2009 Management Bonus Plan

EXHIBIT 10.1

Veeco Instruments Inc.

2009 Management Bonus Plan

February 27, 2009

·                   Profit Sharing: 25% of Participant’s Bonus Target

·                   Based on Total Veeco EBITA results

·                   Calculated and paid quarterly

·                   Payable when EBITA > 5% of Revenue (subject to review/reduction for Q3’09 and Q4’09, at the discretion of the Compensation Committee)

·                   Suspended for Q1’09 and Q2’09 (representing the forfeiture of 12.5% of total target bonus)

·                   Management Bonus: 75% of Participant’s Bonus Target

·                   Metrics (measured and calculated independently)

·                   50% Individual Performance Objectives

·                   25% Net Cash from Operations

·                   25% Revenue

·                   Individual Performance

·                   Awards will be determined and payable on an annual basis

·                   Based on 3 to 5 “SMART” objectives developed for each participant.

·                   Awards range from 0% (for failing to meet minimum expectations) to 100% (for fully achieving the objective).

·                   Awards for Individual Performance are payable even if awards for financial elements are not payable

·                   Financial Performance

·                   Awards based