensation — Base Salary” above for a further description of these salary adjustments. Our Compensation Committee believes the discontinuation of perquisites allows us to simplify and more consistently align our compensation and benefits offerings with other employees, while placing greater focus on performance-based compensation.

Severance and Change-in-Control Provisions

Each of our Named Executive Officers is entitled to certain payments and benefits in the event his or her employment terminates under specified circumstances as described in the applicable agreement and subject to his or her entry into a release of claims. In addition, in exchange for these payments and benefits, if and to the extent legally enforceable, each of these officers has agreed to be restricted from competing with the Company during and following his or her termination of employment for a twelve-month period. In addition, RSU agreements with our Named Executive Officers generally provide for acceleration of vesting in the event the executive’s employment is terminated without cause or the executive resigns for good reason within 24 months after a change-in-control event. The severance and change-in-control provisions are designed to be competitive in the marketplace, to provide security for each of our Named Executive Officers in the event that we are acquired and his or her respective position is impacted and to provide an incentive for our Named Executive Officers to stay with us through such a change-in-control event. These provisions are also intended to protect us from competitive harm by compensating our Named Executive Officers for agreeing to substantial non-compete provisions after employment termination. See “Executive Compensation Tables — Potential Payments Upon Termination or Change-in-Control” for more information about these agreements.

Compensation of our Chief Executive Officer

We entered into an employment agreement with Dr. Lee upon his becoming Chief Executive Officer in October 2019. The terms of Dr. Lee’s employment agreement reflected his role as the leader of our Company and the experience he brought to the position. For a detailed discussion of the material compensation terms of Dr. Lee’s employment agreement, including all amendments to this employment agreement, see “Executive Compensation Tables — Potential Payments Upon Termination or Change-in-Control.”

Compensation of our Other Named Executive Officers

We have entered into employment agreements with each of our other Named Executive Officers. In October 2021, in connection with the appointment of Mr. Schreiner to be Senior Vice President and Chief Operating Officer, Atotech Division, effective upon the closing of the proposed Atotech acquisition, our Compensation Committee


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				49

approved an amendment to Mr. Schreiner’s existing employment agreement, which provided for an increase to Mr. Schreiner’s base salary, an expatriate service bonus payable following a two-year term of expatriate service (or such longer term of service as may be mutually agreed by us and Mr. Schreiner) and enhanced severance compensation in the event that Mr. Schreiner resigns his employment if we fail to return him to the position of Senior Vice President and Chief Operating Officer or a position of at least substantially similar duties and authority within six months after his return to the United States following the completion of his expatriate service term. The compensation we agreed to pay Mr. Schreiner in connection with his appointment as Senior Vice President and Chief Operating Officer, Atotech Division, reflects the compensation negotiated with him. For a detailed discussion of the material compensation terms of these executive employment agreements, including all amendments to these employment agreements, see “Executive Compensation Tables — Potential Payments Upon Termination or Change-in-Control.”

Compensation Consultant

We engage a compensation consultant to serve as an independent advisor to the Compensation Committee regarding compensation for our directors and our executive officers. The Compensation Committee utilizes the compensation consultant in the following ways:

to provide the Compensation Committee with occasional consultation regarding compensation strategies and programs;

to review our peer group to determine the appropriateness of its composition;

to conduct formal competitive compensation analysis for the Compensation Committee regarding our directors and each executive officer, on a position-by-position basis, in comparison to similarly situated executive officers in our peer group using benchmarking data; and

to assist the Compensation Committee with conducting a risk assessment of the Company’s compensation policies and practices.

Since May 2019, the Compensation Committee has engaged Pearl Meyer as its compensation consultant. The Compensation Committee has determined that the engagement of Pearl Meyer as a compensation consultant does not raise any conflicts of interest with MKS.

Role of our Chief Executive Officer

Our Chief Executive Officer reviews with the Compensation Committee the performance of all other Named Executive Officers and makes recommendations relating to compensation of such executive officers. Management develops proposed company financial goals for review and approval by the Compensation Committee for the annual cash incentive plan and long-term performance-based equity incentive compensation, develops proposals relating to potential changes in compensation programs for review and approval by the Compensation Committee and provides the Compensation Committee and its advisors with information necessary to evaluate and implement compensation proposals and programs. Our Chief Executive Officer does not participate in discussions regarding his own compensation.

Governance Policies

Stock Ownership Guidelines

Our Stock Ownership Guidelines, which apply to members of the Board of Directors, the Chief Executive Officer and any other person who is or was a named executive officer while the guidelines are effective, provide that:

Non-employee members of the Board of Directors shall own at least the lesser of (i) 4,000 shares of our Common Stock or (ii) the number of shares of our Common Stock equal in value to five times the annual retainer for Board service (exclusive of any compensation for committee service, meeting fees, leadership roles and the like).

The Chief Executive Officer shall own at least the lesser of (i) 50,000 shares of our Common Stock or (ii) the number of shares of our Common Stock with a value equal to five times his or her annual base salary (excluding any bonus, award or special compensation).

Other Named Executive Officers shall own at least the lesser of (i) 10,000 shares of our Common Stock or (ii) the number of shares of our Common Stock with a value equal to two times his or her annual base salary (excluding any bonus, award or special compensation).


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				50

These guidelines are based, in each case, on values in effect as of December 31 of the applicable year. The Stock Ownership Guidelines provide for a phase-in period over five years to achieve the respective ownership goals. All Named Executive Officers and directors were in compliance with the Stock Ownership Guidelines as of December 31, 2021.

Clawback Policy

Our Clawback Policy, which is applicable to incentive-based compensation (specifically our annual cash incentive plan and our performance-based RSUs) that is awarded to our current and former executive officers, provides that in the event we are required to prepare an accounting restatement due to fraud, misconduct or material noncompliance with financial reporting requirements, we will use reasonable efforts to recover any amount in excess of what would have been paid to such executive officers (or such former executive officers) under the accounting restatement for any such incentive-based compensation during the three-year period preceding the restatement. The Compensation Committee may direct the Company to recover additional amounts of incentive-based compensation up to the entire amount, including different amounts from different executive officers, if the Compensation Committee concludes that executive officer fraud or misconduct directly caused or materially contributed to the accounting restatement.

Prohibition on Hedging and Pledging

Our Insider Trading Policy prohibits any of our directors or employees from engaging in purchases of financial instruments or other transactions that hedge or offset, or are designed to hedge or offset, any decrease in the market value of our securities (including pre-paid variable forward contracts, equity swaps, collars and exchange funds), and prohibits such individuals from purchasing our securities on margin or pledging such securities as collateral for a loan.

Impact of Accounting on Executive Compensation

We account for stock-based compensation in accordance with the requirements of ASC 718. The Compensation Committee considers the impact of ASC 718 on our use of equity incentives as a key retention tool. The Compensation Committee regularly reviews its choice of equity incentives, taking into account both tax and accounting considerations.


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				51

COMPENSATION COMMITTEE REPORT

The Compensation Committee has reviewed and discussed the “Compensation Discussion and Analysis” required by Item 402(b) of Regulation S-K with management. Based on such review and discussions, the Committee recommended to the Board of Directors that the “Compensation Discussion and Analysis” be included in this proxy statement.

Respectfully submitted,

Rajeev Batra, Chair

Jacqueline F. Moloney

Elizabeth A. Mora


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				52

EXECUTIVE COMPENSATION TABLES

Summary Compensation Table for 2021

The following table sets forth the aggregate amounts of compensation earned by our Named Executive Officers in the years ended December 31, 2021, 2020 and 2019.


Name and Principal Position	Year		Salary ($)		Bonus ($)			Stock Awards ($)(4)		Non-Equity Incentive Plan Compensation ($)(5)		All Other Compensation ($)(6)		Total ($)
John T.C. Lee, President and Chief Executive Officer (principal executive officer)		2021	$	908,863	$	-		$	4,520,000	$	2,178,466	$	31,026	$	7,638,355
		2020	$	850,000	$	30,921	(2)	$	3,250,000	$	1,917,808	$	78,297	$	6,127,026
		2019	$	565,000	$	-		$	1,650,000	$	487,778	$	62,734	$	2,765,512
Seth H. Bagshaw, Sr. Vice President, Chief Financial Officer and Treasurer (principal financial officer)		2021	$	592,075	$	50,000	(3)	$	1,825,000	$	1,064,683	$	35,155	$	3,566,913
		2020	$	555,736	$	19,715	(2)	$	1,725,000	$	977,888	$	68,991	$	3,347,330
		2019	$	530,000	$	-		$	2,650,000	$	385,280	$	64,863	$	3,630,143
Kathleen F. Burke, Sr. Vice President, General Counsel and Secretary		2021	$	475,885	$	50,000	(3)	$	1,050,000	$	665,404	$	30,979	$	2,272,268
		2020	$	440,394	$	19,715	(2)	$	875,000	$	592,594	$	55,870	$	1,983,573
		2019	$	420,000	$	-		$	1,300,000	$	229,005	$	55,374	$	2,004,379
Mark M. Gitin, Sr. Vice President, General Manager of Light & Motion Division(1)		2021	$	449,182	$	-		$	570,000	$	583,671	$	30,834	$	1,633,687

James A. Schreiner Sr. Vice President and Chief Operating Officer(1)		2021	$	433,543	$	50,000	(2)	$	675,000	$	563,001	$	88,221	$	1,809,765
		2020	$	407,769	$	14,121	(3)	$	475,000	$	549,750	$	75,745	$	1,522,385

(1)	Under the applicable rules of the SEC, (i) Dr. Gitin was not an executive officer in 2020 or 2019 and (ii) Mr. Schreiner was not an executive officer in 2019. Accordingly, their compensation is not included with respect to such years.

(2)	Represents a discretionary cash bonus made in recognition of extraordinary efforts managing the Company’s business during the COVID-19 pandemic.

(3)	Represents a discretionary cash bonus made in recognition of outstanding leadership of and attention to multiple strategic transactions.

(4)

Represents the aggregate grant date fair value for each RSU granted to the executive officer during the covered year, calculated in accordance with ASC 718. The assumptions used in determining the aggregate grant date fair values of awards are set forth in Note 17 to our consolidated financial statements, which were included in our Annual Report on Form 10-K that was filed with the SEC on February 28, 2022. The amounts under the “Stock Awards” column do not reflect the amount of compensation actually received by the Named Executive Officers ~~as a group for 2019.~~

~~When~~during the ~~Compensation Committee met in July 2018~~fiscal year. Except with respect to review peer companies to be used to determine 2019 executive compensation, the Committee elected to make no changes to the peer group with the exception of Microsemi Corporation, which was removed because it was acquired by Microchip Technology, Inc. in 2018. The 18 peer companies were selected based on similar industry, market capitalization and revenue, with a revenue and market capitalization range relative to our trailing~~12-month~~ ~~revenue as of June 30, 2018 of between .3 to 3 times. Publicly available compensation data from the following comparable peer companies was used in determining executive compensation for 2019:~~


~~Advanced Energy Industries, Inc.~~				~~Keysight Technologies, Inc.~~
~~AMETEK, Inc.~~				~~KLA-Tencor~~ ~~Corporation~~
~~Amkor Technology Inc.~~				~~Kulicke and Soffa Industries, Inc.~~
~~Brooks Automation, Inc.~~				~~Lumentum Holdings Inc.~~
~~Coherent, Inc.~~				~~National Instruments Corporation~~
~~Cypress Semiconductor Corp.~~				~~Plantronics, Inc.~~
~~Entegris, Inc.~~				~~Sensata Technologies Holding~~
~~Finisar Corp.~~				~~Teradyne, Inc.~~
~~FLIR Systems, Inc.~~				~~Viavi Solutions, Inc. (formerly JDS Uniphase Corporation)~~

~~Our Compensation Committee also considered size and industry-appropriate broad survey data from the 2019 Radford Global Technology Survey.~~

~~Elements of Compensation~~

~~The following summarizes the compensation elements for our Named Executive Officers:~~

~~Base Salary~~

When our Compensation Committee set 2019 annual executive compensation in February 2019, it approved a salary increase of approximately 4% for each of Mr. Colella, our former Chief Executive Officer, Dr. Lee, our President and Chief Executive Officer, Mr. Bagshaw ~~our Senior Vice President, Chief Financial Officer and Treasurer,~~ and Ms. Burke ~~our Senior Vice President, General Counsel~~for stock awards granted in 2019, at least fifty percent of the values listed under “Stock Awards” represent performance-based RSUs which are valued at the grant date based upon the probable outcome of the performance metrics. The maximum value of the RSUs, assuming the highest level of performance is achieved for the performance-based portion of the RSUs, was as follows for 2021, 2020 and ~~Secretary. These increases~~2019:


	2021				2020				2019
Named Executive Officer	Maximum		Actual		Maximum		Actual		Maximum		Actual
Dr. Lee	$	7,006,000	$	7,006,000	$	4,143,750	$	4,036,500	$	2,125,000	$	1,479,000
Mr. Bagshaw	$	2,828,750	$	2,828,750	$	2,199,375	$	2,142,450	$	3,125,000	$	2,479,000
Ms. Burke	$	1,575,000	$	1,575,000	$	1,093,750	$	1,067,500	$	1,500,000	$	1,228,000
Dr. Gitin	$	855,000	$	855,000		N/A		N/A		N/A		N/A
Mr. Schreiner	$	1,012,500	$	1,012,500	$	593,750	$	579,500		N/A		N/A


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				53

With respect to stock awarded to Mr. Bagshaw and Ms. Burke in 2019, in addition to such executive officer’s annual stock award, which was at least fifty percent performance-based RSUs, each received a time-based retention RSU award valued at $1,000,000 and $500,000, respectively, on the date of grant, to incentivize their continued services during a time of significant transition of the management team. Half of these awards vested on the second anniversary of the date of grant and the remainder will vest on the third anniversary of the date of grant.

(5)

Each Named Executive Officer’s annual cash performance bonus for 2021, 2020 and 2019 was calculated based on a specified target percentage of his or her eligible earnings for the relevant plan year. The threshold bonus payout was 50% of this individual target bonus percentage and the maximum payout was 200% of this individual target bonus percentage, with proportional payouts for performance between these levels. Bonus payments were based on the ~~compensation data collected from our peer group.~~

~~Annual Cash Incentive Compensation~~

For 2019, the Compensation Committee did not make any changes to our annual cash incentive program compared to 2018. Under our annual cash incentive plan, each Named Executive Officer was eligible to receive a performance bonus based on a specified percentageachievement of ~~eligible earnings, which is defined~~non-GAAP operating income (defined as ~~eligibleW-2~~

~~earnings received during the 2019 calendar year (i.e., base salary, including regular, holiday, vacation and sick pay, but excluding bonus payments). Bonus payouts in 2019 were based entirely onnon-GAAP~~GAAP operating income after bonus and excluding any charges or income not related to the operating performance of the ~~Company.~~

InCompany) for the 2021, 2020 and 2019 ~~payouts~~fiscal years (excluding the results of Photon Control Inc. with respect to 2021, which the Company acquired in July 2021, and excluding the Equipment & Solutions Division with respect to 2020 and 2019, which division was created after the Company acquired Electro Scientific Industries, Inc. in February 2019). The individual target bonus percentage and the actual bonus achieved for each of the Named Executive Officers were as follows:


	2021		2020		2019
	Individual Target Bonus %	Annual Bonus Plan Achievement	Individual Target Bonus %	Annual Bonus Plan Achievement	Individual Target Bonus %	Annual Bonus Plan Achievement
Named Executive Officer
Dr. Lee	120%	200%	110%	200%	95%	91%
Mr. Bagshaw	90%	200%	85%	200%	80%	91%
Ms. Burke	70%	200%	65%	200%	60%	91%
Dr. Gitin	65%	200%	N/A	N/A	N/A	N/A
Mr. Schreiner	65%	200%	65%	200%	N/A	N/A

(6)


Named Executive Officer	Year		Auto		Club Membership		Health & Disability Benefits		401(k) Match		Other
Dr. Lee		2021	$	-	$	-	$	22,326	$	8,700	$	-
		2020	$	18,238	$	8,714	$	42,795	$	8,550	$	-
		2019	$	14,609	$	6,970	$	32,755	$	8,400	$	-

Mr. Bagshaw		2021	$	4,129	$	-	$	22,326	$	8,700	$	-
		2020	$	12,640	$	8,873	$	38,928	$	8,550	$	-
		2019	$	12,332	$	6,970	$	37,161	$	8,400	$	-

Ms. Burke		2021	$	-	$	-	$	22,279	$	8,700	$	-
		2020	$	15,526	$	-	$	31,794	$	8,550	$	-
		2019	$	14,287	$	-	$	32,687	$	8,400	$	-

Dr. Gitin		2021	$	-	$	-	$	22,134	$	8,700	$	-

Mr. Schreiner		2021	$	11,579	$	-	$	17,520	$	8,700	$	50,422
		2020	$	11,481	$	-	$	20,511	$	8,550	$	35,203

Health and Disability Benefits for 2021 included Company-paid medical, dental, vision, short-term and long-term disability and life insurance. With respect to the “Auto” column, the amounts indicated for Mr. Bagshaw and Mr. Schreiner for 2021 reflect the temporary relief permitted by IRS Notice 2021-7 due to the ongoing


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				54

COVID-19 pandemic. With respect to the “Other” column, the amount indicated for Mr. Schreiner for 2021 relates to relocation expenses of $36,796 and taxes with respect to such relocation expenses of $13,626.

CEO Pay Ratio

We disclose the ratio of our median employee’s annual total compensation to our principal executive officer’s annual total compensation to provide a measure of equitability of pay within our Company. We believe our compensation philosophy and process yield an equitable result for all of our employees. During 2021, our principal executive officer was our Chief Executive Officer, John T.C. Lee. For 2021, the combined annual total compensation for Dr. Lee was $7,638,355, and for our median employee was $67,952, resulting in a pay ratio of approximately 112:1.

In accordance with applicable SEC rules, we identified the median employee as of December 18, 2019 (the median employee determination date) by (i) aggregating for each applicable employee (A) annual base salary for salaried employees (or hourly rate multiplied by expected annual work schedule for hourly employees), (B) the actual bonus, commissions and overtime or double-time received for 2019, and (C) the accounting value of any equity granted during 2019, and (ii) ranking this compensation measure for our employees from lowest to highest. This calculation was performed for all employees, excluding Mr. Colella, our principal executive officer as of the median employee determination date, whether employed on a full-time, part-time, or seasonal basis. For purposes of identifying the median employee, we converted amounts paid in foreign currencies to United States Dollars based on the applicable 2019 average exchange rates as of December 18, 2019. Due to anomalous compensation characteristics of our 2019 median employee related to COVID-19 premium pay for a temporary period of time during 2020 as well as associated overtime compensation, we substituted our 2019 median employee with another employee with substantially similar compensation to that of our 2019 median employee based on the compensation measure used to select the median employee in 2019. For 2021, as there have been no changes to our employee population or employee compensation arrangements that we reasonably believed would significantly affect our pay ratio disclosure, we continued to use our 2020 median employee for our pay ratio analysis.

The pay ratio reported above is a reasonable estimate calculated in a manner consistent with SEC rules based on our internal records and the methodology described above. Because the SEC rules for identifying the median compensated employee and calculating the pay ratio based on that employee’s annual total compensation allow companies to adopt a variety of methodologies, to apply certain exclusions, and to make reasonable estimates and assumptions that reflect their employee populations and compensation practices, the pay ratio reported by other companies may not be comparable to the pay ratio reported above, as other companies have different employee populations and compensation practices and may utilize different methodologies, exclusions, estimates and assumptions in calculating their own pay ratios.

Grants of Plan-Based Awards in Fiscal Year 2021 Table


Name	Grant Date(1)	Estimated Future Payouts Under Non-Equity Incentive Plan Awards(2)						Estimated Future Payouts Under Equity Incentive Plan Awards(3)						All Other Stock Awards: Number of Shares of Stock or Units (#)(4)		Grant Date Fair Value of Stock Awards ($)(5)
Name	Grant Date(1)	Threshold ($)		Target ($)		Maximum ($)		Threshold (#)		Target (#)		Maximum (#)				Grant Date Fair Value of Stock Awards ($)(5)
John T.C. Lee	N/A	$	545,318	$	1,090,635	$	2,181,271
	2/16/2021								7,218		14,437		28,873		11,812	$	4,520,000
Seth H. Bagshaw	N/A	$	266,434	$	532,867	$	1,065,735
	2/16/2021								2,914		5,829		11,658		4,769	$	1,825,000
Kathleen F. Burke	N/A	$	166,560	$	333,119	$	666,239
	2/16/2021								1,524		3,049		6,098		3,049	$	1,050,000
Mark M. Gitin	N/A	$	145,984	$	291,968	$	583,937
	2/16/2021								828		1,655		3,310		1,655	$	570,000
James A. Schreiner	N/A	$	140,901	$	281,803	$	563,606
	2/16/2021								980		1,960		3,920		1,960	$	675,000

(1)	This column shows the date of grant for all equity awards granted in 2021.

(2)

Represents aggregate threshold, target and maximum payout levels under the annual cash incentive ~~plan were determined~~plan. The actual amount of annual cash incentive compensation earned by multiplying a Named Executive Officer’s “Target Bonus Amount” by the Company’s percentage achievement of the financial performance objective, each as discussed below. Target Bonus Amount is the amount determined by multiplying each Named Executive ~~Officer’s eligible earnings~~Officer in ~~2019 by~~2021 is reported


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				55

under the ~~Target Bonus Percentages determined by our~~Non-Equity Incentive Plan Compensation Committee each year. When our Compensation Committee set 2019 annual executive compensation in early 2019, it did not approve any changes to Target Bonus Percentages for our Named Executive Officers compared to 2018.

~~Listed below is the 2019 Target Bonus Percentage for each Named Executive Officer.~~


~~Named Executive Officer~~	~~2019 Target Bonus Percentage~~
~~Gerald G. Colella~~		~~120~~	%
~~John T.C. Lee~~		95	%
~~Seth H. Bagshaw~~		80	%
~~Kathleen F. Burke~~		60	%

~~In 2019, our Compensation Committee approved goals and associated incentive payout opportunities related to our 2019non-GAAP~~ ~~operating income performance. As we operate~~column in the ~~highly cyclical semiconductor market, our~~Summary Compensation ~~Committee views it~~Table for 2021. See Footnote 5 to the Summary Compensation Table for 2021 for details on the terms of paramount importance to set performance goals that are rigorous but attainable given the outlook for the semiconductor market and the other markets in which we serve for the coming year. The rigor of our performance goals for 2019 is evidenced by the fact that our funding for the 2019 annual incentive plan was below target despite the fact we had a strong performance year.

~~In 2019, participants in~~ the annual cash ~~compensation plan would not receive any portion of their Target Bonus Amount ifnon-GAAP~~ ~~operating income (before the calculation of bonus) was less than $195.9 million. Participants would receive 50% of their Target Bonus Amount if suchnon-GAAP~~ ~~operating income was $195.9 million, would receive 100% of their Target Bonus Amount if suchnon-GAAP~~ ~~operating income was $391.7 million, and would receive the maximum 200% if suchnon-GAAP~~ ~~operating income was $550.3 million or more, with proportional payments for achievement in between these levels. In 2019, because ournon-GAAP~~ operating income, after bonus and excluding amortization of intangible assets, restructuring charges, acquisition costs and related term loan fees and costs, integration costs, a legal settlement, impairment of investment charges, a gain on the sale of property, executive retirement costs, and costs related to unanticipated tariffs and trade restrictions, was $355.2 million, participants were eligible to receive 91% of their Target Bonus Amounts under this formula.incentive plan.

~~Listed below are our Chief Executive Officer’s and other Named Executive Officers’ earned cash bonus payouts.~~

Named Executive Officer
   Cash Payout    Payment as a Percent
of Target
Gerald G. Colella
   $ 1,134,000    91 %
John T.C. Lee
   $ 487,778    91 %
Seth H. Bagshaw
   $ 385,280    91 %
Kathleen F. Burke
   $ 229,005    91 %

(3)

Our Compensation Committee has the authority to make other cash bonus awards to our executive officers as it deems appropriate. Our Compensation Committee did not make any discretionary cash bonus awards to our Named Executive Officers in 2019.

Except as noted below, our Compensation Committee did not make any design changes to our 2020 annual cash incentive program. For all eligible participants, Company performance will be measured using the same financial metric as in previous years –~~non-GAAP~~ ~~operating income after bonus and excluding any charges or income not related to the operating performance of the Company.~~

~~Incorporation of Profit Improvement Bonus Plan for Calendar Years Beginning in 2020~~

In February 2020, our Board of Directors, upon the recommendation of our Compensation Committee, approved a profit improvement component to our annual cash incentive plan designed to incentivize profitability improvements during cyclical downturns in our business. Individuals who are eligible to participate in our annual incentive bonus plan are also eligible for the profit improvement cash bonus plan. In order to receive any payout under this plan, MKS must achieve specified profit enhancements or cost reductions by the end of the applicable calendar year. A participant’s maximum bonus under this plan is 25% of his or her eligible earnings (using the same definition as used in our annual cash incentive plan). Participants are only eligible to receive a payout under the profit improvement cash bonus plan if the participant receives less than 100% of his or her Target Bonus Amount under our annual incentive bonus plan, and any payout under the profit improvement cash bonus plan is capped such that the combined payout under our annual incentive bonus plan and under the profit improvement cash bonus plan will not exceed an amount equal to 100% of the participant’s Target Bonus Amount under our annual incentive bonus plan.

~~Long-Term Equity Incentive Compensation~~

When our Compensation Committee set 2019 annual executive compensation in early 2019, it awarded the following time-based and performance-based RSUs to our Chief Executive Officer and our other Named Executive Officers. These RSUs ~~vest in three equal annual installments. The performance-based RSUs are subject to aone-year~~ ~~performance metric described below.~~

Named Executive Officer
   Grant Date Value of
Performance-Based RSUs(1)    Number of
Performance-Based
RSUs(1)    Grant Date Value of
Time-Based RSUs    Number of Time-
Based RSUs
Gerald G. Colella
   $ 2,250,000    26,564.34    $ 2,000,000    23,612.75
John T.C. Lee
   $ 950,000    11,216.06    $ 700,000    8,264.46
Seth H. Bagshaw
   $ 950,000    11,216.06    $ 700,000    8,264.46
Kathleen F. Burke
   $ 400,000    4,722.55    $ 400,000    4,722.55

~~(1)~~

~~Grant date value of performance-based RSUs and corresponding number of RSUs assuming 100% achievement. Achievement is capped at 150%.~~

With respect to performance-based RSUs, our goal is to select a Company financial performance metric that best aligns with our Company objectives. Recently, including in 2019, our Company financial performance metric for performance-based RSUs has been~~non-GAAP~~ ~~cash flow from operations (defined as net income plus depreciation, amortization andnon-cash~~ stock-based compensation and excluding any charges or income not related to the operating performance of the Company) set at varying revenue levels. Our Compensation Committee believes this financial metric is an appropriate indicator of how effectively we manage the operations of our Company in light of the cyclical nature of the markets we serve as well as providing incentives to continuously improve our financial operating model independent of revenue levels.

We use RSUs as our form of equity incentive compensation because we believe RSUs help to ensure that our executive officers’ interests are aligned with our shareholders’ interests in both a rising and a declining stock market. We believe RSUs are preferable to options, which have a relatively high accounting cost as compared to their potential value to the executive officer, and are preferable to restricted stock, which gives the executive officer voting and dividend rights prior to full vesting. Also, because RSUs are worth more than options on the date of grant, we are able to grant fewer of these as compared to options, resulting in less dilution to shareholders’ holdings.

~~In 2019, our Named Executive Officers would have forfeited all of their performance-based RSUs if ournon-GAAP~~ ~~cash flow from operations was less than $264.9 million at a revenue level of $1.5 billion, or if such cash flow was less than $448.8 million at a revenue level of $2.3 billion (with intermediatenon-GAAP~~ ~~cash flow minimum thresholds at different revenue levels in between). However, if we did achieve thesenon-GAAP~~ ~~operating cash flow threshold levels at the respective revenue levels identified, our Named Executive Officers would receive 50% of their target performance-based RSUs. If ournon-GAAP~~ cash flow from operations was at or above $357.5 million at a revenue level of $1.5 billion, or was at or above $605.7 million at a revenue level of $2.3 billion (with proportional thresholds in between), then our Named Executive Officers would receive the maximum of 150% of their target performance-based RSUs. Proportional achievement levels would be made for~~non-GAAP~~ cash flow between the minimum and maximum levels. In 2019, because our revenue was $1.73 billion, after excluding revenue from our Equipment and Solutions Division, which was formed as a result of our acquisition of ESI in 2019, and including revenue amounts unrecorded due to trade restrictions, and our~~non-GAAP~~ cash flow was $343.4 million, after excluding restructuring charges, executive retirement costs, costs related to tariff and trade restrictions, a legal settlement, acquisition costs and related term loan fees and costs, integration costs, impairment of investment charges, a gain on the sale of property, and the tax effect of each of these excluded costs, in addition to amortization of intangible assets, depreciation of fixed assets, stock-based compensation expense and tax adjustments resulting from additional guidance from the IRS regarding 2017 tax reform, our Named Executive Officers received 82% of their target performance-based RSUs. These performance-based RSUs, along with the time-based RSUs granted to our Named Executive Officers, vest in equal annual installments over three years ~~from~~beginning in February 2022, subject to achievement of performance criteria established in 2021 and determined in January 2022.

(4)	These RSUs vest in equal annual installments over three years beginning in February 2022.

(5)

Reflects the ~~original~~combined grant date fair value of ~~grant.~~

~~It is our practice to make an initial equity-based grant to all of our Named Executive Officers~~performance-based RSUs, if any, at the ~~time they commence employment in an amount that is consistent with amounts granted to other executive officers~~target achievement level and time-based RSUs. The fair value was $172.20 per share for RSUs awarded on February 16, 2021.

Outstanding Equity Awards at 2021 Fiscal Year-End Table


	Stock Awards(1)
Name	Number of Shares or Units of Stock That Have Not Vested (#)			Market Value of Shares or Units of Stock That Have Not Vested(2) ($)			Equity Incentive Plan Awards: Number of Unearned Shares, Units or Other Rights That Have Not Vested (#)			Equity Incentive Plan Awards: Market or Payout Value of Unearned Shares, Units or Other Rights That Have Not Vested(2) ($)
John T.C. Lee		5,821	(3)		$	1,013,764		28,873	(5)		$	5,028,881
		23,633	(4)		$	4,116,215
		11,812	(5)		$	2,057,269

Seth H. Bagshaw		5,584	(3)		$	972,486		11,658	(5)		$	2,030,466
		4,358	(6)		$	759,033
		12,034	(4)		$	2,095,940
		4,575	(5)		$	796,856

Kathleen F. Burke		2,865	(3)		$	499,000		6,098	(5)		$	1,062,012
		2,179	(6)		$	379,521
		6,251	(4)		$	1,088,689
		3,049	(5)		$	531,006

Mark M. Gitin		2,283	(7)		$	397,707		3,310	(5)		$	576,521
		3,594	(8)		$	626,040
		1,655	(5)		$	288,260

James A. Schreiner		1,434	(9)		$	249,773		3,920	(5)		$	682,722
		3,393	(4)		$	590,983
		1,960	(5)		$	341,361

(1)

All stock awards in the ~~industry at similar levels of seniority. In addition, we typically make an~~above table are RSUs. Except as otherwise noted below, all RSUs vest in three equal annual ~~grant of equity-based compensation to our Named Executive Officers during the first fiscal quarter of each year. Discretionary equity-based awards may also be made throughout the~~installments beginning one year to provide an incentive to achieve a specific goal or to reward a significant achievement or for other reasons that the Compensation Committee determines. In October 2019, our Compensation Committee made a discretionary equity-based award to two of our Named Executive Officers as set forth below.

Named Executive Officer
   Grant Date Value of
Time-Based Retention RSUs    Number of Time-Based
Retention RSUs
Seth H. Bagshaw
   $ 1,000,000    8,716.12
Kathleen F. Burke
   $ 500,000    4,358.06

Our Compensation Committee made these awards to Mr. Bagshaw and Ms. Burke to incentivize their continued services during a time of significant transition of the management team, including the retirement of our Chief Executive Officer, Gerald Colella, whose tenure at MKS spanned more than three decades, culminating with his service as our Chief Executive Officer for the last six years. These awards differ from ~~typical awards in two ways. First, vesting is back-weighted to promote retention during the leadership transition period, with the first installment vesting on the second anniversary of~~ the date of grant, ~~and~~with an annual vesting date of February 15th or the next business day if February 15th is not a business day. RSUs listed in the “Equity Incentive Plan Awards” column were also subject to the achievement of performance criteria. None of the Named Executive Officers had any outstanding option awards.

(2)	The values were calculated based on the closing price of our Common Stock on December 31, 2021 of $174.17 per share.

(3)	Grant date is February 15, 2019.

(4)	Grant date is February 18, 2020.

(5)	Grant date is February 16, 2021.

(6)	Grant date is October 28, 2019. These RSUs vest in two equal installments on the second and third anniversaries of the grant date.

(7)	Grant date is January 11, 2019. These RSUs vest in three equal ~~installment vesting~~annual installments beginning on the ~~third~~first anniversary of the grant date.

(8)

Grant date ~~of grant. Second, these awards are not subject to favorable vesting treatment upon a qualifying retirement from~~is April 17, 2020. These RSUs vest in three equal annual installments beginning on the ~~Company.~~

~~Supplemental Retirement Benefits~~

We provide supplemental retirement benefits, including supplemental lifetime retiree medical benefits, to our former Chief Executive Officer, Mr. Colella, or, in the event of his death, to his spouse. These supplemental retirement benefits were designed to reward Mr. Colella’s long service with us and to serve as a significant incentive for Mr. Colella to remain employed with us until age 62. Mr. Colella, who first ~~joined our Company in 1983 as our Materials Planning and Logistics Manager, served in numerous capacities over the course~~anniversary of the ~~nextthirty-six~~ ~~years to ultimately become our Chief Executive Officer. Mr. Colella retired~~grant date.

(9)

Grant date is September 16, 2019. These RSUs vest in three equal annual installments beginning on ~~January 1, 2020 at age 63. As a result, Mr. Colella vested in full as to all of his supplemental retirement benefits. See “Executive~~

~~Compensation Tables — Retirement and Post-Employment Tables — Pension Benefits” below for a description~~the first anniversary of the supplemental retirement benefits we provide to Mr. Colella. Since 2011, it has been our policy not to offer these types of retirement benefits to other executive officers. While these benefits were attractive elements to retain certain of our most senior executive officers historically, the elimination of these benefits more closely meets our objective to align executive compensation with Company financial performance.grant date.

~~Perquisites~~MKS INSTRUMENTS, INC. | 2022 PROXY STATEMENT

We offer certain perquisites to our executive officers, including our 2019 Named Executive Officers, to allow executives to focus on corporate strategy and enhancing shareholder value and to provide competitive pay packages. These perquisites include car payments, company paid health and life insurance, reimbursement of certain~~out-of-pocket~~ healthcare costs, golf club memberships, financial planning benefits and executive physicals. We believe offering these benefits is important to maintaining a competitive position in attracting and retaining key personnel and these benefits are consistent with market practices.

~~Severance andChange-in-Control~~ ~~Provisions~~56

Each of our Named Executive Officers is entitled to certain payments and benefits in the event his or her employment terminates under specified circumstances as described in the applicable agreement. In exchange for these payments and benefits, each Named Executive Officer is restricted from competing with the Company during and following his or her termination of employment for a twelve-month period. In addition, RSU agreements with our Named Executive Officers provide for acceleration of vesting in the event the executive’s employment is terminated without cause or the executive resigns for good reason within 24 months after a~~change-in-control.~~ ~~The severance andchange-in-control~~ provisions are designed to be competitive in the marketplace, to provide security for our Named Executive Officers in the event that we are acquired and his or her respective position is impacted and to provide an incentive for the Named Executive Officer to stay with us through such a~~change-in-control~~ ~~event. These provisions are also intended to protect us from competitive harm, by compensating our Named Executive Officers for agreeing to substantialnon-compete~~ ~~provisions after employment termination. See “Executive Compensation Tables — Potential Payments Upon Termination orChange-in-Control”~~ ~~for more information about these agreements.~~

~~Transition and Retirement Agreement~~

On May 9, 2018, Mr. Abrams entered into a Transition and Retirement Agreement with the Company. Mr. Abrams retired on February 28, 2019. Mr. Abrams’ Transition and Retirement Agreement superseded and replaced the Employment Agreement that he entered into with the Company effective August 1, 2016. For a detailed discussion of the material terms of the Transition and Retirement Agreement, see “Executive Compensation Tables — Potential Payments Upon Termination or~~Change-in-Control.”~~

~~Compensation of our Chief Executive Officer~~

We entered into an employment agreement with Mr. Colella upon his becoming Chief Executive Officer and President in January 2014. The terms of Mr. Colella’s employment agreement reflected his role as the leader of our Company and the experience he brought to the position having served more than 30 years at MKS. For a detailed discussion of the material terms of Mr. Colella’s employment agreement, including all amendments to this employment agreement, see “Executive Compensation Tables — Potential Payments Upon Termination or~~Change-in-Control.”~~

~~Compensation of our Other Named Executive Officers~~

We have entered into employment agreements with each of our other Named Executive Officers. For a detailed discussion of the material terms of these executive employment agreements, including all amendments to these employment agreements, see “Executive Compensation Tables — Potential Payments Upon Termination or~~Change-in-Control.”~~

~~Compensation Consultant~~

Option Exercises and Stock Vested in Fiscal Year 2021 Table


	Stock Awards*
Name	Number of Shares Acquired on Vesting (#)(1)			Value Realized on Vesting ($)(2)
John T.C. Lee		22,096		$	3,804,994
Seth H. Bagshaw		20,713	(3)	$	3,443,082
Kathleen F. Burke		10,290		$	1,714,226
Mark M. Gitin		4,792		$	843,085
James A. Schreiner		3,130		$	507,868

(1)

~~to provide the Compensation Committee with occasional consultation regarding compensation strategies and programs;~~

~~to review our peer group to determine the appropriateness of its composition;~~

~~to conduct formal competitive compensation analysis for the Compensation Committee regarding our directors and each executive officer, on aposition-by-position~~ ~~basis, in comparison to similarly situated executive officers in our peer group using benchmarking data; and~~

~~to assist the Compensation Committee with conducting a risk assessment of the Company’s compensation policies and practices.~~

From October 2014 through May 2019, the Compensation Committee engaged Meridian as its compensation consultant. The Compensation Committee determined that the engagement of Meridian as a compensation consultant did not raise any conflicts of interest with MKS. In May 2019, the Compensation Committee elected to engage a new compensation consultant, Pearl Meyer. The Compensation Committee has determined that the engagement of Pearl Meyer as a compensation consultant does not raise any conflicts of interest with MKS.

~~Role of our Chief Executive Officer~~

~~Governance Policies~~

~~Stock Ownership Guidelines~~

The Stock Ownership Guidelines for 2019, which were applicable to members of the Board of Directors, the Chief Executive Officer and any other person who is or was a named executive officer while the guidelines were effective, provided that:

~~Non-Employee~~ Members of the Board of Directors shall own an amount of stock of the Company with a value equal to at least five times the annual retainer for Board service (exclusive of any compensation for committee service, meeting fees, leadership roles and the like).

~~The Chief Executive Officer shall own an amount of stock of the Company with a value equal to at least three times his or her annual base salary (excluding any bonus, award or special compensation).~~

~~Other named executive officers shall own an amount of stock of the Company with a value equal to at least two times his or her annual base salary (excluding any bonus, award or special compensation).~~

~~These guidelines were based, in each case, on values in effect as of December 31 of the applicable year. The Stock Ownership Guidelines provide for aphase-in~~ ~~period over five years to achieve the respective ownership goals.~~

In October 2019, our Board of Directors, upon the recommendation of our Compensation Committee, made the following changes to our Stock Ownership Guidelines, which changes are effective as of January 1, 2020:

~~Non-Employee~~ ~~Members of the Board of Directors shall own at least the lesser of (i) 4,000 shares of the Company’s Common Stock or (ii)~~Reflects the number of shares ofvested before the ~~Company’s Common Stock equal in value to five times the annual retainer for Board service (exclusive of any compensation for committee service, meeting fees, leadership roles and the like).~~

~~The Chief Executive Officer shall own at least the lesser of (i) 50,000 shares of the Company’s Common Stock or (ii) the number~~surrender of shares in satisfaction of ~~the Company’s Common Stock with a value equal to five times his or her annual base salary (excluding any bonus, award or special compensation).~~

Other Named Executive Officers shall own at least the lesser of (i) 10,000 shares of the Company’s Common Stock or (ii) the number of shares of the Company’s Common Stock with a value equal to two times his or her annual base salary (excluding any bonus, award or special compensation).

The purpose of these changes was to: (i) facilitate self-monitoring by adding a fixed goal to the holding requirements that was not dependent on variable stock price calculations and (ii) increase our Chief Executive Officer’s ownership goal from three times his annual base salary to five times his annual base salary to align with shareholder interests. All Named Executive Officers and directors were in compliance with the Stock Ownership Guidelines as of the end of December 2019.

~~Clawback Policy~~

Our Clawback Policy, which is applicable to incentive-based compensation (specifically our cash incentive plan and our performance-based RSUs) that is awarded to our current and former executive officers, provides that in the event we are required to prepare an accounting restatement due to material noncompliance with financial reporting requirements, we will use reasonable efforts to recover any amount in excess of what would have been paid to such executive officers (or such former executive officers) under the accounting restatement for any such incentive-based compensation during the three-year period preceding the restatement.

~~Prohibition on Hedging and Pledging~~

Our Insider Trading Policy prohibits any of our directors or employees from engaging in transactions involving financial instruments that are designed to hedge or offset any decrease in the market value of our securities (including~~pre-paid~~ ~~variable forward contracts, equity swaps, collars and exchange funds), and prohibits such individuals from purchasing our securities on margin or pledging such securities as collateral for a loan.~~

~~Impact of Accounting and Tax on Executive Compensation~~

~~Impact of Code Section 162(m)~~

~~Section 162(m) of the Internal Revenue Code of 1986, as amended, generally disallows a~~ tax deduction to public companies for compensation in excess of $1 million paid in any one year to each of certain current and former executive officers of the company. Historically, compensation that qualified under Section 162(m) as performance-based compensation was exempt from the deduction limitation. However, subject to certain transition rules, tax legislation signed into law on December 31, 2017 eliminated the performance-based compensation exemption. As a result, for taxable years beginning after December 31, 2017, all compensation in excess of $1 million paid in any one year to each of the specified officers that is not covered by the transition rules will not be deductible by us. The Compensation Committee reviews the potential effect of Section 162(m) periodically and uses its judgment to authorize compensation payments that may be subject to the limit when the Compensation Committee believes such payments are appropriate and in the best interests of the Company and its stockholders.

~~Impact of ASC 718~~

~~COMPENSATION COMMITTEE REPORT~~

~~The Compensation Committee has reviewed and discussed the “Compensation Discussion and Analysis” required by Item 402(b) of RegulationS-K~~ ~~with management. Based on such review and discussions, the Committee recommended to the Board of Directors that the “Compensation Discussion and Analysis” be included in this proxy statement.~~

~~Respectfully submitted,~~

~~Elizabeth A. Mora, Chair~~

~~Rajeev Batra~~

~~Rick D. Hess~~

~~EXECUTIVE COMPENSATION TABLES~~

~~Summary Compensation Table for 2019~~

The following table sets forth the aggregate amounts of compensation earned by our Named Executive Officers in the years ended December 31, 2019, 2018 and 2017. The titles for Mr. Colella and Dr. Lee in the table below are as of December 31, 2019. Pursuant to our previously announced Chief Executive Officer succession plan, on January 1, 2020, Mr. Colella retired as our Chief Executive Officer, and Dr. Lee succeeded him as Chief Executive Officer while continuing to serve as our President.

Name and Principal Position
Year Salary ($) Bonus ($) Stock
Awards ($)(3) Non-Equity
Incentive Plan
Compensation ($)(4) Change in
Pension Value
and
Nonqualified
Deferred
Compensation
Earnings ($)(5) All Other
Compensation ($)(6) Total ($)
Gerald G. Colella,
Chief Executive Officer
(principal executive officer)
2019 $ 1,038,462 $ - $ 4,250,000 $1,134,000 $ 3,180,682 $  66,500 $ 9,669,644
2018 $ 993,269 $ 119,192 (2) $ 4,000,000 $1,227,681 $ 3,855,922 $  64,141 $ 10,260,205
2017 $ 824,038 $ - $ 3,000,000 $1,730,481 $ 2,824,538 $  63,664 $ 8,442,721
John T. C. Lee,
President
2019 $ 564,231 $ - $ 1,650,000 $   487,778 $ - $  62,734 $ 2,764,743
2018 $ 542,431 $ 50,496 (2) $ 1,475,000 $   520,104 $ - $  70,898 $ 2,658,929
2017 $ 514,423 $ - $ 1,000,000 $   925,961 $ - $  68,601 $ 2,508,985
Seth H. Bagshaw,
Sr. Vice President, Chief
Financial Officer and Treasurer (principal financial officer)
2019 $ 529,231 $ - $ 2,650,000 $   385,280 $ - $  64,863 $ 3,629,374
2018 $ 509,231 $ 40,728 (2) $ 1,400,000 $   419,606 $ - $  60,628 $ 2,430,193
2017 $ 489,423 $ - $ 1,200,000 $   783,076 $ - $  62,365 $ 2,534,864
Kathleen F. Burke,
Sr. Vice President, General Counsel and Secretary(1)
2019 $ 419,423 $ - $ 1,300,000 $   229,005 $ - $  55,374 $ 2,003,802
John R. Abrams,
Former Sr. Vice President of Global Sales
2019 $ 81,831 N/A N/A N/A N/A $894,537 $ 976,368
2018 $ 393,269 $ 31,462 (2) $ 700,000 $   324,054 $ - $  52,690 $ 1,501,475
2017 $ 373,462 $ - $ 600,000 $   597,539 $ - $  64,013 $ 1,635,014

~~(1)~~

~~Under the applicable rules of the SEC, Ms. Burke was not an executive officer in 2017 or 2018. Accordingly, her compensation is not included with respect to such years.~~

~~(2)~~

Represents a discretionary cash bonus equal to 10% of the Named Executive Officer’s 2018 Target Bonus Amount for achieving significant cost savings in the second half of 2018 in response to a slowdown in the Company’s semiconductor business for this period.

~~(3)~~

Represents the aggregate grant date fair value for each RSU granted to the executive officer during the covered year, calculated in accordance with ASC 718. The assumptions used in determining the aggregate grant date fair values of awards are set forth in Note 17 to our consolidated financial statements, which were included in our 2019 Annual Report filed with the SEC on February 28, 2020. The amounts under the “Stock Awards” column do not reflect the amount of compensation actually received by the Named Executive Officers during the fiscal year. Except with respect to Mr. Bagshaw and Ms. Burke for stock awards granted in 2019, at least fifty percent of the values listed under “Stock Awards” represent performance-based RSUs which are valued at the grant date based upon the probable outcome of the

~~performance metrics. The maximum value of the RSUs, assuming the highest level of performance is achieved for the performance-based portion of the RSUs, was as follows for 2019, 2018 and 2017:~~

   2019    2018    2017
Named Executive Officer
   Maximum    Actual    Maximum    Actual    Maximum    Actual
Gerald G. Colella
   $ 5,375,000    $ 3,845,000    $ 5,125,000    $ 4,045,000    $ 3,750,000    $ 3,315,000
John T.C. Lee
   $ 2,125,000    $ 1,479,000    $ 1,843,750    $ 1,489,750    $ 1,250,000    $ 1,105,000
Seth H. Bagshaw
   $ 3,125,000    $ 2,479,000    $ 1,775,000    $ 1,415,000    $ 1,500,000    $ 1,326,000
Kathleen F. Burke
   $ 1,500,000    $ 1,228,000    N/A    N/A    N/A    N/A
John R. Abrams
   N/A    N/A    $    875,000    $    707,000    $    750,000    $    663,000

With respect to stock awarded to Mr. Bagshaw and Ms. Burke in 2019, in addition to such executive officer’s annual stock award, which was at least fifty percent performance-based RSUs, each received a time-based retention RSU award valued at $1,000,000 and $500,000, respectively, on the date of grant. For more information regarding these retention awards, please see the section entitled “Executive Compensation-Compensation Discussion and Analysis–Elements of Compensation–Long Term Equity Incentive Compensation.”

~~(4)~~

Each Named Executive Officer’s annual cash performance bonus for 2019, 2018 and 2017 was calculated based on a specified target percentage of his or her eligible earnings for the relevant plan year. The threshold bonus payout was 50% of this individual target bonus percentage and the maximum payout was 200% of this individual target bonus percentage, with proportional payouts for performance between these levels. For 2019 and 2018, bonus payments were based on a corporate financial performance objective. For 2017, bonus payouts were based 80% on a corporate financial performance objective and 20% on individual performance objectives, except for Mr. Colella, then Chief Executive Officer, whose annual cash performance bonus was based entirely on Company financial performance. Company financial performance was based on the achievement of~~non-GAAP~~ operating income for the 2019, 2018 and 2017 fiscal years (defined as GAAP operating income after bonus and excluding any charges or income not related to the operating performance of the Company). Individual performance was based on specific management by objective goals that were aligned with the Company’s strategic objectives and priorities. The individual target bonus percentage and the actual bonus achieved for each of the Named Executive Officers were as follows:withholding obligations.

   2019    2018    2017
   Individual
Target
Bonus %    Annual
Bonus Plan
Achievement    Individual
Target
Bonus %    Annual
Bonus Plan
Achievement    Individual
Target
Bonus %    Annual
Bonus Plan
Achievement
Named Executive Officer
                  Company
Performance    Individual
Performance
Mr. Colella
   120%    91%    120%    103%    105%    200%    N/A
Dr. Lee
   95%    91%          93.1%    103%    90%    200%    200%
Mr. Bagshaw
   80%    91%    80%    103%    80%            200%            200%
Ms. Burke
   60%    91%    N/A            N/A          N/A    N/A    N/A
Mr. Abrams
           N/A                N/A    80%    103%    80%    200%    200%

(2)

~~(5)~~

Mr. Colella’s employment agreement provides for supplemental retirement benefits. For 2019, 2018 and 2017, the amount listed represents the actuarial increase in present value from the prior fiscal year.

~~(6)~~

~~Executives are eligible to receive payments forcar-related~~ ~~expenses, golf club memberships, certain health and disability benefits, and 401(k) match. The amounts paid for such benefits consist of the following:~~Reflects the value realized before satisfaction of tax withholding obligations.

Named Executive Officer
   Year    Auto    Club
Membership    Health &
Disability
Benefits    401(k)
Match    Other
Mr. Colella
   2019    $ 18,272    $ 6,970    $ 32,858    $ 8,400    $ -
   2018    $ 16,639    $ 6,760    $ 31,618    $ 8,250    $ 874
   2017    $ 16,329    $ 6,630    $ 32,605    $ 8,100    $ -
Dr. Lee
   2019    $ 14,609    $ 6,970    $ 32,755    $ 8,400    $ -
   2018    $ 13,999    $ 6,760    $ 41,889    $ 8,250    $ -
   2017    $ 13,239    $ 6,630    $ 40,632    $ 8,100    $ -
Mr. Bagshaw
   2019    $ 12,332    $ 6,970    $ 37,161    $ 8,400    $ -
   2018    $ 9,994    $ 6,760    $ 35,624    $ 8,250    $ -
   2017    $ 9,349    $ 6,630    $ 38,286    $ 8,100    $ -
Ms. Burke
   2019    $ 14,287    $ -    $ 32,687    $ 8,400    $ -
Mr. Abrams
   2019    $ 2,983    $ -    $ 12,856    $ 8,400    $ 870,298
   2018    $ 13,819    $ -    $ 30,621    $ 8,250    $ -
   2017    $ 14,157    $ 6,630    $ 35,126    $ 8,100    $ -

(3)	~~Health and Disability Benefits include~~Includes partial vesting of certain awards for U.S. Federal Insurance Contribution Act (FICA) tax purposes.

*	There were no option exercises in 2021.

Potential Payments Upon Termination or Change-in-Control

Pursuant to applicable rules of the SEC, this section, including the tables below, summarizes the estimated payments and other benefits that each Named Executive Officer would be eligible to receive if his or her employment had terminated on December 31, 2021, under the circumstances set forth below.

John T.C. Lee

Pursuant to the terms of Dr. Lee’s employment agreement dated as of November 18, 2019, Dr. Lee is entitled to receive a base salary and to participate in the Company’s annual cash incentive program and long-term equity incentive plan. From time to time in its sole discretion, our Compensation Committee may review and adjust Dr. Lee’s base salary, target compensation goal for the annual cash incentive program and target award for the long-term equity incentive plan.

Dr. Lee’s employment agreement provides for a term that is at-will, with termination upon death, disability, or at the election of Dr. Lee or the Company. In the event that Dr. Lee’s employment is terminated by the Company without cause (as defined below) or is terminated by Dr. Lee for good reason (as defined below), he is entitled to: (i) continuation of base salary for 18 months, (ii) a lump sum equal to 1.5 times the annual amount of his target cash incentive compensation for which he is eligible, (iii) any cash incentive compensation earned for the calendar year preceding his termination but not yet paid and (iv) to the extent that he elects to continue coverage, payment by the Company of premiums for medical, vision and dental insurance coverage under COBRA for a period of 18 months, less the premium contribution paid by similarly-situated employees.

In the event that Dr. Lee’s employment is terminated by the Company without cause, or is terminated by Dr. Lee for good reason, within 24 months after a change-in-control (as defined in his employment agreement), he is entitled to: (i) a lump sum payment equal to three times his annual base salary, (ii) a lump sum payment equal to three times the annual amount of his target cash incentive compensation, (iii) any cash incentive compensation earned for the calendar year preceding his termination but not yet paid, (iv) a prorated portion of his then-current year’s target cash incentive compensation, and (v) to the extent that he elects to continue coverage, payment by the Company of its usual share of premiums for medical, vision and dental insurance coverage under COBRA during the period of time Dr. Lee is entitled to elect such coverage under COBRA, and after the end of the COBRA continuation period, if Dr. Lee continues to pay the premium that would be charged for COBRA coverage, he may continue such insurance coverage until the end of the 36 month period following his employment termination date on the same terms as if COBRA coverage were still in effect and the Company will continue to pay the Company’s usual share of such premiums. In the event such payments are determined to be subject to an excise tax imposed by Section 4999 of the Internal Revenue Code, such payments will be payable in full or, if applicable, reduced so that no portion of the payments is subject to the excise tax, whichever of the foregoing amounts results in receipt by Dr. Lee on an after-tax basis of the greater amount, taking into account all applicable taxes, including the penalty tax. Dr. Lee is not entitled to any gross-up payment for any such excise tax due.


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				57

In the event Dr. Lee’s employment is terminated due to death or disability, he (or his estate) is entitled to: (i) any cash incentive compensation earned for the calendar year preceding his termination but not yet paid and (ii) a prorated portion of his then-current year’s target cash incentive compensation.

Dr. Lee’s employment agreement contains non-competition provisions that provide that he may not, during the term of his employment and for one year after termination of employment, engage in any competitive business or activity. In addition, he may not, during the term of employment and for two years after the termination of employment: (i) solicit, hire or otherwise induce any Company employee to terminate his or her employment with the Company, (ii) solicit or hire any of our suppliers, joint ventures, research partners or customers for the purpose of competing with the Company, (iii) encourage any of such persons or entities not to enter into a business relationship with the Company or interfere with the relationship between the Company and such persons or entities, or (iv) sell to any of the Company’s customers any products of the types sold by the Company with respect to which products he had material dealings in the performance of his duties within the period two years prior to his termination.

Any equity awarded to Dr. Lee under the current or any future Company equity incentive plan that is unvested as of Dr. Lee’s termination of employment date will be subject to accelerated vesting if and to the extent provided in the equity award agreements governing the award.

The RSU agreements for Dr. Lee provide for full acceleration of vesting of all RSUs (or, in the case of performance-based RSUs that are still subject to performance criteria, the target number of RSUs) if he is terminated without cause or resigns with good reason within 24 months following a change-in-control (as defined in the applicable agreements). The RSU agreements for Dr. Lee also provide for full acceleration of vesting of all shares (or, in the case of performance-based RSUs that are still subject to performance criteria, the actual number of RSUs to vest based upon satisfaction of performance criteria) upon retirement, death or disability. Retirement, in this context, means a voluntary termination of employment by Dr. Lee after he is at least age 65 and has at least 10 years of service with us or after he is at least age 60 and has at least 15 years of service with us.

For purposes of the foregoing description of benefits under the employment agreement with Dr. Lee, “cause” will exist if Dr. Lee: (i) commits a felony or engages in fraud, misappropriation or embezzlement, (ii) knowingly fails or refuses to perform his duties in a material way and either the failure or refusal cannot reasonably be cured (as determined by the Company in its reasonable judgment) or he fails to effect a cure within 10 days after the Company notifies him in writing of the failure or refusal, (iii) knowingly causes, or knowingly creates a serious risk of causing, material harm to the Company’s business or reputation or (iv) breaches, in a material way, his employment agreement, the confidential information agreement or any other material agreement between him and the Company, and either the breach cannot be cured (as determined by the Company in its reasonable judgment) or he fails to effect a cure within 10 days after the Company notifies him in writing of the breach.

For purposes of the foregoing description of benefits under the employment agreement with Dr. Lee, subject to compliance with certain procedural requirements, “good reason” for Dr. Lee to resign will exist if, without his express written consent: (i) the Company materially reduces his position, duties, title, reporting relationship, authorities or responsibilities, (ii) the Company reduces his then-current base salary or target bonus, (iii) the Company changes his principal place of work to a location more than 50 miles from his then-current principal place of work or (iv) the Company breaches, in a material way, his employment agreement or any other material agreement between him and the Company.

Under the RSU agreements for Dr. Lee, “cause” means conviction for the commission of a felony, willful failure by him to perform his responsibilities to the Company, or willful misconduct by him. Subject to compliance with certain procedural requirements, “good reason” means voluntary separation from service within 90 days following (i) a material diminution in position, duties and responsibilities from those described in his employment agreement, (ii) a material reduction in his base salary (other than as part of a general salary reduction program affecting senior executives), (iii) a material reduction in the aggregate value of his pension and welfare benefits from those in effect prior to the change-in-control (other than as proportionate to the reductions applicable to other senior executives pursuant to a cost-saving plan that includes all senior executives), (iv) a material breach of any provision of the employment agreement by the Company, or (v) the Company’s requiring him to be based at a location causing a one way commute in excess of 60 miles from his primary residence.


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				58

Potential Payments Upon Termination or Change-in-Control Table — John T.C. Lee

The following table sets forth the estimated benefits that Dr. Lee would have been entitled to receive upon termination of his employment effective December 31, 2021:


Termination Circumstance	Cash Severance				Value of Accelerated Unvested Equity			Benefits Continuation			Total
Termination Circumstance	Base Salary		Bonus		Value of Accelerated Unvested Equity			Benefits Continuation			Total
Termination by the Company Without Cause	$	1,387,500	$	1,665,000	$	-		$	31,070	(1)	$	3,083,570
Executive Resignation for Good Reason	$	1,387,500	$	1,665,000	$	-		$	31,070	(1)	$	3,083,570
Retirement	$	-	$	-	$	-	(2)	$	-		$	-
Death	$	-	$	1,110,000	$	9,701,689	(2)	$	-		$	10,811,689
Disability	$	-	$	1,110,000	$	9,701,689	(2)	$	-		$	10,811,689
Within 24 Months Following a Change-in-Control:
• Termination by the Company Without Cause	$	2,775,000	$	4,440,000	$	9,701,689	(3)	$	62,140	(4)	$	16,978,829
• Executive Resignation for Good Reason	$	2,775,000	$	4,440,000	$	9,701,689	(3)	$	62,140	(4)	$	16,978,829

(1)

Reflects our cost for continuation of medical, dental and vision ~~short-term and long-term disability and life insurance as well as reimbursement~~coverage for ~~certainout-of-pocket~~ health care costs capped at $4,500 annually and a Company-paid annual physical. With respect to the “Other” column, amount indicated for Mr. Colella represents a service award and amount indicated for Mr. Abrams included the $830,000 payment Mr. Abrams received in connection with his retirement on February 28, 2019 pursuant to the terms of his Transition and Retirement Agreement dated May 9, 2018 and a payment of $40,298 representing his accumulated vacation.

~~CEO Pay Ratio~~

~~We are required by Section 953(b) of the Dodd-Frank Act and Item 402(u) of RegulationS-K~~ ~~to disclose the ratio of our median employee’s annual total compensation to the annual total compensation of our principal executive officer.~~

The purpose of this disclosure is to provide a measure of the equitability of pay within our Company. We believe our compensation philosophy and process yield an equitable result for all of our employees. During 2019, our principal executive officer was our Chief Executive Officer, Gerald Colella. For 2019, the combined annual total compensation for Mr. Colella was $9,669,644, and for our median employee was $79,505, resulting in a pay ratio of approximately 122:1.

~~We previously identified our median employee in 2017. We are required to identify the median employee once every three years unlessre-calculation~~ of the median employee is necessary or appropriate in light of material changes to our workforce composition or compensation arrangements. In February 2019, we acquired Electro Scientific Industries, Inc., or ESI. As a result of the ESI acquisition, we increased our employee population by 14%. Given this change to our employee population, we~~re-calculated~~ ~~our median employee identified for purposes of our 2019 CEO pay ratio. In accordance with applicable SEC rules, we identified the median employee as of December~~ 18 2019 (the median employee determination date) by (i) aggregating for each applicable employee (A) annual base salary for salaried employees (or hourly rate multiplied by expected annual work schedule for hourly employees), (B) the actual bonus, commissions and overtime or double-time received for 2019, and (C) the accounting value of any equity granted during 2019, and (ii) ranking this compensation measure for our employees from lowest to highest. This calculation was performed for all employees, excluding Mr. Colella, whether employed on a full-time, part-time, or seasonal basis. For purposes of identifying the median employee, we converted amounts paid in foreign currencies to United States Dollars based on the applicable 2019 average exchange rates as of December 18, 2019.

allow companies to adopt a variety of methodologies, to apply certain exclusions, and to make reasonable estimates and assumptions that reflect their employee populations and compensation practices, the pay ratio reported by other companies may not be comparable to the pay ratio reported above, as other companies have different employee populations and compensation practices and may utilize different methodologies, exclusions, estimates and assumptions in calculating their own pay ratios.

~~Grants of Plan-Based Awards Table in Fiscal Year 2019~~

Name
Grant
Date(1) Estimated Future Payouts
UnderNon-Equity Incentive
Plan Awards(2) Estimated Future Payouts
Under Equity Incentive
Plan Awards(3) All Other
Stock
Awards:
Number of
Shares of
Stock or
Units (#)(4) Grant Date
Fair Value of
Stock
Awards ($)(5)
Threshold
($)    Target
($) Maximum
($) Threshold
(#) Target
(#) Maximum
(#)
Gerald G. Colella
N/A      $ 624,000    $ 1,248,000 $ 2,496,000
2/15/2019    13,282 26,564 39,847 23,613 $4,250,000
John T.C. Lee
N/A      $ 268,375    $ 536,750 $ 1,073,500
2/15/2019    5,608 11,216 16,824 8,264 $1,650,000
Seth H. Bagshaw
N/A      $ 212,000    $ 424,000 $ 848,000
2/15/2019    5,608 11,216 16,824 8,264 $1,650,000
10/28/2019    8,716 $1,000,000
Kathleen F. Burke
N/A      $ 126,000    $ 252,000 $ 504,000
2/15/2019    2,361 4,723 7,084 4,723 $   800,000
10/28/2019    4,358 $   500,000
John R. Abrams
N/A      N/A         N/A      N/A      N/A   N/A   N/A   N/A   N/A

~~(1)~~

~~This column shows the date of grant for all equity awards granted in 2019.~~

~~(2)~~

Represents aggregate threshold, target and maximum payout levels under the annual cash incentive plan. The actual amount of annual cash incentive compensation earned by each Named Executive Officer in 2019 is reported under the~~Non-Equity~~ ~~Incentive Plan Compensation column in the Summary Compensation Table for 2019. See Footnote 4 to the Summary Compensation Table for 2019 for details on the terms of the annual cash incentive plan.~~

~~(3)~~

Except as otherwise noted, these RSUs vest in equal annual installments over three years beginning in February 2020, subject to achievement of performance criteria established in 2019 and determined in February 2020.

~~(4)~~

The RSUs granted on February 15, 2019 vest in equal annual installments over three years beginning in February 2020. The RSUs granted to Mr. Bagshaw and Ms. Burke on October 28, 2019 vest in two equal installments on the second and third anniversaries of the date of grant.

~~(5)~~

Reflects the combined grant date fair value of performance-based RSUs at the target achievement level and time-based RSUs. The fair value was $84.70 per share for RSUs awarded on February 15, 2019 and $114.73 per share for RSUs awarded on October 28, 2019.

~~Outstanding Equity Awards at 2019 FiscalYear-End~~ ~~Table~~

   Stock Awards(1)
Name
   Number
of Shares or Units
of Stock
That
Have
Not
Vested
(#) Market
Value of
Shares or
Units of
Stock
That
Have Not
Vested(2)
($)    Equity Incentive
Plan
Awards: Number
of Unearned
Shares, Units or
Other Rights That
Have Not Vested
(#)    Equity Incentive
Plan
Awards: Market or
Payout Value of
Unearned Shares,
Units or
Other Rights That
Have Not
Vested(2)
($)
Gerald G. Colella
   15,660(3) $ 1,722,757    39,847(5)    $4,383,568
   23,289(4) $ 2,562,023
   22,655(5) $ 2,492,277
John T.C. Lee
   5,442(3) $ 598,674    16,824(5)    $1,850,808
   7,879(4) $ 866,769
   1,040(6) $ 114,410
   8,264(5) $ 909,123
Seth H. Bagshaw
   6,264(3) $ 689,103    16,824(5)    $1,850,808
   8,145(4) $ 896,031
   7,928(5) $ 872,159
   8,716(7) $ 958,847
Kathleen F. Burke
   2,858(3) $ 314,409    7,084(5)    $779,311
   4,243(4) $ 466,772
   4,723(5) $ 519,577
   4,358(7) $ 479,424
John R. Abrams
   - -    -    -

~~(1)~~

All stock awards in the above table are RSUs. Except as otherwise noted below, all RSUs vest in three equal annual installments. The annual vesting date is February 15th or the next business day if February 15th is not a business day. RSUs listed in the “Equity Incentive Plan Awards” column were also subject to the achievement of performance criteria. None of the Named Executive Officers had any outstanding Option Awards.

~~(2)~~

~~The values were calculated based on the closing price of our Common Stock on December 31, 2019 of $110.01 per share.~~

~~(3)~~

~~Grant date is February 15, 2017.~~

~~(4)~~

~~Grant date is February 15, 2018.~~

~~(5)~~

~~Grant date is February 15, 2019.~~

~~(6)~~

~~Grant date is May 9, 2018.~~

~~(7)~~

~~Grant date is October 28, 2019. These RSUs vest in two equal installments on the second and third anniversaries of the grant date.~~

~~Option Exercises and Stock Vested in Fiscal Year 2019 Table~~

   Stock Awards*
Name
   Number of Shares
Acquired on Vesting
(#)(1)    Value Realized on
Vesting
($)(2)
Gerald G. Colella
   55,148    $ 4,671,056
John T.C. Lee
   19,131    $ 1,620,409
Seth H. Bagshaw
   22,204    $ 1,880,643
Kathleen F. Burke
     9,306    $    788,187
John R. Abrams
   10,002    $    847,153

~~(1)~~

~~Reflects the number of shares vested before the surrender of shares in satisfaction of tax withholding obligations.~~

~~(2)~~

~~Reflects the value realized before satisfaction of tax withholding obligations.~~

~~(*)~~

~~There were no option exercises in 2019.~~

~~Retirement and Post-Employment Tables~~

~~Pension Benefits~~

Pursuant to an employment agreement, we provide supplemental retirement benefits to Mr. Colella or, in the event of Mr. Colella’s death, to his spouse. These supplemental retirement benefits are designed to reward Mr. Colella’s long-term service with us and were intended to serve as a significant incentive for Mr. Colella to remain with us. In addition, these benefits are designed to provide for supplemental retirement benefits that are not available under our Company-wide employee benefits due to regulatory limitations on benefit accruals.

The benefits vest upon (a) Mr. Colella reaching both (i) specified ages, and (ii) 25 years of service with us, in each case while employed with us, or (b) Mr. Colella’s earlier death, disability,months following termination ~~without cause (as defined in his employment agreement) or a qualifying termination in connection with achange-in-control~~ (as defined in his employment agreement), and are forfeited in the event of termination for cause. When vested, the benefits provide for a lump sum payment of an aggregate amount calculated in accordance with actuarial tables, payable not sooner than six months after the date of termination (except in the case of death or disability). The actuarial calculations include assumptions for decreased benefit continuation for Mr. Colella’s surviving spouse in the event of Mr. Colella’s death. The supplemental retirement benefits are not subject to any deduction for social security or other offset amounts. The benefit amount is based upon the final average compensation, which is equal to the average of Mr. Colella’s three highest years of compensation (salary plus bonus) during the 10 years prior to Mr. Colella’s year of retirement (or other qualifying termination). The benefits for Mr. Colella are currently vested at 100%.

The table below sets forth the present value as of December 31, 2019 of the accumulated benefits under Mr. Colella’s supplemental pension arrangement. As previously disclosed, Mr. Colella retired from the Company on January 1, 2020 and the benefits under Mr. Colella’s employment agreement were fully vested in 2018. He will be entitled to a lump sum payment of these supplemental retirement benefits on or after July 2, 2020.

~~None of our other Named Executive Officers are eligible for supplemental retirement benefits.~~

Name

Plan Name
   Number of Years
Credited Service
(#)(1)    Present Value of
Accumulated Benefit
($)(2)    Payments During
the Last Fiscal Year
($)
Gerald G. Colella
   Supplemental Retirement Benefits under Employment Agreement    25    $21,341,365    -

~~(1)~~

~~Maximum number of years credited is 25.~~

~~(2)~~

Present value of accumulated benefit is calculated using the same assumptions we used for financial reporting purposes. The calculations use a discount rate of 2.61%, a maturity value rate of 2.61% and salary increases of 5.0% per annum and the mortality table described in IRS Notice~~2008-85~~ for the valuation year. This is the same mortality table that is specified in Internal Revenue Code Section 417(e)(3) for minimum lump sum payments for qualified pension plans. Mr. Colella was vested in 100% of the amount set forth above as of December 31, 2019.

~~Potential Payments Upon Termination orChange-in-Control~~

In May 2019, we announced our Chief Executive Officer succession plan. Pursuant to that plan, on January 1, 2020, our then Chief Executive Officer, Gerald G. Colella, retired and our then President, John T.C. Lee, succeeded Mr. Colella as Chief Executive Officer and continued to serve as President. Mr. Colella continues to serve on our Board of Directors and will assume the role of Chairman of our Board in May 2020.

~~Mr. Colella~~

Pursuant to the terms of Mr. Colella’s employment agreement dated as of October 22, 2013, as amended, in addition to his base salary, Mr. Colella was eligible to participate in the Company’s annual cash incentive compensation program, with a targeted goal of 120% of base salary subject to meeting performance goals determined by our Compensation Committee, and long-term equity incentive plan, subject to meeting vesting and/or performance goals determined by our Compensation Committee. Mr. Colella’s employment term was~~month-to-month,~~ with termination upon 30 days’ notice by either party, or upon death, disability, or at the Company’s election if Mr. Colella failed to perform his duties or committed any other act constituting cause (as defined below).

~~In the event Mr. Colella’s employment was terminated~~ by the Company without cause ~~he was entitled~~or executive resignation for good reason, assuming the termination or resignation occurred on December 31, 2021.

(2)

Upon retirement, death or disability, RSUs fully vest, subject to ~~the following: (i) continuation of base salary for a period of 18 months, (ii) 1.5 times his target annual cash incentive plan bonus, (iii) payment~~achievement of any ~~annual cash incentive plan bonus earned~~remaining performance criteria. The stated value assumes the retirement, death or disability occurred on December 31, 2021 and assumes the target number of unvested performance-based RSUs vested. Dr. Lee did not meet the requirements for retirement as of December 31, 2021.

(3)	The unvested time-based RSUs fully vest and the ~~prior calendar year but not yet paid, (iv) payment~~target number of unvested performance-based RSUs vest.

(4)

Reflects our cost for continuation of medical, dental orand vision ~~insurance~~coverage for 1836 months ~~and (v) reimbursement for premiums he paid (if any) for continuation of life insurance for 12~~following termination within 24 months ~~if he elected the Company’s group life insurance conversion feature. Payment of such benefits was conditioned upon execution~~ of a ~~release by Mr. Colella and his full compliance with~~change in control, assuming the ~~restrictive covenants described below.~~

~~In the event Mr. Colella’s employment was terminated due to death or total disability, or Mr. Colella voluntarily terminated his employment (other than for “good reason” within two years of a“change-in-control,”~~ ~~each as defined~~change in his employment agreement), we would have paid his base salary accrued through the last date of employment, plus any annual cash incentive plan bonus earned for the prior calendar year, but not yet paid.

~~In the event Mr. Colella’s employment was terminated without cause or was terminated by Mr. Colella for good reason, in either case upon or at any time within two years following achange-in-control,~~ Mr. Colella would have received a lump sum payment equal to 36 months of his base salary and three times his target annual bonus amount, payment of any annual cash incentive plan bonus earned for the prior calendar year, but not yet paid, and continued participation in the Company’s medical, dental, vision and life insurance plans for 36 months. In the event such payments were determined to be subject to an excise tax imposed by Section 4999 of the Internal Revenue Code, such payments would have been payable in full or, if applicable, reduced so that no portion of the payments was subject to the excise tax, whichever of the foregoing amounts resulted in receipt by Mr. Colella on an~~after-tax~~ ~~basis of the greater amount, taking into account all applicable taxes, including the penalty tax. Mr. Colella was not entitled to anygross-up~~ ~~payment for any such excise tax due on such payments.~~

~~The Employment Agreement requires Mr. Colella to return all or a portion of any incentive pay for the performance period in which his termination of employment~~control occurred and any performance period ending within the 36 month period prior to his termination of employment, if it is later determined that these awards were calculated on the basis of inaccurate information that results in a restatement of our financial statements, or for other required reasons.

The Employment Agreement provides that Mr. Colella may not, for two years from the termination of his employment, (i) engage in any competitive business or activity, (ii) work for any person who was our executive, officer or agent, or establish any business or partnership with such person that is competitive to the Company, (iii) give, sell or lease any competitive services or goods to any of our customers, or (iv) have any material financial interest in or be a director, officer, partner, executive or consultant to, or exceed specified shareholding limitations in, any of the Company’s competitors.

~~Mr. Colella is also subject tonon-solicitation~~ restrictions. During the term of his employment and for a period of two years after termination, Mr. Colella may not solicit any customer to become a customer, distributor or supplier of any other person or entity or to cease doing business with the Company; or solicit or hire any of our executives, officers or agents to terminate such person’s employment or engagement with the Company or to work for a third party.

In addition, the Employment Agreement provided Mr. Colella with supplemental retirement benefits, which vested in 2018 when Mr. Colella reached the age of 62 and had served for 25 years with the Company, and which

~~will terminate upon violation of thenon-competition,non-disclosure,~~ or~~non-solicitation~~ provisions contained in the Employment Agreement. When vested, subject to his execution of and compliance with a customary release, the supplemental retirement benefit provides for a lump sum payment to Mr. Colella (or in the event of his death, his spouse) of an aggregate amount calculated based upon actuarial assumptions, payable not sooner than six months after the date of termination (except in the case of death). The benefit amount is determined based upon the actuarial equivalent value of an annuity equal to 50% of Mr. Colella’s final average compensation, which is equal to the average of his three highest years of compensation (salary plus bonus) during the 10 calendar years prior to the year of retirement (or other qualifying termination). The actuarial calculations include assumptions for decreased benefit continuation (determined as a 50% survivor annuity) for Mr. Colella’s surviving spouse in the event of Mr. Colella’s death. In the event that any payment under the supplemental retirement benefit would subject Mr. Colella to any excise tax, interest or penalties imposed under Internal Revenue Code Section 4999, we have agreed to make Mr. Colella~~gross-up~~ ~~payments for such amounts.~~

In addition, subject to his execution of and compliance with a customary release, Mr. Colella will receive retiree medical benefits for life. Mr. Colella (or his surviving spouse) will pay an annual contribution of $1,500, and, because he retired before age 65, he (or his surviving spouse) will pay a decreasing percentage of the costs of the benefit (from 30% to 10%) until he reaches age 65. The retiree medical benefit is coordinated with any continuation of medical benefits described above to avoid duplication of benefits.

Mr. Colella’s RSU agreements provided for the full acceleration of vesting of all shares (or, in the case of performance-based RSUs that were still subject to performance criteria, the actual number of RSUs to vest based upon satisfaction of performance criteria) upon retirement.

~~Potential Payments Upon Termination orChange-in-Control~~ ~~Table — Gerald G. Colella~~

~~The following table sets forth the estimated benefits that Mr. Colella would have been entitled to receive upon termination of his employment effective December 31, 2019:~~

Termination
Circumstance
Cash Severance Value of
Accelerated
Unvested
Equity Benefits
Continuation Acceleration of
Pension
Benefits(1) Gross up of
I.R.C. Golden
Parachute Excise
Tax Resulting
fromChange-in-
Control(2) Total
Base Salary Bonus
Involuntary Without Cause
Termination
$1,560,000 $1,872,000 $               - $  33,162(3) $21,341,365 N/A $24,806,527
Retirement
$                - $                - $9,699,336(4) $732,773(5) $21,341,365 N/A $31,773,474
Death
$ - $ - $9,699,336(4) $326,309 $10,670,683 N/A $20,696,328
Disability
$ - $ - $9,699,336(4) $732,773(5) $21,341,365 N/A $31,773,474
Within 24 Months Following aChange-in-Control:

• Termination by the Company Without Cause
$3,120,000 $3,744,000 $9,699,336(6) $752,573(7) $21,341,365 $               - $38,657,274
• Executive Resignation for Good Reason
$3,120,000 $3,744,000 $9,699,336(6) $752,573(7) $21,341,365 $ - $38,657,274
Between 24 Months and 36 Months Following aChange-in-Control:

• Termination by the Company Without Cause
$1,560,000 $1,872,000 $ - $739,373(8) $21,341,365 $ - $25,512,738
• Executive Resignation for Good Reason
$ - $ - $ - $732,773(5) $21,341,365 $ - $22,074,138

~~(1)~~

~~This amount represents the present value of the accelerated amount of the accumulated benefit under the Supplemental Retirement Benefits. See also the description under “Pension Benefits” above.~~

~~(2)~~

~~For purposes of assessing whether Mr. Colella would be liable for an excise tax under Section 4999 of the Internal Revenue Code on parachute payments (and in turn entitled to agross-up~~ ~~payment), the calculations assume that if Mr. Colella was terminated within 24 months following achange-in-control,~~ ~~the vesting of the target number of his unvested performance-based RSUs and all of his unvested time-based RSUs would be accelerated. Upon achange-in-control,~~ ~~we agreed to reimburse Mr. Colella for excise taxes under Section 4999 solely with respect to his pension benefits.~~

~~(3)~~

Reflects our cost for continuation of life insurance for 12 months and continuation of medical, dental and vision coverage for 18 months following involuntary without cause termination, assuming the termination occurred on December 31, 2019.

~~(4)~~

Upon retirement, death or disability, RSUs fully vest, subject to achievement of any remaining performance criteria. The stated value assumes the retirement, death or disability occurred on December 31, 2019 and assumes the target number of unvested performance-based RSUs vested.

~~(5)~~

~~This amount represents the estimated present value of retiree health benefits, in each case assuming the termination occurred on December 31, 2019.~~

~~(6)~~

~~The unvested time-based RSUs fully vest and the target number of unvested performance-based RSUs vest.~~

~~(7)~~

This amount represents the estimated present value of retiree health benefits, $732,773, plus our cost for continuation of life insurance for 36 months following termination of employment, $19,800, assuming the termination occurred on December 31, 2019.

~~(8)~~

This amount represents the estimated present value of retiree health benefits, $732,773, plus our cost for continuation of life insurance for 12 months following termination of employment, $6,600, assuming the termination occurred on December 31, 2019.

~~Other Named Executive Officers~~

Mr. Abrams retired from the Company on February 28, 2019. In advance of his retirement, Mr. Abrams entered into a Transition and Retirement Agreement with the Company on May 9, 2018, which superseded and replaced an employment agreement he entered into with the Company on August 1, 2016. Pursuant to the terms of his Transition and Retirement Agreement, the Company paid Mr. Abrams $830,000 shortly after his retirement date upon the execution and effectiveness of a customary release and Mr. Abrams remains subject to confidentiality,~~non-solicitation~~ ~~andnon-competition~~ ~~provisions, the material terms of which are the same as discussed below for Dr. Lee, Mr. Bagshaw and Ms. Burke.~~

Dr. Lee, Mr. Bagshaw and Ms. Burke entered into employment agreements with the Company effective as of August 1, 2016. Dr. Lee’s employment agreement was superseded and replaced with a new employment agreement on May 9, 2018 when he was promoted to President of the Company. On October 29, 2018, the Company entered into an amendment to the employment agreements with each of Dr. Lee, Mr. Bagshaw and Ms. Burke. Dr. Lee entered into a new employment agreement with the Company, effective January 1, 2020, when he was promoted to Chief Executive Officer of the Company. Pursuant to applicable rules of the SEC, below is a summary of the material terms of these employment agreements in place as of December 31, 2019. Following this summary and related table of potential payments upon termination or~~change-in-control~~ on December 31, ~~2019, is a summary of the material terms of Dr. Lee’s latest employment agreement that took effect on January 1, 2020.~~2021.

Other Named Executive Officers

The Company has entered into employment agreements with each of Mr. Bagshaw, Ms. Burke, Dr. Gitin and Mr. Schreiner. Pursuant to applicable rules of the SEC, below is a summary of the material terms of these employment agreements in place as of December 31, 2021.

In addition to providing for a base salary, and eligibility to participate in the Company’s annual cash incentive compensation program and long-term equity incentive plan, the employment agreements with Mr. Bagshaw, Ms. Burke, Dr. Gitin and Mr. Schreiner provide for terms that are at-will, with termination upon death, disability, or at our election if the executive fails to perform his or her duties or commits any other act constituting cause (as defined below). In the event that the executive resigns from the Company or is terminated by the Company without cause, subject to certain procedural requirements, the Company will pay such executive his or her base salary for a period of at least 30 days after the notice of such termination or resignation is delivered. In the event that we terminate Mr. Bagshaw, Ms. Burke, Dr. Gitin or Mr. Schreiner’s employment without cause, each executive is entitled to a lump sum payment equal to 12 months base salary and to the extent that such executive elects to continue coverage, payment by the Company of premiums for medical, vision and dental insurance coverage under COBRA for a period of 12 months less the premium contribution paid by similarly-situated employees.

In the event that Mr. Bagshaw, Ms. Burke, Dr. Gitin or Mr. Schreiner’s employment is terminated without cause or is terminated by the executive for good reason (as defined below) within 24 months after a change-in-control (as defined in the applicable agreement), such executive is entitled to “enhanced severance compensation,” consisting of: (i) a lump sum payment equal to one and one-half times his or her annual base salary, or two times his annual base salary in the case of Mr. Bagshaw, (ii) a lump sum payment equal to one and one-half times the annual amount of his or her target incentive compensation for which such executive is eligible, or two times the annual amount of his target incentive compensation in the case of Mr. Bagshaw, (iii) a prorated portion of the


In addition to providing for a base salary, and eligibility to participate in the Company’s annual cash incentive compensation program and long-term equity incentive plan, the employment agreements with Dr. Lee, Mr. Bagshaw and Ms. Burke provide for terms that are~~at-will,~~ with termination upon death, disability, or at our election if the executive fails to perform his duties or commits any other act constituting cause (as defined below). In the event that the executive resigns from the Company or is terminated by the Company without cause, subject to certain procedural requirements, the Company will pay such executive his or her base salary for a period of at least 30 days after the notice of such termination or resignation is delivered. In the event that weMKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				terminate Dr. Lee, Mr. Bagshaw or Ms. Burke’s employment without cause, each executive is entitled to a lump sum payment equal to 12 months base salary and to the extent that such executive elects to continue coverage, payment by the Company of premiums for medical, vision and dental insurance coverage under COBRA for a period of 12 months less the premium contribution paid by similarly-situated employees.59 ~~In the event that Dr. Lee, Mr. Bagshaw or Ms. Burke’s employment is terminated without cause, or is terminated by the executive for good reason (as defined below) within 24 months after achange-in-control~~ ~~(as defined in the applicable agreement), each executive is entitled to: (i) a lump sum payment equal to one andone-half~~ ~~times his or her annual base salary, or two times his annual base salary in the case of Mr. Bagshaw, (ii) a lump sum payment equal to one andone-half~~ times the annual amount of his or her target incentive compensation for which such executive is eligible, or two times the annual amount of his target incentive compensation in the case of Mr. Bagshaw, (iii) a prorated portion of the then current

then-current year’s target bonus amount, and (iv) to the extent that such executive elects to continue coverage, payment by the Company of its usual share of premiums for medical, vision and dental insurance coverage under COBRA for a period of 18 months, or 24 months in the case of Mr. Bagshaw, following termination. In the event such payments are determined to be subject to an excise tax imposed by Section 4999 of the Internal Revenue Code, such payments will be payable in full or, if applicable, reduced so that no portion of the payments is subject to the excise tax, whichever of the foregoing amounts results in receipt by Mr. Bagshaw, Ms. Burke, Dr. Gitin or Mr. Schreiner, as the case may be, on an after-tax basis of the greater amount, taking into account all applicable taxes, including the penalty tax. Mr. Bagshaw, Ms. Burke, Dr. Gitin and Mr. Schreiner are not entitled to any gross-up payment for any such excise tax due.

The employment agreements of Mr. Bagshaw, Ms. Burke and Mr. Schreiner contain non-competition provisions that provide that each executive may not, during the term of his or her employment and for one year after termination of employment, engage in any competitive business or activity. Each of Mr. Bagshaw, Ms. Burke, Dr. Gitin and Mr. Schreiner may also not, during the term of employment and for one year after the termination of employment, solicit or otherwise induce any Company employee to terminate his or her employment with the Company. In addition, Mr. Bagshaw, Ms. Burke and Mr. Schreiner may not, during the term of employment and for one year after the termination of employment (i) solicit or hire any of our suppliers, joint ventures, research partners or customers for the purpose of competing with the Company, (ii) encourage any of such persons or entities not to enter into a business relationship with MKS or interfere with the relationship between the Company and such persons or entities, or (iii) sell to any of the Company’s customers any products of the types sold by the Company with respect to which products the executive officer had material dealings in the performance of his or her duties within the period two years prior to his or her termination.

Any equity awarded to Mr. Bagshaw, Ms. Burke, Dr. Gitin and Mr. Schreiner under the current or any future Company equity incentive plan that is unvested as of the date of their respective terminations of employment will be subject to accelerated vesting if and to the extent provided in the equity award agreements governing the award.

The RSU agreements for each of Mr. Bagshaw, Ms. Burke and Mr. Schreiner, and the RSU agreements for Dr. Gitin that were entered into following his appointment as an executive officer in February 2021, which we collectively refer to as the Executive Officer RSU Agreements, provide for full acceleration of vesting of all RSUs (or, in the case of performance-based RSUs that are still subject to performance criteria, the target number of RSUs) if such executive is terminated without cause or resigns with good reason within 24 months following a change-in-control (as defined in the applicable agreements). The RSU agreements for Dr. Gitin that were entered into prior to his appointment as an executive officer, which we refer to as the Non-Executive Officer RSU Agreements, do not provide for any acceleration of vesting in connection with a change-in-control. The Executive Officer RSU Agreements and the Non-Executive Officer RSU Agreements provide for full acceleration of vesting of all shares (or, in the case of performance-based RSUs that are still subject to performance criteria, the actual number of RSUs to vest based upon satisfaction of performance criteria) upon retirement, death or disability. Retirement, in this context, for Ms. Burke, Dr. Gitin and Mr. Schreiner, means a voluntary termination of employment by the executive after he or she is at least age 65 and has at least 10 years of service with us or after he or she is at least age 60 and has at least 15 years of service with us. Retirement, in this context, for Mr. Bagshaw means a voluntary termination of employment by the executive after he is at least age 60 and has at least 10 years of service with us. RSUs granted to executives typically vest in three equal annual installments, and typically at least half of the target annual equity grant value is subject to performance criteria.

For purposes of the foregoing description of benefits under the employment agreements with Mr. Bagshaw, Ms. Burke, Dr. Gitin and Mr. Schreiner, “cause” will exist if the executive: (i) commits a felony or engages in fraud, misappropriation or embezzlement, (ii) knowingly fails or refuses to perform such executive’s duties in a material way and, to the extent that the Company determines such failure or refusal can reasonably be cured, fails or refuses to effect a cure within 10 days after the Company notifies such executive in writing of the failure or refusal, (iii) knowingly causes, or knowingly creates a serious risk of causing, material harm to the Company’s business or reputation, or (iv) breaches, in a material way, such executive’s employment agreement, the confidential information agreement or any other agreement between such executive and the Company and, to the extent that the Company determines such breach can reasonably be cured, fails or refuses to effect a cure within 10 days after the Company notifies such executive in writing of the breach.

For purposes of the foregoing description of benefits under the employment agreements with Mr. Bagshaw, Ms. Burke, Dr. Gitin and Mr. Schreiner, subject to compliance with certain procedural requirements, “good reason” for the applicable executive to resign will exist if, without such executive’s express written consent: (i) the Company materially reduces such executive’s position, duties or responsibilities, (ii) the Company reduces such executive’s then-current base salary, or (iii) the Company changes such executive’s principal place of work to a location more than 50 miles from such executive’s then-current principal place of work.


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				60

Under the Executive Officer RSU Agreements, “cause” means conviction for the commission of a felony, willful failure by the executive to perform his or her responsibilities to the Company, or willful misconduct by the executive. Subject to compliance with certain procedural requirements, “good reason” means voluntary separation from service within 90 days following (i) a material diminution in position, duties and responsibilities from those described in the executive’s employment agreement, (ii) a material reduction in the executive’s base salary (other than as part of a general salary reduction program affecting senior executives), (iii) a material reduction in the aggregate value of the executive’s pension and welfare benefits from those in effect prior to the change-in-control (other than as proportionate to the reductions applicable to other senior executives pursuant to a cost-saving plan that includes all senior executives), (iv) a material breach of any provision of the employment agreement by the Company, or (v) the Company’s requiring the executive to be based at a location causing a one way commute in excess of 60 miles from the executive’s primary residence.

Amendment to Mr. Schreiner’s Employment Agreement

In October 2021, in connection with the appointment of Mr. Schreiner to the position of Senior Vice President and Chief Operating Officer, Atotech Division, subject to and effective upon the closing of the Company’s proposed acquisition of Atotech, the Company and Mr. Schreiner entered into an amendment to Mr. Schreiner’s employment agreement. Pursuant to the amendment, (i) Mr. Schreiner’s base salary will increase to $465,000, effective as of the closing; (ii) Mr. Schreiner will be eligible for an expatriate service bonus equal to $500,000, which will be payable in a single lump sum within thirty days following Mr. Schreiner’s return to the United States following the completion of a two-year term of expatriate service (or such longer term of service as may be mutually agreed by the Company and Mr. Schreiner) as the Senior Vice President and Chief Operating Officer, Atotech Division, which we refer to as the Expatriate Service Term; and (iii) Mr. Schreiner will be eligible for enhanced severance compensation, as defined above, in the event that he resigns his employment if the Company fails to return him to the position of Senior Vice President and Chief Operating Officer or a position of at least substantially similar duties and authority within six months after his return to the United States following the completion of the Expatriate Service Term.

Potential Payments Upon Termination or Change-in-Control Table — Other Named Executive Officers

The following table sets forth the estimated benefits that Mr. Bagshaw, Ms. Burke, Dr. Gitin and Mr. Schreiner would have been entitled to receive upon termination of his or her employment effective December 31, 2021:


Termination Circumstance	Cash Severance						Value of Accelerated Unvested Equity				Benefits Continuation				Total
Termination Circumstance	Base Salary			Bonus			Value of Accelerated Unvested Equity				Benefits Continuation				Total
Involuntary Without Cause Termination:
Seth H. Bagshaw		$	600,000		$	-		$	-			$	20,713			$	620,713
Kathleen F. Burke		$	484,000		$	-		$	-			$	20,713			$	504,713
Mark M. Gitin		$	452,000		$	-		$	-			$	20,713			$	472,713
James A. Schreiner		$	440,000		$	-		$	-			$	15,035			$	455,035
Within 24 Months Following a Change-in-Control:
Seth H. Bagshaw		$	1,200,000		$	1,620,000		$	5,639,558	(1)		$	41,427	(2)		$	8,500,985
Kathleen F. Burke		$	726,000		$	847,000		$	3,029,222	(1)		$	31,070	(2)		$	4,633,292
Mark M. Gitin		$	678,000		$	734,500		$	576,521	(1)		$	31,070	(2)		$	2,020,091
James A. Schreiner		$	660,000		$	715,000		$	1,523,478	(1)		$	22,553	(2)		$	2,921,031
Death or Disability:
Seth H. Bagshaw		$	-		$	-		$	5,639,558	(3)		$	-			$	5,639,558
Kathleen F. Burke		$	-		$	-		$	3,029,222	(3)		$	-			$	3,029,222
Mark M. Gitin		$	-		$	-		$	1,600,267	(3)		$	-			$	1,600,267
James A. Schreiner		$	-		$	-		$	1,523,478	(3)		$	-			$	1,523,478
Retirement:
Seth H. Bagshaw		$	-		$	-		$	4,880,515	(4)		$	-			$	4,880,515
Kathleen F. Burke		$	-		$	-		$	-	(4)		$	-			$	-
Mark M. Gitin		$	-		$	-		$	-	(4)		$	-			$	-
James A. Schreiner		$	-		$	-		$	-	(4)		$	-			$	-

(1)	Under the Executive Officer RSU Agreements, the unvested time-based RSUs fully vest and the target number of unvested performance-based RSUs vest.


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				61

(2)

Reflects our cost for continuation of medical, dental and vision coverage for 18 months (or 24 months in the case of Mr. ~~Bagshaw,~~Bagshaw) following ~~termination. In~~involuntary without cause termination within 24 months following a change-in-control, assuming the ~~event such payments are determined to be~~termination occurred on December 31, 2021.

(3)

Upon death or disability, RSUs fully vest, subject to ~~an excise tax imposed by Section 4999~~achievement of any remaining performance criteria. The stated value assumes the ~~Internal Revenue Code, such payments will be payable in full~~death or ~~if applicable, reduced so that no portion of the payments is subject to the excise tax, whichever of the foregoing amounts results in receipt by Dr. Lee, Mr. Bagshaw~~disability occurred on December 31, 2021 and ~~Ms. Burke, as the case may be, on anafter-tax~~ ~~basis of the greater amount, taking into account all applicable taxes, including the penalty tax. Dr. Lee, Mr. Bagshaw and Ms. Burke are not entitled to anygross-up~~ ~~payment for any such excise tax due.~~

~~The employment agreements of Dr. Lee, Mr. Bagshaw and Ms. Burke containnon-competition~~ provisions that provide that each executive may not, during the term of his or her employment and for one year after termination of employment, engage in any competitive business or activity. In addition, each of Dr. Lee, Mr. Bagshaw and Ms. Burke may not, during the term of employment and for one year after the termination of employment: (i) solicit, hire or otherwise induce any Company employee to terminate his or her employment with the Company, (ii) solicit or hire any of our suppliers, joint ventures, research partners or customers for the purpose of competing with the Company, (iii) encourage any of such persons or entities not to enter into a business relationship with MKS or interfere with the relationship between the Company and such persons or entities, or (iv) sell to any of the Company’s customers any products of the types sold by the Company with respect to which products the executive officer had material dealings in the performance of his or her duties within the period two years prior to his or her termination.

The RSU agreements for each of Dr. Lee, Mr. Bagshaw and Ms. Burke provide for full acceleration of vesting of all RSUs (or, in the case of performance-based RSUs that are still subject to performance criteria,assumes the target number of ~~RSUs) if such executive is terminated without cause or resigns with good reason within 24 months following achange-in-control~~unvested performance-based RSUs vested.

(4)

Upon retirement (as defined in the ~~applicable~~RSU agreements)~~. The RSU agreements for each of Dr. Lee, Mr. Bagshaw and Ms. Burke also provide for full acceleration of vesting of all shares (or, in the case of performance-based~~, RSUs that are still subject to performance criteria, the actual number of RSUs to vest based upon satisfaction of performance criteria) upon retirement, death or disability. Retirement, in this context, for Dr. Lee and Ms. Burke, means a voluntary termination of employment by the executive after he or she is at least age 60 and has at least 15 years of service with us. Retirement, in this context, for Mr. Bagshaw, ~~means a voluntary termination of employment by the executive after he is at least age 60~~Ms. Burke, Dr. Gitin and ~~has at least 10 years of service with us. RSUs granted to executives typically~~Mr. Schreiner fully vest, ~~in three equal annual installments, and typically at least half of the target annual equity grant value is~~ subject to achievement of any remaining performance criteria.

~~For purposes of the foregoing description of benefits under the employment agreements with Dr. Lee, Mr. Bagshaw and~~ However, Ms. Burke, ~~“cause” will exist if~~Dr. Gitin and Mr. Schreiner did not meet the executive: (i) commits a felony or engages in fraud, misappropriation or embezzlement, (ii) knowingly fails or refuses to perform such executive’s duties in a material way and, to the extent that the Company determines such failure or refusal can reasonably be cured, fails or refuses to effect a cure within 10 days after the Company notifies such executive in writingrequirements for retirement as of the failure or refusal, (iii) knowingly causes, or knowingly creates a serious risk of causing, material harm to the Company’s business or reputation, or (iv) breaches, in a material way, such executive’s employment agreement, the confidential information agreement or any other agreement between such executive and the Company, and, to the

~~extent that the Company determines such breach can reasonably be cured, fails or refuses to effect a cure within 10 days after the Company notifies such executive in writing of the breach.~~

For purposes of the foregoing description of benefits under the employment agreements with Dr. Lee, Mr. Bagshaw and Ms. Burke, subject to compliance with certain procedural requirements, “good reason” for the applicable executive to resign will exist if, without such executive’s express written consent: (i) the Company materially reduces such executive’s position, duties or responsibilities, (ii) the Company reduces such executive’s base salary as in effect on the date hereof or as the same may be increased from time to time during the term of the applicable employment agreement, or (iii) the Company changes such executive’s principal place of work to a location more than 50 miles from such executive’s current principal place of work.

Under the RSU agreements for Dr. Lee, Mr. Bagshaw and Ms. Burke, “cause” means conviction for the commission of a felony, willful failure by the executive to perform his or her responsibilities to the Company, or willful misconduct by the executive. Subject to compliance with certain procedural requirements, “good reason” means voluntary separation from service within 90 days following (i) a material diminution in position, duties and responsibilities from those described in the executive’s employment agreement, (ii) a reduction in the executive’s base salary (other than as part of a general salary reduction program affecting senior executives), (iii) a material reduction in the aggregate value of the executive’s pension and welfare benefits from those in effect prior to the~~change-in-control~~ (other than as proportionate to the reductions applicable to other senior executives pursuant to a cost-saving plan that includes all senior executives), (iv) a material breach of any provision of the employment agreement by the Company, or (v) the Company’s requiring the executive to be based at a location causing a one way commute in excess of 60 miles from the executive’s primary residence.

~~Potential Payments Upon Termination orChange-in-Control~~ ~~Table — Other Named Executive Officers~~

~~The following table sets forth the estimated benefits that Dr. Lee, Mr. Bagshaw and Ms. Burke would have been entitled to receive upon termination of his or her employment effective~~ December 31, ~~2019 and the actual benefits Mr. Abrams received upon his retirement on February 28, 2019:~~2021.

Termination Circumstance
   Cash Severance Value of
Accelerated
Unvested Equity Benefits
Continuation Total
   Base Salary    Bonus
Involuntary Without Cause Termination:

John T.C. Lee
   $ 565,000    $ - $ - $ 25,734 $ 590,734
Seth H. Bagshaw
   $ 530,000    $ - $ - $ 25,734 $ 555,734
Kathleen F. Burke
   $ 420,000    $ - $ - $ 25,734 $ 445,734
John R. Abrams
   $ -    $ - $ - $ - $ -
Within 24 Months Following aChange-in-Control:

John T.C. Lee
   $ 847,500    $ 1,341,875 $ 3,722,887 (1) $ 38,601 (2) $ 5,950,863
Seth H. Bagshaw
   $ 1,060,000    $ 1,272,000 $ 4,650,158 (1) $ 51,468 (2) $ 7,033,626
Kathleen F. Burke
   $ 630,000    $ 630,000 $ 2,299,632 (1) $ 38,601 (2) $ 3,598,233
John R. Abrams
   $ -    $ - $ - $ - $ -
Death or Disability:

John T.C. Lee
   $ -    $ - $ 3,722,887 (3) $ - $ 3,722,887
Seth H. Bagshaw
   $ -    $ - $ 4,650,158 (3) $ - $ 4,650,158
Kathleen F. Burke
   $ -    $ - $ 2,299,632 (3) $ - $ 2,299,632
John R. Abrams
   $ -    $ - $ - $ - $ -
Retirement:

John T.C. Lee
   $ -    $ - $ - (4) $ - $ -
Seth H. Bagshaw
   $ -    $ - $ 3,691,298 (4) $ - $ 3,691,298
Kathleen F. Burke
   $ -    $ - $ - (4) $ - $ -
John R. Abrams
   $ -    $ 830,000 (5) $ - $ - $ 830,000


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				62

EQUITY COMPENSATION PLAN INFORMATION

The following table provides information about the securities authorized for issuance under our equity compensation plans as of December 31, 2021:


Plan Category	Number of securities to be issued upon exercise of outstanding options, warrants and rights(1)	Weighted-average exercise price of outstanding options, warrants and rights	Number of securities remaining available for future issuance under equity compensation plans (excluding securities reflected in column (a))
	(a)	(b)	(c)
Equity compensation plans approved by security holders	546,793	$31.13(2)	13,812,998(3)
Equity compensation plans not approved by security holders	-	-	-

Total	546,793		13,812,998(3)

(1)	~~The unvested time-based RSUs fully vest and the target number of unvested performance-based RSUs vest.~~

~~(2)~~

Reflects our cost for continuation of life insurance, medical, dental and vision coverage for 18 months (or 24 months in the case of Mr. Bagshaw) following involuntary without cause termination within 24 months following a~~change-in-control,~~ ~~assuming the termination occurred on December 31, 2019.~~

~~(3)~~

Upon death or disability, RSUs fully vest, subject to achievement of any remaining performance criteria. The stated value assumes the death or disability occurred on December 31, 2019 and assumes the target number of unvested performance-based RSUs vested.

~~(4)~~

Upon retirement (as defined in the RSU agreements), RSUs for Dr. Lee, Mr. Bagshaw and Ms. Burke fully vest, subject to achievement of any remaining performance criteria. However, Dr. Lee and Ms. Burke did not meet the requirements for retirement as of December 31, 2019.

~~(5)~~

~~Reflects the actual payment Mr. Abrams received in connection with his retirement on February 28, 2019 pursuant to the terms of his Transition and Retirement Agreement dated May 9, 2018.~~

~~Dr. Lee’s New Employment Agreement in connection with Promotion to Chief Executive Officer~~

In connection with ~~Dr. Lee’s promotion to Chief Executive Officer~~our acquisition of ~~the Company, effective January 1, 2020, the Company entered into a new employment agreement with Dr. Lee that superseded~~Newport Corporation, or Newport, in April 2016, and replaced his May 9, 2018 employment agreement, pursuant to which Dr. Lee’s 2020 base salary was set at $850,000, his 2020 target annual cash bonus under the Company’s Management and Key Employee Bonus Plan was set at 110% of his eligible earnings and his 2020 target long-term equity incentive award was set at $3,250,000. The equity incentive award consisted of 55% performance-basedElectro Scientific Industries, Inc., or ESI, in February 2019, we assumed certain RSUs and ~~45% time-based RSUs.~~ SARs granted under certain Newport and ESI equity plans, which we refer to as the Newport Assumed RSUs, Newport Assumed SARs, ESI Assumed RSUs and ESI Assumed SARs, as applicable, and which were converted automatically into RSUs and SARs, as applicable, with respect to shares of our Common Stock. As of December 31, 2021, the number of shares reflected in column (a) consists of: (i) Newport Assumed SARs with respect to an aggregate of 21,325 shares of our Common Stock, (ii) Newport Assumed RSUs and ESI Assumed RSUs with respect to 33,842 shares of our Common Stock and (iii) RSUs representing the right to receive an aggregate of 491,626 shares of our Common Stock upon vesting, all of which were issued under our 2014 Stock Incentive Plan. As of December 31, 2021, there were no outstanding ESI Assumed SARs.

(2)	The ~~award~~weighted average exercise price represents the base value of all outstanding Newport Assumed SARs. All outstanding RSUs were awarded without payment of any ~~performance-based RSUs was based on the achievement of certain 2020 Company performance goal(s) approved by~~purchase price.

(3)

This number includes 12,206,231 shares available for issuance under our ~~Compensation Committee. The RSUs are subject to the terms and conditions of the Company’s~~ 2014 Stock Incentive Plan and ~~will vest (to the extent earned, if performance-based) in three equal annual installments beginning on February 15, 2021.~~

~~Dr. Lee’s Employment Agreement provides for a term that isat-will,~~ with termination upon death, disability, or at the election of either party. In the event that Dr. Lee’s employment is terminated by the Company without cause (as defined in his employment agreement) or is terminated by Dr. Lee for good reason (as defined in his employment agreement), he is entitled to: (i) continuation of base salary for 18 months, (ii) a lump sum equal to 1.5 times the annual amount of his target cash incentive compensation for which he is eligible, (iii) any cash incentive compensation earned for the calendar year preceding his termination but not yet paid and (iv) to the extent that he elects to continue coverage, payment by the Company of premiums for medical, vision and dental insurance coverage under COBRA for a period of 18 months, less the premium contribution paid by similarly-situated employees.

~~In the event that Dr. Lee’s employment is terminated by the Company without cause, or is terminated by Dr. Lee for good reason, within 24 months after achange-in-control~~ (as defined in his employment agreement), he is entitled to: (i) a lump sum payment equal to three times his annual base salary, (ii) a lump sum payment equal to three times the annual amount of his target cash incentive compensation, (iii) any cash incentive compensation earned for the calendar year preceding his termination but not yet paid, (iv) a prorated portion of his then current year’s target cash incentive compensation, and (v) to the extent that he elects to continue coverage, payment by the Company of its usual share of premiums for medical, vision and dental insurance coverage under COBRA during the period of time Dr. Lee is entitled to elect such coverage under COBRA, and after the end of the COBRA continuation period, if Dr. Lee continues to pay the premium that would be charged for COBRA coverage, he may continue such insurance coverage until the end of the 36 month period following his employment termination date on the same terms as if COBRA coverage were still in effect and the Company will continue to pay the Company’s usual share of such premiums.

In the event Dr. Lee’s employment is terminated due to death or disability, he (or his estate) is entitled to: (i) any cash incentive compensation earned for the calendar year preceding his termination but not yet paid and (ii) a prorated portion of his then current year’s target cash incentive compensation.

~~Dr. Lee’s employment agreement containsnon-competition~~ provisions that provide that he may not, during the term of his employment and for one year after termination of employment, engage in any competitive business or activity. In addition, he may not, during the term of employment and for two years after the termination of employment: (i) solicit, hire or otherwise induce any Company employee to terminate his or her employment with the Company, (ii) solicit or hire any of our suppliers, joint ventures, research partners or customers for the purpose of competing with the Company, (iii) encourage any of such persons or entities not to enter into a business relationship with the Company or interfere with the relationship between the Company and such persons or entities, or (iv) sell to any of the Company’s customers any products of the types sold by the Company with respect to which products he had material dealings in the performance of his duties within the period two years prior to his termination.

Any equity awarded to Dr. Lee under the current or any future MKS Instruments, Inc. equity incentive plan that is as of Dr. Lee’s termination of employment date unvested will be subject to accelerated vesting if and to the extent provided in the equity award agreements governing the award.

Each of the RSU agreements that govern Dr. Lee’s current RSU awards: (i) provides for full acceleration of vesting of all RSUs earned if he is terminated without cause or resigns for good reason, within 24 months following a~~change-in-control~~ (as defined in the RSU agreement) and (ii) provides for full acceleration of vesting of all RSUs earned upon retirement, death or disability. Retirement, in this context, means a voluntary termination of employment by Dr. Lee after he is at least age 60 and has at least 15 years of service with us.

~~EQUITY COMPENSATION PLAN INFORMATION~~

~~The following table provides information about the securities authorized~~1,606,767 shares reserved for issuance under our ~~equity compensation plans as of December 31, 2019:~~

Plan Category

Number of securities
to be issued upon
exercise of
outstanding options,
warrants and rights(1)(2)
Weighted-average
exercise price of
outstanding options,
warrants and rights
Number of securities
remaining
available for future
issuance under equity
compensation plans
(excluding securities
reflected in column (a))
(a) (b) (c)
Equity compensation plans approved by security holders
1,211,388(3) $ 29.05 (4) 15,068,869(5)
Equity compensation plans not approved by security holders
- - -

Total
1,211,388(3) 15,068,869(5)

~~(1)~~

When we acquired Newport Corporation, or Newport, in April 2016, we assumed: (i) all RSUs granted under any Newport equity plan that were outstanding immediately prior to the effective time of the acquisition and as to which shares of Newport common stock were not fully distributed in connection with the closing of the acquisition and (ii) all stock appreciation rights granted under any Newport equity plan, whether vested or unvested, that were outstanding immediately prior to the effective time of the acquisition. Such RSUs were converted automatically into RSUs with respect to 360,674 shares of our Common Stock, which we refer to as the Newport Assumed RSUs, and such stock appreciation rights were converted automatically into stock appreciation rights with respect to 899,851 shares of our Common Stock, which we refer to as the Newport Assumed SARs. An additional 59,626 RSUs, which were issued under Newport’s equity plans and have vested in accordance with the applicable award agreements, were deferred by the awardees under Newport’s Deferred Compensation Plan at the time of vesting and were converted automatically into RSUs with respect to 36,599 shares of our Common Stock. As of December 31, 2019, 5,851 shares of our Common Stock were held in the Newport Deferred Compensation Plan for the benefit of such awardees.

~~(2)~~

When we acquired Electro Scientific Industries, Inc., or ESI, in February 2019, we assumed: (i) all RSUs granted under any ESI equity plan that were outstanding immediately prior to the effective time of the acquisition and as to which shares of ESI common stock were not fully distributed in connection with the closing of the acquisition and (ii) all stock appreciation rights granted under any ESI equity plan, whether vested or unvested, that were outstanding immediately prior to the effective time of the acquisition. Such RSUs were converted automatically into RSUs with respect to 736,133 shares of our Common Stock, which we refer to as the ESI Assumed RSUs, and such stock appreciation rights were converted automatically into stock appreciation rights with respect to 12,787 shares of our Common Stock, which we refer to as the ESI Assumed SARs. Included in the 736,133 shares issued pursuant to the ESI Assumed RSUs are 326,283 shares held in the ESI Deferred Compensation Plan. As of December 31, 2019, 330,414 shares of our Common Stock were held in the ESI Deferred Compensation Plan which reflects accrued dividends the awardees are entitled to under the terms of the ESI equity plan.

~~(3)~~

As of December 31, 2019, the number of shares reflected in column (a) consists of: (i) Newport Assumed SARs and ESI Assumed SARs with respect to an aggregate of 108,854 shares of our Common Stock, (ii) Newport Assumed RSUs and ESI Assumed RSUs with respect to 332,746 shares of our Common Stock and (iii) RSUs representing the right to receive an aggregate of 769,788 shares of our Common Stock upon vesting, all of which were issued under our 2014 Stock Incentive Plan.

~~(4)~~

~~The weighted average exercise price represents the base value of all outstanding Newport Assumed SARs and ESI Assumed SARs. All outstanding RSUs were awarded without payment of any purchase price.~~

~~(5)~~

~~This number includes 13,268,546 shares available for issuance under our 2014 Stock Incentive Plan and 1,800,323 shares reserved for issuance under our~~ 2014 Employee Stock Purchase Plan. Shares issued under our 2014 Stock Incentive Plan in respect of RSUs, restricted stock or other stock-based awards with a per share price lower than 100% of fair market value on ~~the date of grant count against the shares available for grant under the plan as 2.4 shares for every share granted.~~

~~OTHER MATTERS~~

Our Board of Directors does not know of any other matters which may come before the meeting. However, if any other matters are properly presented to the meeting, it is the intention of the persons named in the accompanying proxy to vote, or otherwise act, in accordance with their judgment on such matters.

~~Electronic Voting~~

~~If you own shares of Common Stock of record, you may vote your shares over the Internet atwww.proxyvote.com~~ ~~or telephonically by calling1-800-690-6903~~ ~~and by following the instructions on the Notice or proxy card. Proxies submitted over the Internet or by telephone must be received by 11:59 p.m. Eastern Time on May 11, 2020.~~

If the shares you own are held in “street name” by a bank, broker or other nominee, your bank, broker or other nominee will provide a vote instruction form to you with this proxy statement, which you may use to direct how your shares will be voted.You must instruct your bank, broker or other nominee how to vote with respect to the election of directors and the executive compensation advisory vote; your bank, broker or other nominee cannot exercise its discretion to vote on these matters on your behalf. ~~Many banks and brokers also offer the option of voting over the Internet or by telephone, instructions for which would be provided by your bank or broker on your vote instruction form.~~

We hope that shareholders will attend the 2020 Annual Meeting. Whether or not you plan to attend, we urge you to vote your shares over the Internet or by telephone, or complete, date, sign and return the proxy card in the accompanying postage-prepaid envelope if you received a printed proxy card. A prompt response will greatly facilitate arrangements for the 2020 Annual Meeting and your cooperation will be appreciated. Shareholders who attend the 2020 Annual Meeting may vote their stock personally even if they have previously sent in their proxies.

~~Expenses and Solicitation~~

All costs of solicitation of proxies will be borne by us. In addition to solicitations by mail, our directors, officers and regular employees, without additional remuneration, may solicit proxies by telephone and personal interviews and we reserve the right to retain outside agencies for the purpose of soliciting proxies. Brokers, custodians and fiduciaries will be requested to forward proxy soliciting material to the owners of stock held in their names, and we will reimburse them for their reasonable~~out-of-pocket~~ ~~expenses incurred in connection with the distribution of proxy materials.~~

~~Deadline for Submission of Shareholder Proposals for the 2021 Annual Meeting~~

Proposals of shareholders intended to be presented at the 2021 Annual Meeting of Shareholders must be received by us at our principal office in Andover, Massachusetts no later than November 27, 2020 for inclusion in the proxy statement for that meeting.

~~In addition, our Amended and RestatedBy-Laws~~ (which are on file with the SEC) require that we be given advance notice of matters that shareholders wish to present for action at an annual meeting of shareholders, including director nominations (other than matters included in our proxy statement in accordance with Rule~~14a-8~~ of the Securities Exchange Act of 1934, as amended). The required written notice must be delivered to our Secretary at our principal office at least 90 days but no more than 120 days prior to the first anniversary of the preceding year’s annual meeting or it will be considered untimely. However, in the event that the date of grant count against the annual meeting is advanced by more than 20 days, or delayed by more than 60 days, from the first anniversary of the preceding year’s annual meeting, a shareholder’s notice must be received no earlier than the 120th day prior to the annual meeting and not later than the close of business on the later of (i) the 90th day prior to the annual meeting and (ii) the seventh day following the day on which notice of the date of the annual meeting was mailed

or public disclosure of the date of the annual meeting was made, whichever occurs first. Assuming that the 2021 Annual Meeting of Shareholders is not advanced by more than 20 days or delayed by more than 60 days from the anniversary date of the 2020 Annual Meeting, shareholders will need to give us appropriate notice at the address noted above no earlier than January 12, 2021 and no later than February 11, 2021. The advance notice provisions of our Amended and Restated~~By-Laws~~ ~~contain the requirements of the written notice of shareholders and supersede the notice requirement contained in Rule14a-4(c)(1)~~shares available for grant under the ~~Securities Exchange Act of 1934,~~plan as ~~amended.~~2.4 shares for every share granted.

~~By Order of the Board of Directors,~~

~~KATHLEEN F. BURKE~~

~~Secretary~~

~~March 27, 2020~~


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				63

OTHER MATTERS

Our Board of Directors does not know of any other matters which may come before the 2022 Annual Meeting. However, if any other matters are properly presented to the meeting, it is the intention of the persons named in the accompanying proxy to vote, or otherwise act, in accordance with their judgment on such matters.

Expenses and Solicitation

All costs of solicitation of proxies will be borne by us. In addition to solicitations by mail, our directors, officers and regular employees, without additional remuneration, may solicit proxies by telephone and personal interviews and we reserve the right to retain outside agencies for the purpose of soliciting proxies. Brokers, custodians and fiduciaries will be requested to forward proxy soliciting material to the owners of stock held in their names, and we will reimburse them for their reasonable out-of-pocket expenses incurred in connection with the distribution of proxy materials.

Deadline for Submission of Shareholder Proposals for the 2023 Annual Meeting

Proposals of shareholders intended to be presented at the 2023 Annual Meeting of Shareholders must be received by us at our principal office in Andover, Massachusetts no later than December 1, 2022 for inclusion in the proxy statement for that meeting.

In addition, our Amended and Restated By-Laws (which are on file with the SEC) require that we be given advance notice of matters that shareholders wish to present for action at an annual meeting of shareholders, including director nominations (other than matters included in our proxy statement in accordance with Rule 14a-8 of the Securities Exchange Act of 1934, as amended). The required written notice must be delivered to our Secretary at our principal office at least 90 days but no more than 120 days prior to the first anniversary of the preceding year’s annual meeting or it will be considered untimely. However, in the event that the date of the annual meeting is advanced by more than 20 days, or delayed by more than 60 days, from the first anniversary of the preceding year’s annual meeting, a shareholder’s notice must be received no earlier than the 120th day prior to the annual meeting and not later than the close of business on the later of (i) the 90th day prior to the annual meeting and (ii) the seventh day following the day on which notice of the date of the annual meeting was mailed or public disclosure of the date of the annual meeting was made, whichever occurs first. Assuming that the 2023 Annual Meeting of Shareholders is not advanced by more than 20 days or delayed by more than 60 days from the anniversary date of the 2022 Annual Meeting, shareholders will need to give us appropriate notice at the address noted above no earlier than January 10, 2023 and no later than February 9, 2023. The advance notice provisions of our Amended and Restated By-Laws contain the requirements of the written notice of shareholders and supersede the notice requirement contained in Rule 14a-4(c)(1) under the Securities Exchange Act of 1934, as amended.

No Incorporation by Reference

As provided under SEC rules, the “Audit Committee Report” and the “Compensation Committee Report” contained in this proxy statement are not incorporated by reference into any of our other filings with the SEC, except to the extent we specifically incorporate either report by reference into a filing. This proxy statement includes several website addresses. These website addresses are intended to be inactive textual references only. None of the information on, or accessible through, these websites is part of this proxy statement or is incorporated by reference herein.

By Order of the Board of Directors,

KATHLEEN F. BURKE

Secretary

March 31, 2022

~~Important Notice Regarding the Availability of Proxy Materials for the 2020 Annual Meeting:~~

~~The Annual Report, Notice & Proxy Statement are available atwww.proxyvote.com~~.

— — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — —


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT		~~E95734-P36517~~

~~MKS INSTRUMENTS, INC.~~

~~2020 Annual Meeting of Shareholders~~

~~May 12, 2020 10:00 AM~~

~~This proxy is solicited by the Board of Directors.~~

~~The undersigned shareholder of MKS Instruments, Inc., a Massachusetts corporation (the “Company”~~

APPENDIX A

MKS Instruments, Inc.

2022 STOCK INCENTIVE PLAN

1. Purpose

The purpose of this 2022 Stock Incentive Plan (the “Plan”) of MKS Instruments, Inc., a Massachusetts corporation (the “Company”), is to advance the interests of the Company’s stockholders by enhancing the Company’s ability to attract, retain and motivate persons who are expected to make important contributions to the Company and by providing such persons with equity ownership opportunities and performance-based incentives that are intended to better align the interests of such persons with those of the Company’s stockholders. Except where the context otherwise requires, the term “Company” shall include any of the Company’s present or future parent or subsidiary corporations as defined in Sections 424(e) or (f) of the Internal Revenue Code of 1986, as amended, and any regulations thereunder (the “Code”) and any other business venture (including, without limitation, joint venture or limited liability company) in which the Company has a controlling interest, as determined by the Board of Directors of the Company (the “Board”).

2. Eligibility

All of the Company’s employees, officers and directors, as well as consultants and advisors to the Company (as the terms consultants and advisors are defined and interpreted for purposes of Form S-8 under the Securities Act of 1933, as amended (the “Securities Act”), or any successor form) are eligible to be granted Awards (as defined below) under the Plan. Each person who is granted an Award under the Plan is deemed a “Participant.” The Plan provides for the following types of awards, each of which is referred to as an “Award”: Options (as defined in Section 5), SARs (as defined in Section 6), Restricted Stock (as defined in Section 7), RSUs (as defined in Section 7), Other Stock-Based Awards (as defined in Section 8) and Cash-Based Awards (as defined in Section 8). Any type of Award may be granted as a Performance Award under Section 9. Except as otherwise provided by the Plan, each Award may be made alone or in addition or in relation to any other Award. The terms of each Award need not be identical, and the Board need not treat Participants uniformly.

3. Administration and Delegation

(a) Administration by Board of Directors. The Plan will be administered by the Board. The Board shall have authority to grant Awards and to adopt, amend and repeal such administrative rules, guidelines and practices relating to the Plan as it shall deem advisable. The Board may construe and interpret the terms of the Plan and any Award agreements entered into under the Plan. The Board may correct any defect, supply any omission or reconcile any inconsistency in the Plan or any Award. All actions and decisions by the Board with respect to the Plan and any Awards shall be made in the Board’s discretion and shall be final and binding on all persons having or claiming any interest in the Plan or in any Award.

(b) Appointment of Committees. To the extent permitted by applicable law, the Board may delegate any or all of its powers under the Plan to one or more committees or subcommittees of the Board (a “Committee”). All references in the Plan to the “Board” shall mean the Board or a Committee of the Board to the extent that the Board’s powers or authority under the Plan have been delegated to such Committee.

(c) Awards to Non-Employee Directors. Awards to non-employee directors will be granted and administered by a Committee, all of the members of which are independent directors as defined by Section 5605(a)(2) of the Nasdaq Marketplace Rules.

4. Stock Available for Awards

(a) Number of Shares; Share Counting.

(1) Authorized Number of Shares. Subject to adjustment under Section 10, Awards may be made under the Plan (any or all of which Awards may be in the form of Incentive Stock Options, as defined in Section 5(b)), hereby acknowledges receipt of the Notice of 2020 Annual Meeting of Shareholders and Proxy Statement, each dated March 27, 2020, and hereby appoints John T.C. Lee and Kathleen F. Burke, and each of them acting singly, proxies and~~attorneys-in-fact,~~ with full power to each of substitution, on behalf and in the name of the undersigned, to represent the undersigned at the 2020 Annual Meeting of Shareholders of the Company to be held on May 12, 2020 at 10:00 AM, Eastern Time, at MKS Instruments, Inc., 2 Tech Drive, Suite 201, Andover, MA 01810, and at any adjournment or postponement thereof, and to vote all shares of Common Stock which the undersigned would be entitled to vote if then and there personally present, on the matters set forth on the reverse side, and, in their discretion, upon any other matters which may properly come before the meeting.

Your Internet or telephone vote authorizes the named proxies to vote the shares in the same manner as if you marked, signed, dated and returned your proxy card. If you vote the shares over the Internet or by telephone, please do not return your proxy card.
MKS INSTRUMENTS, INC. | 2022 PROXY STATEMENT
A-1

for up to 6,600,000 shares of common stock, no par value per share, of the Company (the “Common Stock”); provided, however, that the number of shares of Common Stock that may be issued under the Plan will be reduced, on a one-for-one basis, by the number of shares of Common Stock subject to any equity awards granted by the Company under the Company’s 2014 Stock Incentive Plan after March 2, 2022 but before the Plan is approved by shareholders.

(2) Fungible Share Pool. Subject to adjustment under Section 10, any Award that is not a Full-Value Award (as defined below) shall be counted against the share limit specified in Section 4(a)(1) as one share for each share of Common Stock subject to such Award and any Award that is a Full-Value Award shall be counted against the share limit specified in Section 4(a)(1) as 1.91 shares for each one share of Common Stock subject to such Full-Value Award. “Full-Value Award” means any Award of Restricted Stock, RSUs or Other Stock-Based Award with a per share price or per unit purchase price lower than 100% of the fair market value per share of Common Stock (valued in the manner determined or approved by the Board) on the date of grant. To the extent a share that was subject to an Award that counted as one share is returned to the Plan pursuant to Section 4(a)(3), each applicable share reserve will be credited with one share. To the extent that a share that was subject to an Award that counts as 1.91 shares is returned to the Plan pursuant to Section 4(a)(3), each applicable share reserve will be credited with 1.91 shares.

(3) Share Counting. For purposes of counting the number of shares available for the grant of Awards under this Section 4(a) and Section 4(b):

(A) all shares of Common Stock covered by SARs shall be counted against the number of shares available for the grant of Awards under the Plan and against the sublimit in Section 4(b); provided, however, that (i) SARs that may be settled only in cash shall not be so counted and (ii) if the Company grants a SAR in tandem with an Option for the same number of shares of Common Stock and provides that only one such Award may be exercised (a “Tandem SAR”), only the shares covered by the Option, and not the shares covered by the Tandem SAR, shall be so counted, and the expiration of one in connection with the other’s exercise will not restore shares to the Plan;

(B) to the extent that an RSU may be settled only in cash, no shares shall be counted against the shares available for the grant of Awards under the Plan or the sublimit contained in Section 4(b);

(C) if any Award (i) expires or is terminated, surrendered or canceled without having been fully exercised or is forfeited in whole or in part (including as the result of shares of Common Stock subject to such Award being repurchased by the Company at the original issuance price pursuant to a contractual repurchase right) or (ii) results in any Common Stock not being issued (including as a result of a SAR or an RSU that was settleable either in cash or in stock actually being settled in cash), the unused Common Stock covered by such Award shall again be available for the grant of Awards; provided, however, that (1) in the case of Incentive Stock Options, the foregoing shall be subject to any limitations under the Code, (2) in the case of the exercise of a SAR, the number of shares counted against the shares available under the Plan and against the sublimit in Section 4(b) shall be the full number of shares subject to the SAR multiplied by the percentage of the SAR actually exercised, regardless of the number of shares actually used to settle such SAR upon exercise and (3) the shares covered by a Tandem SAR shall not again become available for grant upon the expiration or termination of such Tandem SAR;

(D) shares of Common Stock delivered (either by actual delivery, attestation or net exercise) to the Company by a Participant to (i) purchase shares of Common Stock upon the exercise of an Award or (ii) satisfy tax withholding obligations with respect to Awards (including shares retained from the Award creating the tax obligation) shall not be added back to the number of shares available for the future grant of Awards; and

(E) shares of Common Stock repurchased by the Company on the open market using the proceeds from the exercise of an Award shall not increase the number of shares available for future grant of Awards.

(b) Per-Participant Limit. Subject to adjustment under Section 10, the maximum number of shares of Common Stock with respect to which Awards may be granted to any Participant under the Plan shall be 500,000 per calendar year. For purposes of the foregoing limit, the combination of an Option in tandem with an SAR shall be treated as a single Award. For the avoidance of doubt, each share subject to an Award shall be counted as one share for purposes of this sublimit.

~~UNLESS VOTING THE SHARES OVER THE INTERNET OR BY TELEPHONE, PLEASE DATE, SIGN AND MAIL YOUR PROXY CARD IN THE ENVELOPE PROVIDED AS SOON AS POSSIBLE.~~
MKS INSTRUMENTS, INC. | 2022 PROXY STATEMENT
A-2

(c) Limit on Non-Employee Director Compensation. The maximum aggregate amount of cash earned or paid and value of Awards (calculated based on grant date fair value for financial reporting purposes) granted in any calendar year to any individual non-employee director shall not exceed $750,000; provided, however, that fees paid by the Company on behalf of any non-employee director in connection with regulatory compliance and any amounts paid to a non-employee director as reimbursement of an expense shall not count against the foregoing limit. The Board may make exceptions to this limit for individual non-employee directors in extraordinary circumstances, as the Board may determine in its discretion, provided that the non-employee director receiving such additional compensation may not participate in the decision to award such compensation. For the avoidance of doubt, this limitation shall not apply to cash earned or paid or Awards granted to a non-employee director in his or her capacity as an advisor or consultant to the Company.

(d) Substitute Awards. In connection with a merger or consolidation of an entity with the Company or the acquisition by the Company of property or stock of an entity, the Board may grant Awards in substitution for any options or other stock or stock-based awards granted by such entity or an affiliate thereof. Substitute Awards may be granted on such terms as the Board deems appropriate in the circumstances, notwithstanding any limitations on Awards contained in the Plan. Substitute Awards shall not count against the overall share limit set forth in Section 4(a)(1) or any sublimits contained in the Plan, except as may be required by reason of Section 422 and related provisions of the Code.

5. Stock Options

(a) General. The Board may grant options to purchase Common Stock (each, an “Option”) and determine the number of shares of Common Stock to be covered by each Option, the exercise price of each Option and the conditions and limitations applicable to the exercise of each Option, including conditions relating to applicable federal or state securities laws, as the Board considers necessary or advisable.

(b) Incentive Stock Options. An Option that the Board intends to be an “incentive stock option” as defined in Section 422 of the Code (an “Incentive Stock Option”) shall only be granted to employees of MKS Instruments, Inc., any of MKS Instruments, Inc.’s present or future parent or subsidiary corporations as defined in Sections 424(e) or (f) of the Code, and any other entities the employees of which are eligible to receive Incentive Stock Options under the Code, and shall be subject to and shall be construed consistently with the requirements of Section 422 of the Code. An Option that is not intended to be an Incentive Stock Option shall be designated a “Nonstatutory Stock Option.” The Company shall have no liability to a Participant, or any other person, if an Option (or any part thereof) that is intended to be an Incentive Stock Option is not an Incentive Stock Option or if the Company converts an Incentive Stock Option to a Nonstatutory Stock Option.

(c) Exercise Price. The Board shall establish the exercise price of each Option or specify the formula by which such exercise price will be determined. The exercise price shall be specified in the applicable Option agreement. The exercise price shall be not less than 100% of the Grant Date Fair Market Value (as defined below) of the Common Stock on the date the Option is granted; provided that if the Board approves the grant of an Option with an exercise price to be determined on a future date, the exercise price shall be not less than 100% of the Grant Date Fair Market Value on such future date. “Grant Date Fair Market Value” of a share of Common Stock for purposes of the Plan will be determined as follows:

(1) if the Common Stock trades on a national securities exchange, the closing sale price (for the primary trading session) on the date of grant; or

(2) if the Common Stock does not trade on any such exchange, the average of the closing bid and asked prices on the date of grant as reported by an over-the-counter marketplace designated by the Board; or

(3) if the Common Stock is not publicly traded, the Board will determine the Grant Date Fair Market Value for purposes of the Plan using any measure of value it determines to be appropriate (including, as it considers appropriate, relying on appraisals) in a manner consistent with the valuation principles under Code Section 409A of the Code or any successor provision thereto, and the regulations thereunder (“Section 409A”), except as the Board may expressly determine otherwise.

For any date that is not a trading day, the Grant Date Fair Market Value of a share of Common Stock for such date will be determined by using the closing sale price or average of the bid and asked prices, as appropriate, for the immediately preceding trading day and with the timing in the formulas above adjusted accordingly. The Board can

~~Address Change/Comments:~~


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				A-3

substitute a particular time of day or other measure of “closing sale price” or “bid and asked prices” if appropriate because of exchange or market procedures or can use weighted averages either on a daily basis or such longer period, in each case to the extent permitted by Section 409A.

The Board shall determine the Grant Date Fair Market Value for purposes of the Plan, and all Awards are conditioned on the Participant’s agreement that the Board’s determination is conclusive and binding even though others might make a different determination.

(d) Duration of Options. Each Option shall be exercisable at such times and subject to such terms and conditions as the Board may specify in the applicable Option agreement; provided, however, that no Option will be granted with a term in excess of 10 years.

(e) Exercise of Options. Options may be exercised by delivery to the Company of a notice of exercise in a form (which may be electronic) approved by the Company, together with payment in full (in the manner specified in Section 5(f)) of the exercise price for the number of shares for which the Option is exercised. Shares of Common Stock subject to the Option will be delivered by the Company as soon as practicable following exercise.

(f) Payment Upon Exercise. Common Stock purchased upon the exercise of an Option granted under the Plan shall be paid for as follows:

(1) in cash or by check, payable to the order of the Company;

(2) except as may otherwise be provided in the applicable Option agreement or approved by the Board, by (i) delivery of an irrevocable and unconditional undertaking by a creditworthy broker to deliver promptly to the Company sufficient funds to pay the exercise price and any required tax withholding or (ii) delivery by the Participant to the Company of a copy of irrevocable and unconditional instructions to a creditworthy broker to deliver promptly to the Company funds sufficient to pay the exercise price and any required tax withholding;

(3) to the extent provided for in the applicable Option agreement or approved by the Board, by delivery (either by actual delivery or attestation) of shares of Common Stock owned by the Participant valued at their fair market value (valued in the manner determined or approved by the Board) provided (i) such method of payment is then permitted under applicable law, (ii) such Common Stock, if acquired directly from the Company, was owned by the Participant for such minimum period of time, if any, as may be established by the Board and (iii) such Common Stock is not subject to any repurchase, forfeiture, unfulfilled vesting or other similar requirements;

(4) to the extent provided for in the applicable Nonstatutory Stock Option agreement or approved by the Board, by delivery of a notice of “net exercise” to the Company, as a result of which the Participant would receive (i) the number of shares underlying the portion of the Option being exercised, less (ii) such number of shares as is equal to (A) the aggregate exercise price for the portion of the Option being exercised divided by (B) the fair market value of the Common Stock (valued in the manner determined or approved by the Board) on the date of exercise;

(5) to the extent permitted by applicable law and provided for in the applicable Option agreement or approved by the Board, by payment of such other lawful consideration as the Board may determine; provided, however, that in no event may a promissory note of the Participant be used to pay the Option exercise price; or

(6) by any combination of the above permitted forms of payment.

(g) Limitation on Repricing. Unless such action is approved by the Company’s stockholders, the Company may not (except as provided for under Section 10): (1) amend any outstanding Option granted under the Plan to provide an exercise price per share that is lower than the then-current exercise price per share of such outstanding Option; (2) cancel any outstanding option (whether or not granted under the Plan) and grant in substitution therefor new Awards under the Plan (other than Awards granted pursuant to Section 4(c)) covering the same or a different number of shares of Common Stock and having an exercise or measurement price per share lower than the then-current exercise price per share of the canceled option, (3) cancel in exchange for a cash payment any outstanding Option with an exercise price per share above the then-current fair market value of the Common Stock (valued in the manner determined or approved by the Board); or (4) take any other action under the Plan that constitutes a “repricing” within the meaning of the rules of the Nasdaq Stock Market or any other exchange or marketplace on which the Company’s stock is listed or traded (the “Exchange”).

~~(If you noted any address change and/or comments above, please mark corresponding box on the reverse side.)~~

~~Continued and to be signed on reverse side~~

MKS INSTRUMENTS, INC. | 2022 PROXY STATEMENT

A-4

(h) No Reload Options. No Option granted under the Plan shall contain any provision entitling the Participant to the automatic grant of additional Options in connection with any exercise of the original Option.

(i) No Dividend Equivalents. No Option shall provide for the payment or accrual of dividend equivalents.

6. Stock Appreciation Rights

(a) General. The Board may grant Awards consisting of stock appreciation rights (“SARs”) entitling the holder, upon exercise, to receive an amount of Common Stock or cash or a combination thereof (such form to be determined by the Board) determined by reference to appreciation, from and after the date of grant, in the fair market value of a share of Common Stock (valued in the manner determined or approved by the Board) over the measurement price established pursuant to Section 6(b). The date as of which such appreciation is determined shall be the exercise date.

(b) Measurement Price. The Board shall establish the measurement price of each SAR and specify it in the applicable SAR agreement. The measurement price shall not be less than 100% of the Grant Date Fair Market Value of the Common Stock on the date the SAR is granted; provided that if the Board approves the grant of an SAR effective as of a future date, the measurement price shall be not less than 100% of the Grant Date Fair Market Value on such future date.

(c) Duration of SARs. Each SAR shall be exercisable at such times and subject to such terms and conditions as the Board may specify in the applicable SAR agreement; provided, however, that no SAR will be granted with a term in excess of 10 years.

(d) Exercise of SARs. SARs may be exercised by delivery to the Company of a notice of exercise in a form (which may be electronic) approved by the Company, together with any other documents required by the Board.

(e) Limitation on Repricing. Unless such action is approved by the Company’s stockholders, the Company may not (except as provided for under Section 10): (1) amend any outstanding SAR granted under the Plan to provide a measurement price per share that is lower than the then-current measurement price per share of such outstanding SAR; (2) cancel any outstanding SAR (whether or not granted under the Plan) and grant in substitution therefor new Awards under the Plan (other than Awards granted pursuant to Section 4(c)) covering the same or a different number of shares of Common Stock and having an exercise or measurement price per share lower than the then-current measurement price per share of the canceled SAR; (3) cancel in exchange for a cash payment any outstanding SAR with a measurement price per share above the then-current fair market value of the Common Stock (valued in the manner determined or approved by the Board) or (4) take any other action under the Plan that constitutes a “repricing” within the meaning of the rules of the Nasdaq Stock Market.

(f) No Reload SARs. No SAR granted under the Plan shall contain any provision entitling the Participant to the automatic grant of additional SARs in connection with any exercise of the original SAR.

(g) No Dividend Equivalents. No SAR shall provide for the payment or accrual of dividend equivalents.

7. Restricted Stock; RSUs

(a) General. The Board may grant Awards entitling recipients to acquire shares of Common Stock (“Restricted Stock”), subject to the right of the Company to repurchase all or part of such shares at their issue price or other stated or formula price (or to require forfeiture of such shares if issued at no cost) from the recipient in the event that conditions specified by the Board in the applicable Award are not satisfied prior to the end of the applicable restriction period or periods established by the Board for such Award. The Board may also grant Awards entitling the recipient to receive shares of Common Stock or cash to be delivered at the time such Award vests or on a deferred basis (“RSUs”).

(b) Terms and Conditions for Restricted Stock and RSUs. The Board shall determine the terms and conditions of Restricted Stock and RSUs, including the conditions for vesting and repurchase (or forfeiture) and the issue price, if any.

MKS INSTRUMENTS, INC. | 2022 PROXY STATEMENT

A-5

(1) Dividends. Any dividends (whether paid in cash, stock or property) declared and paid by the Company with respect to shares of Restricted Stock (“Unvested Dividends”) shall be paid to the Participant only if and when such shares become free from the restrictions on transferability and forfeitability that apply to such shares. Each payment of Unvested Dividends will be made no later than the end of the calendar year in which the dividends are paid to stockholders of that class of stock or, if later, the 15th day of the third month following the lapsing of the restrictions on transferability and the forfeitability provisions applicable to the underlying shares of Restricted Stock. No interest will be paid on Unvested Dividends.

(2) Stock Certificates/Issuance. The Company may require that any stock certificates issued in respect of shares of Restricted Stock, as well as dividends or distributions paid on such Restricted Stock, shall be deposited in escrow by the Participant, together with a stock power endorsed in blank, with the Company (or its designee) or, alternatively, that such shares be issued in book entry only, in the name of the Participant with appropriate transfer and forfeiture restrictions. At the expiration of the applicable restriction periods, the Company (or such designee) shall deliver the certificates no longer subject to such restrictions (or, to the extent the Restricted Stock was issued in book entry, remove the restrictions) to the Participant or if the Participant has died, to his or her Designated Beneficiary(as defined below).

(d) Additional Provisions Relating to RSUs.

(1) Settlement. Upon the vesting of and/or lapsing of any other restrictions with respect to each RSU, the Participant shall be entitled to receive from the Company (i.e., settlement) the number of shares of Common Stock specified in the Award agreement or (if so provided in the applicable Award agreement or otherwise determined by the Board) an amount of cash equal to the fair market value (valued in the manner determined or approved by the Board) of such number of shares or a combination thereof. The Board may provide that settlement of RSUs shall be deferred, on a mandatory basis or at the election of the Participant, in a manner that complies with Section 409A.

(2) Voting Rights. A Participant shall have no voting rights with respect to any RSUs.

(3) Dividend Equivalents. The Award agreement for RSUs may provide Participants with the right to receive an amount equal to any dividends or other distributions declared and paid on an equal number of outstanding shares of Common Stock (“Dividend Equivalents”). Dividend Equivalents may be credited to an account for the Participant and may be settled in cash and/or shares of Common Stock, in each case to the extent provided in the applicable Award agreement. Dividend Equivalents with respect to RSUs will be subject to the same restrictions on transfer and forfeitability as the RSUs with respect to which paid. No interest will be paid on Dividend Equivalents.

8. Other Stock-Based and Cash-Based Awards

(a) General. The Board may grant other Awards of shares of Common Stock, and other Awards that are valued in whole or in part by reference to, or are otherwise based on, shares of Common Stock or other property (“Other Stock-Based Awards”). Such Other Stock-Based Awards shall also be available as a form of payment in the settlement of other Awards granted under the Plan or as payment in lieu of compensation to which a Participant is otherwise entitled. Other Stock-Based Awards may be paid in shares of Common Stock or cash, as the Board shall determine. The Company may also grant Awards denominated in cash rather than shares of Common Stock (“Cash-Based Awards”).

(b) Terms and Conditions. Subject to the provisions of the Plan, the Board shall determine the terms and conditions of each Other Stock-Based Award or Cash-Based Award, including any purchase price applicable thereto.

(c) Dividend Equivalents. The Award agreement for an Other Stock-Based Award may provide Participants with the right to receive Dividend Equivalents. Dividend Equivalents may be credited to an account for the Participant and may be settled in cash and/or shares of Common Stock, in each case to the extent provided in the applicable Award agreement. Dividend Equivalents with respect to Other-Stock Based Awards will be subject to the same restrictions on transfer and forfeitability as the Other Stock-Based Award with respect to which paid. No interest will be paid on Dividend Equivalents.


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				A-6

9. Performance Awards.

(a) Grants. Awards under the Plan may be made subject to the achievement of performance goals pursuant to this Section 9 (“Performance Awards”).

(b) Performance Measures. The Board may specify that the degree of granting, vesting and/or payout of any Performance Award shall be subject to the achievement of one or more performance measures established by the Board, which may be based on the relative or absolute attainment of specified levels of one or any combination of the following, and which may be determined pursuant to generally accepted accounting principles (“GAAP”) or on a non-GAAP basis, as determined by the Board: net income, earnings before or after discontinued operations, interest, taxes, depreciation and/or amortization, earnings per share, earnings per share before or after discontinued operations, interest, taxes, depreciation and/or amortization, bookings, bookings growth, revenue, revenue growth, operating profit before or after discontinued operations and/or taxes, operating expenses, gross margin, operating margin, profit margin, cost savings, inventory management, working capital, customer satisfaction, product quality, manufacturing objectives, completion of strategic acquisitions/dispositions, receipt of regulatory approvals, cash position, earnings growth, cash flow or cash position, stock price, market share, return on sales, assets, equity or investment, improvement of financial ratings, achievement of balance sheet, income statement or cash flow objectives, total stockholder return or any other performance measure as the Board may determine. Such goals may reflect absolute entity or business unit performance or a relative comparison to the performance of a peer group of entities or other external measure of the selected performance criteria and may be absolute in their terms or measured against or in relationship to other companies comparably, similarly or otherwise situated. The Board may specify that such performance measures shall be adjusted to exclude any one or more of (i) extraordinary, non-recurring charges or other events, (ii) gains or losses on the dispositions of discontinued operations, (iii) other non-standard gains or losses, (iv) the cumulative effects of changes in accounting principles, (v) the writedown of any asset, (vi) fluctuation in foreign currency exchange rates, (vii) amortization of acquired intangible assets, (viii) acquisition and divestiture related charges or credits, (ix) litigation or claim judgments or settlements (x) gain on sale of assets (xi) excess and obsolete inventory adjustments, (xii) tax effects of adjustments, (xiii) the effect of changes in tax laws or other laws affecting reported results, (xiv) charges for restructuring and reorganization programs and (xv) any other factors as the Board may determine. Such performance measures: (x) may vary by Participant and may be different for different Awards; (y) may be particular to a Participant or the department, branch, line of business, subsidiary or other unit in which the Participant works and (z) may cover such period as may be specified by the Board. The Board shall have the authority to make equitable adjustments to the performance goals in recognition of unusual or non-recurring events affecting the Company or the financial statements of the Company, in response to changes in applicable laws or regulations or to account for items of gain, loss or expense determined to be extraordinary or unusual in nature or infrequent in occurrence or related to the disposal of a segment of a business or related to a change in accounting principles.

(c) Adjustments. The Board may adjust the cash or number of shares payable pursuant to such Performance Award, and the Board may, at any time, waive the achievement of the applicable performance measures.

(d) Dividends; Dividend Equivalents. Notwithstanding its designation as a Performance Award, no Option or SAR shall provide for the payment or accrual of dividend equivalents in accordance with Sections 5(i) and 6(g), as applicable, any dividends declared and paid by the Company with respect to shares of Restricted Stock shall be subject to Section 7(c)(1) and any right to receive Dividend Equivalents on an award of RSUs and Other Stock-Based Awards shall be subject to Sections 7(d)(3) and 8(c), as applicable.

10. Adjustments for Changes in Common Stock and Certain Other Events

(a) Changes in Capitalization. In the event of any stock split, reverse stock split, stock dividend, recapitalization, combination of shares, reclassification of shares, spin-off or other similar change in capitalization or event, or any dividend or distribution to holders of Common Stock other than an ordinary cash dividend, (i) the number and class of securities available under the Plan, (ii) the share counting rules and sublimit set forth in Sections 4(a) and 4(b), (iii) the number and class of securities and exercise price per share of each outstanding Option, (iv) the share and per-share provisions and the measurement price of each outstanding SAR, (v) the number of shares subject to and the repurchase price per share subject to each outstanding award of Restricted


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				A-7

Stock and (vi) the share and per-share-related provisions and the purchase price, if any, of each outstanding RSU and each Other Stock-Based Award, shall be equitably adjusted by the Company (or substituted Awards may be made, if applicable) in the manner determined by the Board. Without limiting the generality of the foregoing, in the event the Company effects a split of the Common Stock by means of a stock dividend and the exercise price of and the number of shares subject to an outstanding Option are adjusted as of the date of the distribution of the dividend (rather than as of the record date for such dividend), then an optionee who exercises an Option between the record date and the distribution date for such stock dividend shall be entitled to receive, on the distribution date, the stock dividend with respect to the shares of Common Stock acquired upon such Option exercise, notwithstanding the fact that such shares were not outstanding as of the close of business on the record date for such stock dividend.

(b) Reorganization Events.

(1) Definition. A “Reorganization Event” shall mean: (a) any merger or consolidation of the Company with or into another entity as a result of which all of the Common Stock of the Company is converted into or exchanged for the right to receive cash, securities or other property or is canceled, (b) any transfer or disposition of all of the Common Stock of the Company for cash, securities or other property pursuant to a share exchange or other transaction or (c) any liquidation or dissolution of the Company.

(2) Consequences of a Reorganization Event on Awards Other than Restricted Stock.

(A) In connection with a Reorganization Event, the Board may take any one or more of the following actions as to all or any (or any portion of) outstanding Awards other than Restricted Stock on such terms as the Board determines (except to the extent specifically provided otherwise in an applicable Award agreement or another agreement between the Company and the Participant): (i) provide that such Awards shall be assumed, or substantially equivalent Awards shall be substituted, by the acquiring or succeeding corporation (or an affiliate thereof), (ii) upon written notice to a Participant, provide that all of the Participant’s unvested Awards will be forfeited immediately prior to the consummation of such Reorganization Event and/or that all of the Participant’s unexercised Awards will terminate immediately prior to the consummation of such Reorganization Event unless exercised by the Participant (to the extent then exercisable) within a specified period following the date of such notice, (iii) provide that outstanding Awards shall become exercisable, realizable, or deliverable, or restrictions applicable to an Award shall lapse, in whole or in part prior to or upon such Reorganization Event, (iv) in the event of a Reorganization Event under the terms of which holders of Common Stock will receive upon consummation thereof a cash payment for each share surrendered in the Reorganization Event (the “Acquisition Price”), make or provide for a cash payment to Participants with respect to each Award held by a Participant equal to (A) the number of shares of Common Stock subject to the vested portion of the Award (after giving effect to any acceleration of vesting that occurs upon or immediately prior to such Reorganization Event) multiplied by (B) the excess, if any, of (I) the Acquisition Price over (II) the exercise, measurement or purchase price of such Award and any applicable tax withholdings, in exchange for the termination of such Award, provided, that if the Acquisition Price per share (as determined by the Board) does not exceed the exercise price of such Award, then the Award shall be canceled without any payment of consideration therefor; (v) provide that, in connection with a liquidation or dissolution of the Company, Awards shall convert into the right to receive liquidation proceeds (if applicable, net of the exercise, measurement or purchase price thereof and any applicable tax withholdings) and (vi) any combination of the foregoing. In taking any of the actions permitted under this Section 10(b)(2)(A), the Board shall not be obligated by the Plan to treat all Awards, all Awards held by a Participant, or all Awards of the same type, identically.

(B) Notwithstanding the terms of Section 10(b)(2)(A)(i), in the case of outstanding RSUs that are subject to Section 409A: (i) if the applicable RSU agreement provides that the RSUs shall be settled upon a “change in control event” within the meaning of Treasury Regulation Section 1.409A-3(i)(5)(i), and the Reorganization Event constitutes such a “change in control event”, then no assumption or substitution shall be permitted pursuant to Section 10(b)(2)(A)(i) and the RSUs shall instead be settled in accordance with the terms of the applicable RSU agreement; and (ii) the Board may only undertake the actions set forth in clauses (iii), (iv) or (v) of Section 10(b)(2)(A) if the Reorganization Event constitutes a “change in control event” as defined under Treasury Regulation Section 1.409A-3(i)(5)(i) and such action is permitted or required by Section 409A; if the Reorganization Event is not a “change in control event” as so defined


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				A-8

or such action is not permitted or required by Section 409A, and the acquiring or succeeding corporation does not assume or substitute the RSUs pursuant to clause (i) of Section 10(b)(2)(A), then the unvested RSUs shall terminate immediately prior to the consummation of the Reorganization Event without any payment in exchange therefor.

(C) For purposes of Section 10(b)(2)(A)(i), an Award (other than Restricted Stock) shall be considered assumed if, following consummation of the Reorganization Event, such Award confers the right to purchase or receive pursuant to the terms of such Award, for each share of Common Stock subject to the Award immediately prior to the consummation of the Reorganization Event, the consideration (whether cash, securities or other property) received as a result of the Reorganization Event by holders of Common Stock for each share of Common Stock held immediately prior to the consummation of the Reorganization Event (and if holders were offered a choice of consideration, the type of consideration chosen by the holders of a majority of the outstanding shares of Common Stock); provided, however, that if the consideration received as a result of the Reorganization Event is not solely common stock of the acquiring or succeeding corporation (or an affiliate thereof), the Company may, with the consent of the acquiring or succeeding corporation, provide for the consideration to be received upon the exercise or settlement of the Award to consist solely of such number of shares of common stock of the acquiring or succeeding corporation (or an affiliate thereof) that the Board determined to be equivalent in value (as of the date of such determination or another date specified by the Board) to the per share consideration received by holders of outstanding shares of Common Stock as a result of the Reorganization Event.

(D) The Board may impose a limitation on the ability of Participants holding Options and/or SARs to exercise their Awards for the minimum number of days prior to the closing of the Reorganization Event as is reasonably necessary to facilitate the orderly closing of the Reorganization Event. The Company shall provide reasonable notice to Participants of any such limitation on exercise.

(3) Consequences of a Reorganization Event on Restricted Stock. Upon the occurrence of a Reorganization Event other than a liquidation or dissolution of the Company, the repurchase and other rights of the Company with respect to outstanding Restricted Stock shall inure to the benefit of the Company’s successor and shall, unless the Board determines otherwise, apply to the cash, securities or other property which the Common Stock was converted into or exchanged for pursuant to such Reorganization Event in the same manner and to the same extent as they applied to such Restricted Stock; provided, however, that the Board may either provide for termination or deemed satisfaction of such repurchase or other rights under the instrument evidencing any Restricted Stock or any other agreement between a Participant and the Company, either initially or by amendment, or provide for forfeiture of such Restricted Stock if issued at no cost. Upon the occurrence of a Reorganization Event involving the liquidation or dissolution of the Company, except to the extent specifically provided to the contrary in the instrument evidencing any Restricted Stock or any other agreement between a Participant and the Company, all restrictions and conditions on all Restricted Stock then outstanding shall automatically be deemed terminated or satisfied.

11. General Provisions Applicable to Awards

(a) Transferability of Awards. Awards shall not be sold, assigned, transferred, pledged or otherwise encumbered by a Participant, either voluntarily or by operation of law, except by will or the laws of descent and distribution or, other than in the case of an Incentive Stock Option, pursuant to a qualified domestic relations order, and, during the life of the Participant, shall be exercisable only by the Participant; provided, however, that, except with respect to Awards subject to Section 409A and Incentive Stock Options, the Board may permit or provide in an Award for the gratuitous transfer of the Award by the Participant to or for the benefit of any immediate family member, family trust or other entity established for the benefit of the Participant and/or an immediate family member thereof if the Company would be eligible to use a Form S-8 under the Securities Act for the registration of the sale of the Common Stock subject to such Award to such proposed transferee; provided further, that the Company shall not be required to recognize any such permitted transfer until such time as such permitted transferee shall, as a condition to such transfer, deliver to the Company a written instrument in form and substance satisfactory to the Company confirming that such transferee shall be bound by all of the terms and conditions of the Award. References to a Participant, to the extent relevant in the context, shall include references to authorized transferees. For the avoidance of doubt, nothing contained in this Section 11(a) shall be deemed to restrict a transfer to the Company.


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				A-9

(b) Documentation. Each Award shall be evidenced in such form (written, electronic or otherwise) as the Board shall determine. Each Award may contain terms and conditions in addition to those set forth in the Plan.

(c) Termination of Status. The Board shall determine the effect on an Award of the disability, death, termination or other cessation of employment or service, authorized leave of absence or other change in the employment or other service status of a Participant and the extent to which, and the period during which, the Participant, or the Participant’s legal representative, conservator, guardian or Designated Beneficiary, may exercise rights, or receive any benefits, under an Award. “Designated Beneficiary” means (i) the beneficiary designated, in a manner determined by the Board, by a Participant to receive amounts due or exercise rights of the Participant in the event of the Participant’s death or (ii) in the absence of an effective designation by a Participant, the Participant’s estate.

(d) Withholding. The Participant must satisfy all applicable federal, state, and local or other income and employment tax withholding obligations before the Company will deliver stock certificates or otherwise recognize ownership of Common Stock under an Award. The Company may elect to satisfy the withholding obligations through additional withholding on salary or wages. If the Company elects not to or cannot withhold from other compensation, the Participant must pay the Company the full amount, if any, required for withholding or have a broker tender to the Company cash equal to the withholding obligations. Payment of withholding obligations is due before the Company will issue any shares on exercise, vesting or release from forfeiture of an Award or at the same time as payment of the exercise or purchase price, unless the Company determines otherwise. If provided for in an Award or approved by the Board, a Participant may satisfy the tax obligations in whole or in part by delivery (either by actual delivery or attestation) of shares of Common Stock, including shares retained from the Award creating the tax obligation, valued at their fair market value (valued in the manner determined or approved by the Company); provided, however, except as otherwise provided by the Board, that the total tax withholding where stock is being used to satisfy such tax obligations cannot exceed the Company’s minimum statutory withholding obligations (based on minimum statutory withholding rates for federal and state tax purposes, including payroll taxes, that are applicable to such supplemental taxable income), except that, to the extent that the Company is able to retain shares of Common Stock having a fair market value (determined or approved by the Company) that exceeds the statutory minimum applicable withholding tax without financial accounting implications or the Company is withholding in a jurisdiction that does not have a statutory minimum withholding tax, the Company may retain such number of shares of Common Stock (up to the number of shares having a fair market value equal to the maximum individual statutory rate of tax (determined or approved by the Company)) as the Company shall determine to be necessary to satisfy the tax liability associated with any Award. Shares used to satisfy tax withholding requirements cannot be subject to any repurchase, forfeiture, unfulfilled vesting or other similar requirements.

(e) Amendment of Award. Except as otherwise provided in Sections 5(g) and 6(e) with respect to repricings or Section 12(d) with respect to actions requiring stockholder approval, the Board may amend, modify or terminate any outstanding Award, including but not limited to, substituting therefor another Award of the same or a different type, changing the date of exercise or realization, and converting an Incentive Stock Option to a Nonstatutory Stock Option. The Participant’s consent to such action shall be required unless (i) the Board determines that the action, taking into account any related action, does not materially and adversely affect the Participant’s rights under the Plan or (ii) the change is permitted under Section 10.

(f) Conditions on Delivery of Stock. The Company will not be obligated to deliver any shares of Common Stock pursuant to the Plan or to remove restrictions from shares previously issued or delivered under the Plan until (i) all conditions of the Award have been met or removed to the satisfaction of the Company, (ii) in the opinion of the Company’s counsel, all other legal matters in connection with the issuance and delivery of such shares have been satisfied, including any applicable securities laws and regulations and any applicable stock exchange or stock market rules and regulations, and (iii) the Participant has executed and delivered to the Company such representations or agreements as the Company may consider appropriate to satisfy the requirements of any applicable laws, rules or regulations.

(g) Acceleration. The Board may at any time provide that any Award shall become immediately exercisable in whole or in part, free from some or all restrictions or conditions or otherwise realizable in whole or in part, as the case may be.


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				A-10

12. Miscellaneous

(a) No Right to Employment or Other Status. No person shall have any claim or right to be granted an Award by virtue of the adoption of the Plan, and the grant of an Award shall not be construed as giving a Participant the right to continued employment or any other relationship with the Company. The Company expressly reserves the right at any time to dismiss or otherwise terminate its relationship with a Participant free from any liability or claim under the Plan, except as expressly provided in the applicable Award.

(b) No Rights As Stockholder; Clawback. Subject to the provisions of the applicable Award, no Participant or Designated Beneficiary shall have any rights as a stockholder with respect to any shares of Common Stock to be distributed with respect to an Award until becoming the record holder of such shares. In accepting an Award under the Plan, the Participant agrees to be bound by any clawback policy that the Company has in effect or may adopt in the future.

(c) Effective Date and Term of Plan. The Plan shall become effective on the date the Plan is approved by the Company’s stockholders (the “Effective Date”). No Awards shall be granted under the Plan after the expiration of 10 years from the Effective Date, but Awards previously granted may extend beyond that date.

(d) Amendment of Plan. The Board may amend, suspend or terminate the Plan or any portion thereof at any time provided that (i) neither Section 5(g) nor Section 6(e) requiring stockholder approval of any Option or SAR repricing may be amended without stockholder approval; (ii) no amendment that would require stockholder approval under the rules of the national securities exchange on which the Company then maintains its primary listing may be made effective unless and until the Company’s stockholders approve such amendment; and (iii) if the national securities exchange on which the Company then maintains its primary listing does not have rules regarding when stockholder approval of amendments to equity compensation plans is required (or if the Company’s Common Stock is not then listed on any national securities exchange), then no amendment to the Plan (A) materially increasing the number of shares authorized under the Plan (other than pursuant to Section 4(c) or 10), (B) expanding the types of Awards that may be granted under the Plan, or (C) materially expanding the class of participants eligible to participate in the Plan shall be effective unless and until the Company’s stockholders approve such amendment. In addition, if at any time the approval of the Company’s stockholders is required as to any other modification or amendment under Section 422 of the Code or any successor provision with respect to Incentive Stock Options, the Board may not effect such modification or amendment without such approval. Unless otherwise specified in the amendment, any amendment to the Plan adopted in accordance with this Section 12(d) shall apply to, and be binding on the holders of, all Awards outstanding under the Plan at the time the amendment is adopted, provided the Board determines that such amendment, taking into account any related action, does not materially and adversely affect the rights of Participants under the Plan. No Award shall be made that is conditioned upon stockholder approval of any amendment to the Plan unless the Award provides that (i) it will terminate or be forfeited if stockholder approval of such amendment is not obtained within no more than 12 months from the date of grant and (2) it may not be exercised or settled (or otherwise result in the issuance of Common Stock) prior to such stockholder approval.

(e) Authorization of Sub-Plans (including for Grants to non-U.S. Employees). The Board may from time to time establish one or more sub-plans under the Plan for purposes of satisfying applicable securities, tax or other laws of various jurisdictions. The Board shall establish such sub-plans by adopting supplements to the Plan containing (i) such limitations on the Board’s discretion under the Plan as the Board deems necessary or desirable or (ii) such additional terms and conditions not otherwise inconsistent with the Plan as the Board shall deem necessary or desirable. All supplements adopted by the Board shall be deemed to be part of the Plan, but each supplement shall apply only to Participants within the affected jurisdiction and the Company shall not be required to provide copies of any supplement to Participants in any jurisdiction which is not the subject of such supplement.

(f) Compliance with Section 409A. If and to the extent (i) any portion of any payment, compensation or other benefit provided to a Participant in connection with his or her employment termination constitutes “nonqualified deferred compensation” within the meaning of Section 409A and (ii) the Participant is a specified employee as defined in Section 409A(a)(2)(B)(i) of the Code, in each case as determined by the Company in accordance with its procedures, by which determinations the Participant (through accepting the Award) agrees to be bound, such portion of the payment, compensation or other benefit shall not be paid before the day that is six months plus one day after the date of “separation from service” (as determined under Section 409A) (the “New Payment Date”), except as Section 409A may then permit. The aggregate of any payments that otherwise would


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				A-11

have been paid to the Participant during the period between the date of separation from service and the New Payment Date shall be paid to the Participant in a lump sum on such New Payment Date, and any remaining payments will be paid on their original schedule.

The Company makes no representations or warranty and shall have no liability to the Participant or any other person if any provisions of or payments, compensation or other benefits under the Plan are determined to constitute nonqualified deferred compensation subject to Section 409A but do not to satisfy the conditions of that section.

(g) Limitations on Liability. Notwithstanding any other provisions of the Plan, no individual acting as a director, officer, employee or agent of the Company will be liable to any Participant, former Participant, spouse, beneficiary, or any other person for any claim, loss, liability, or expense incurred in connection with the Plan, nor will such individual be personally liable with respect to the Plan because of any contract or other instrument such individual executes in his or her capacity as a director, officer, employee or agent of the Company. The Company will indemnify and hold harmless each director, officer, employee or agent of the Company to whom any duty or power relating to the administration or interpretation of the Plan has been or will be delegated, against any cost or expense (including attorneys’ fees) or liability (including any sum paid in settlement of a claim with the Board’s approval) arising out of any act or omission to act concerning the Plan unless arising out of such person’s own fraud or bad faith.

(h) Governing Law. The provisions of the Plan and all Awards made hereunder shall be governed by and interpreted in accordance with the laws of the Commonwealth of Massachusetts, excluding choice-of-law principles of the law of such state that would require the application of the laws of a jurisdiction other than the Commonwealth of Massachusetts.


MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				A-12

LOGO

MKS INSTRUMENTS, INC. 2 TECH DRIVE SUITE 201 ANDOVER, MA 01810 SCAN TO VIEW MATERIALS & VOTE w ELECTRONIC DELIVERY OF FUTURE PROXY MATERIALS If you would like to reduce the costs incurred by our Company in mailing proxy materials, you can consent to receive all future proxy statements, proxy cards and annual reports electronically via e-mail or the Internet. To sign up for electronic delivery, please follow the instructions below to vote using the Internet and, when prompted, indicate that you agree to receive or access proxy materials electronically in future years.
VOTE BY INTERNET .com or scan the QR Barcode above Go to www.proxyvote Use the Internet to transmit your voting instructions and for electronic delivery of information up until 11:59 P.M. Eastern Time on May 9, 2022. Have your proxy card in hand when you access the website and follow the instructions to obtain your records and to create an electronic voting instruction form. VOTE BY PHONE—1-800-690-6903 Use any touch-tone telephone to transmit your voting instructions up until 11:59 P.M. Eastern Time on May 9, 2022. Have your proxy card in hand when you call and then follow the instructions. VOTE BY MAIL Mark, sign and date your proxy card and return it in the postage-paid envelope we have provided or return it to Vote Processing, c/o Broadridge, 51 Mercedes Way, Edgewood, NY 11717. TO VOTE, MARK BLOCKS BELOW IN BLUE OR BLACK INK AS FOLLOWS: D77853-P67774 KEEP THIS PORTION FOR YOUR RECORDS THIS PROXY CARD IS VALID ONLY WHEN SIGNED AND DATED. DETACH AND RETURN THIS PORTION ONLY MKS INSTRUMENTS, INC. For Withhold For All To withhold authority to vote for any individual All All Except nominee(s), mark “For All Except” and write the The Board of Directors recommends you vote FOR number(s) of the nominee(s) on the line below. the following: 1. The election of the three nominees listed below as Class II Directors, each to serve for a three-year term: Nominees: 01) John T.C. Lee 02) Jacqueline F. Moloney 03) Michelle M. Warner The Board of Directors recommends you vote FOR the following proposal: For Against Abstain 2. The approval of our 2022 Stock Incentive Plan. The Board of Directors recommends you vote FOR the following proposal: 3. The approval, on an advisory basis, of executive compensation. The Board of Directors recommends you vote FOR the following proposal: 4. The ratification of the selection of PricewaterhouseCoopers LLP as our independent registered public accounting firm for the year ending December 31, 2022. This proxy, when properly executed, will be voted in the manner directed by the undersigned shareholder. If no direction is indicated, this proxy will be voted FOR the election of each of the three (3) nominees listed above as Class II Directors of the Company, FOR proposals 2, 3 and 4, and, as said proxies deem advisable, in their discretion, on such other matters as may properly come before the meeting. Please indicate if you plan to attend this meeting. Yes No Please sign exactly as your name(s) appear(s) on this card. When signing as attorney, executor, administrator, or other fiduciary, please give your full title. Joint owners should each sign personally. All holders must sign. If a corporation or partnership, please sign in full corporate or partnership name by an authorized officer.

LOGO

Important Notice Regarding the Availability of Proxy Materials for the 2022 Annual Meeting: The Annual Report, Notice & Proxy Statement are available at www.proxyvote.com. MKS INSTRUMENTS, INC. 2022 Annual Meeting of Shareholders May 10, 2022 10:00 AM, Eastern Time This proxy is solicited by the Board of Directors. The undersigned shareholder of MKS Instruments, Inc., a Massachusetts corporation (the “Company”), hereby acknowledges receipt of the Notice of 2022 Annual Meeting of Shareholders and Proxy Statement, each dated March 31, 2022, and hereby appoints John T.C. Lee and Kathleen F. Burke, and each of them acting singly, proxies and attorneys-in-fact, with full power to each of substitution, on behalf and in the name of the undersigned, to represent the undersigned at the 2022 Annual Meeting of Shareholders of the Company to be held on May 10, 2022 at 10:00 AM, Eastern Time, at MKS Instruments, Inc., 2 Tech Drive, Suite 201, Andover, MA 01810, and at any adjournment or postponement thereof, and to vote all shares of Common Stock which the undersigned would be entitled to vote if attending the meeting, on the matters set forth on the reverse side, and, in their discretion, upon any other matters which may properly come before the meeting. Your Internet or telephone vote authorizes the named proxies to vote the shares in the same manner as if you marked, signed, dated and returned your proxy card. If you vote the shares over the Internet or by telephone, please do not return your proxy card. UNLESS VOTING THE SHARES OVER THE INTERNET OR BY TELEPHONE, PLEASE DATE, SIGN AND MAIL YOUR PROXY CARD IN THE ENVELOPE PROVIDED AS SOON AS POSSIBLE.

~~MKS INSTRUMENTS, INC.~~

~~2 TECH DRIVE~~

~~SUITE 201~~

~~ANDOVER, MA 01810~~

~~ELECTRONIC DELIVERY OF FUTURE PROXY MATERIALS~~

~~If you would like to reduce the costs incurred by our Company in mailing proxy materials, you can consent to receive all future proxy statements, proxy cards and annual reports electronically viae-mail~~ or the Internet. To sign up for electronic delivery, please follow the instructions below to vote using the Internet and, when prompted, indicate that you agree to receive or access proxy materials electronically in future years.

~~VOTE BY INTERNET -www.proxyvote.com~~

Use the Internet to transmit your voting instructions and for electronic delivery of information up until 11:59 P.M. Eastern Time on May 11, 2020. Have your proxy card in hand when you access the website and follow the instructions to obtain your records and to create an electronic voting instruction form.

~~VOTE BY PHONE -1-800-690-6903~~

~~Use any touch-tone telephone to transmit your voting instructions up until 11:59 P.M. Eastern Time on May 11, 2020. Have your proxy card in hand when you call and then follow the instructions.~~

~~VOTE BY MAIL~~

~~Mark, sign and date your proxy card and return it in the postage-paid envelope we have provided or return it to Vote Processing, c/o Broadridge, 51 Mercedes Way, Edgewood, NY 11717.~~

~~TO VOTE, MARK BLOCKS BELOW IN BLUE OR BLACK INK AS FOLLOWS:~~


~~E95733-P36517 KEEP THIS PORTION FOR YOUR RECORDS~~
— — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — —
~~THIS PROXY CARD IS VALID ONLY WHEN SIGNED AND DATED.~~				~~DETACH AND RETURN THIS PORTION ONLY~~

~~MKS INSTRUMENTS, INC.~~

~~The Board of Directors recommends you voteFOR~~ ~~the following:~~

~~For All~~

☐

~~Withhold All~~

☐

~~For All Except~~

☐

~~To withhold authority to vote for any individual nominee(s), mark “For All Except” and write the number(s) of the nominee(s) on the line below.~~

~~1. The election of the two nominees listed below as Class III Directors, each to serve for a three-year term:~~

~~Nominees:~~

~~01) Joseph B. Donahue~~

~~02) Janice K. Henry~~


~~The Board of Directors recommends you voteFOR~~ ~~the following proposal:~~	~~For~~	~~Against~~	~~Abstain~~

~~2. The approval, on an advisory basis, of executive compensation.~~	☐	☐	☐

~~The Board of Directors recommends you voteFOR~~ ~~the following proposal:~~

~~3. The ratification of the selection of PricewaterhouseCoopers LLP as our independent registered public accounting firm for the year ending December 31, 2020.~~	☐	☐	☐

This proxy, when properly executed, will be voted in the manner directed by the undersigned shareholder. If no direction is indicated, this proxy will be voted FOR the election of each of the two (2) nominees listed above as Class III Directors of the Company, FOR proposals 2 and 3, and, as said proxies deem advisable, in their discretion, on such other matters as may properly come before the meeting.

~~For address change/comments, mark here (see reverse side for instructions):~~

☐

~~Please indicate if you plan to attend this meeting:~~

☐

~~Yes~~

Please sign exactly as your name(s) appear(s) on this card. When signing as attorney, executor, administrator, or other fiduciary, please give your full title. Joint owners should each sign personally. All holders must sign. If a corporation or partnership, please sign in full corporate or partnership name by an authorized officer.

~~Signature [PLEASE SIGN WITHIN BOX] Date~~

~~Signature (Joint Owners) Date~~

☐		Soliciting Material ~~Pursuant to~~under §240.14a-12

~~MKS Instruments, Inc.~~
~~(Name of Registrant as Specified in its Charter)~~

~~Payment of Filing Fee (Check the appropriate box):~~



Total Number of Directors	8

	Female	Male

PART I: GENDER IDENTITY

• Gender Identity	3	5

PART II: DEMOGRAPHIC BACKGROUND

• Asian	0	2

• White	3	3

• LGBTQ+	1


Calendar Year	Awards Granted		Basic Weighted Average Number of Shares of our Common Stock Outstanding	Gross Burn Rate(1)
2021		228,917	55,420,069		0.41	%
2020		310,028	55,095,597		0.56	%
2019		440,135	54,710,842		0.80	%
Three-Year Average		326,360	55,075,503		0.59	%

☐		~~Preliminary Proxy Statement~~

☐		Confidential, for Use of the Commission Only (as permitted by Rule14a-6(e)(2))

☐	~~Fee computed on table below per Exchange Act Rules14a-6(i)(1)~~ ~~and0-11.~~

	1)	~~Title of each class of securities to which transaction applies:~~

	2)	~~Aggregate number of securities to which transaction applies:~~

	3)	~~Per unit price or other underlying value of transaction computed pursuant to Exchange ActRule 0-11~~ ~~(set forth the amount on which the filing fee is calculated and state how it was determined):~~

	4)	~~Proposed maximum aggregate value of transaction:~~

	5)	~~Total fee paid:~~




☐	Fee paid previously with preliminary materials.

☐	~~Check box if any part of the fee is offset as provided~~ Fee computed on table in exhibit required by Item 25(b) per Exchange Act ~~Rule~~Rules ~~0-11(a)(2)~~14a-6(i)(1) and ~~identify the filing for which the offsetting fee was paid previously. Identify the previous filing by registration statement number, or the Form or Schedule and the date of its filing.~~0-11

	1)	~~Amount Previously Paid:~~

	2)	~~Form, Schedule or Registration Statement No.:~~

	3)	~~Filing Party:~~

	4)	~~Date Filed:~~


PROXY STATEMENT			1

VOTING OF SECURITIES AND VOTES REQUIRED			1

VOTING AND MEETING INFORMATION			2

Voting Your Shares			2

Attending the 2022 Annual Meeting			3

Proxy Materials			3

Shareholder List			3

PROPOSED ACQUISITION OF ATOTECH			3

PROPOSAL ONE – ELECTION OF DIRECTORS			4

DIRECTORS			4

Director Skills, Experience and Background			9

Board Skills Matrix			11

Board Diversity Matrix			11

Demographic Ratio Graphs			12

PROPOSAL TWO – APPROVAL OF 2022 STOCK INCENTIVE PLAN			13

Why We Are Requesting Shareholder Approval of the 2022 Stock Incentive Plan			13

Highlights of the 2022 Plan			13

Information Regarding Overhang and Dilution			14

Description of the 2022 Plan			15

PROPOSAL THREE – ADVISORY VOTE ON EXECUTIVE COMPENSATION			24

PROPOSAL FOUR – RATIFICATION OF SELECTION OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM			25

CORPORATE GOVERNANCE			25

Board Independence			25

Board Leadership Structure			25

Communications from Shareholders			26

Code of Business Conduct and Ethics			26

Board’s Role in Risk Oversight			26

Transactions with Related Persons			27

Board of Director Meetings and Committees of the Board of Directors			27

Director Candidates			30

CORPORATE SOCIAL RESPONSIBILITY			31

Governance			31

Human Capital Management			31

Health and Safety			32

Environmental Management			32

DIRECTOR COMPENSATION			33

Cash Compensation			33

Equity Compensation			33

Director Compensation Table for 2021			33

AUDIT AND FINANCIAL ACCOUNTING OVERSIGHT			34

Audit Committee Report			34

Principal Accountant Fees and Services			35

SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT			37

EXECUTIVE OFFICERS			39



EXECUTIVE COMPENSATION			42

Compensation Discussion and Analysis			42

COMPENSATION COMMITTEE REPORT			52

EXECUTIVE COMPENSATION TABLES			53

Summary Compensation Table for 2021			53

CEO Pay Ratio			55

Grants of Plan-Based Awards in Fiscal Year 2021 Table			55

Outstanding Equity Awards at 2021 Fiscal Year-End Table			56

Option Exercises and Stock Vested in Fiscal Year 2021 Table			57

Potential Payments Upon Termination or Change-in-Control			57

EQUITY COMPENSATION PLAN INFORMATION			63

OTHER MATTERS			64

Expenses and Solicitation			64

Deadline for Submission of Shareholder Proposals for the 2023 Annual Meeting			64

No Incorporation by Reference			64

APPENDIX A: 2022 STOCK INCENTIVE PLAN			A-1


~~THE BOARD OF DIRECTORS BELIEVES THAT APPROVAL OF THE ELECTION OF JOSEPH B. DONAHUE AND JANICE K. HENRY TO SERVE AS CLASS III DIRECTORS IS IN THE BEST INTERESTS OF~~ MKS ~~AND OUR SHAREHOLDERS AND THEREFORE RECOMMENDS A VOTE “FOR” BOTH NOMINEES.~~INSTRUMENTS, INC. \| 2022 PROXY STATEMENT		~~DIRECTORS~~		~~Set forth below are the names and ages of each member of our Board of Directors and our two director nominees, Joseph B. Donahue and Janice K. Henry,~~2


~~THE BOARD OF DIRECTORS BELIEVES THAT THE PROPOSAL TO APPROVE, ON ANON-BINDING~~ ~~ADVISORY BASIS, THE EXECUTIVE COMPENSATION CONTAINED IN THIS~~MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT ~~IS IN THE BEST INTERESTS OF MKS AND OUR SHAREHOLDERS AND THEREFORE RECOMMENDS A VOTE “FOR” THIS PROPOSAL.~~				~~PROPOSAL THREE – RATIFICATION OF SELECTION OF INDEPENDENT REGISTERED PUBLIC~~14 ~~ACCOUNTING FIRM~~ Our Audit Committee has selected PricewaterhouseCoopers LLP, or PwC, as the Company’s independent registered public accounting firm for the fiscal year ending December 31, 2020. PwC was our independent registered public accounting firm for the fiscal year ended December 31, 2019. ~~Representatives of PwC are expected~~


~~have the authority to call meetings of the independent directors;~~MKS INSTRUMENTS, INC. \| 2022 PROXY STATEMENT				~~preside at all meetings of the Board of Directors at which the Chairman of the Board of Directors is not present;~~15


Name	Fees Earned or Paid in Cash ($)			Stock Awards ($)(1)		All Other Compensation ($)	Total ($)
Rajeev Batra	$	81,550		$	170,000	$ -	$	251,550
Gregory R. Beecher	$	123,000	(2)	$	170,000	$ -	$	293,000
John R. Bertucci	$	133,000	(2)	$	170,000	$ 41,801(3)	$	344,801
Richard S. Chute(4)	$	29,237		$	-	$ -	$	29,237
Peter R. Hanley(4)	$	29,591		$	-	$ -	$	29,591
Rick D. Hess	$	78,000		$	170,000	$ -	$	248,000
Jacqueline F. Moloney	$	92,519		$	170,000	$ -	$	262,519
Elizabeth A. Mora	$	102,500		$	170,000	$ -	$	272,500
Michelle M. Warner(5)	$	48,742		$	170,000	$ -	$	218,742

☑		Definitive Proxy Statement

☑		No fee required.


	2021		2020
Audit Fees	$	4,093,450	$	4,143,170
Audit-Related Fees		172,500		-
Tax Fees		239,483		284,204
All Other Fees		376,150		116,052

Total	$	4,881,583	$	4,543,426


Name of Beneficial Owners	Number of Shares Beneficially Owned(1)			Percentage of Common Stock Beneficially Owned
5% shareholders
Black Rock, Inc. 55 East 52^nd Street New York, NY 10055		5,157,397	(2)		9.44%

The Vanguard Group, Inc. 100 Vanguard Blvd. Malvern, PA 19355		5,080,203	(3)		9.31%

Capital International Investors 11100 Santa Monica Boulevard 16th Floor Los Angeles, CA 90025		4,357,432	(4)		7.98%

Wellington Management Group, LLP 280 Congress Street Boston, MA 02210		3,832,320	(5)		7.02%

Named Executive Officers
Gerald G. Colella		98,548	(6)		*
John T.C. Lee		24,704	(7)		*
Seth H. Bagshaw		31,989	(8)		*
Kathleen F. Burke		35,483	(9)		*
John R. Abrams		-	(10)		-

Non-Employee Directors; Director Nominees
Rajeev Batra		2,114			*
Gregory R. Beecher		18,143			*
John R. Bertucci		367,050	(11)		*
Joseph B. Donahue		-	(12)		-
Janice K. Henry		-	(12)		-
Rick D. Hess		3,487			*
Jacqueline F. Moloney		5,232			*
Elizabeth A. Mora		13,837			*
Michelle M. Warner		-			-

All directors, director nominees and executive officers as a group (14 persons)		600,587	(13)		1.10%

Year Became Director

Background and Qualifications

Rajeev Batra

Mr. Batra has served as President of Siemens Digital Industries U.S., an innovation leader in automation and digital transformation in the process and discrete industries, since April 2019. Previously, Mr. Batra served in various senior roles at Siemens U.S., including President of the Digital Factory Division from October 2014 to April 2019, President of the Industry Automation Division from October 2009 to October 2014, Vice President and General Manager, Automation & Motion Division from October 2007 to October 2009, and Vice President and General Manager, Automotive & Aerospace Vertical Markets from October 2002 to October 2007. Mr. Batra is also a director of Amsted Industries, a diversified global manufacturer of industrial components serving primarily the railroad, vehicular, and construction and building markets, Vice Chair of the Board of Trustees and a member of the Executive Committee of the Manufacturers Alliance, a non-profit manufacturing leadership network that offers benchmarking, professional development, and research services, and a member of the Board of Governors of NEMA (National Electrical Manufacturers Association), a trade association of electrical equipment manufacturers, where he previously served as Chair. Mr. Batra received a B.S. in Electrical Engineering from Lawrence Technological University and an M.B.A. from the University of Michigan. Mr. Batra’s 20-plus years in executive leadership roles in broad industrial markets, his extensive portfolio experience in the automation, digitalization and I4.0/IoT areas, and his current role as President of Siemens Digital Industries U.S., qualify him to serve as a member of our Board of Directors.

Peter J. Cannone

Mr. Cannone has served as Chairman and Chief Executive Officer of Demand Science, a global leading revenue intelligence platform delivering a comprehensive suite of business to business solutions, since August 2020. From April 2019 to July 2020, he served as General Partner of Optum Ventures, a healthcare-focused venture capital firm. From July 2018 to April 2019, he served as Chief Executive Officer of UpCurve, Inc., a management company, where he oversaw portfolio firms that provided critical digital, cloud, financial and healthcare solutions to small and midsize businesses. From November 2015 to December 2018, he served as Chief Executive Officer of ThriveHive, a provider of digital marketing services and one of UpCurve’s portfolio firms. From January 2007 to November 2014, he served as President and Chief Executive Officer of OnForce, a leading vendor of SaaS technology-enabled workforce solutions. From 1997 to 2006, he held senior management positions at PC Connection, Inc. and MicroWarehouse. Mr. Cannone holds a B.A. in Economics from the University of Massachusetts, Amherst, and an M.B.A. from Rensselaer Polytechnic Institute. Mr. Cannone’s 25 years of experience in executive leadership and senior management roles, including direct knowledge and experience in mergers and acquisitions, capital raising and financial planning and analysis, qualifies him to serve as a member of our Board of Directors.