Company: MCHB
Filing Date: 2025-07-03
Form Type: S-4
Source: 0001140361-25-024872
Chunk: 251

Company: Mechanics Bancorp
Filing Date: 2025-07-03
Form: S-4
Chunk 251
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 the year prior to termination or the executive’s target incentive payment for the current year); |

| • | for Messrs. Michel, Endresen, Evans and Iseman, a lump sum payment equal to the cost of providing continuing health insurance coverage for 18 months; and |

| • | for Messrs. Michel, Endresen and Evans and Iseman immediate vesting of all unvested equity awards. For an estimate of the value of the payments and benefits described above that would be payable to HomeStreet’s named executive officers upon a qualifying termination in connection with the merger, see the section entitled “Golden Parachute Compensation.” The estimated aggregate value of the severance and other benefits described above that would be payable to HomeStreet’s eight (8) executive officers who are not named executive officers under their CIC Agreement or employment agreement, as applicable, if the effective time occurred on June 16, 2025 and each executive officer experienced a qualifying termination on that date is $11,182,621. These amounts do not reflect any possible reductions under the Section 280G “net-better” cutback provision included in the CIC Agreements and employment agreements. |

Pursuant to the merger agreement, Mechanics acknowledges that the transactions contemplated by the merger agreement will constitute a “change in control” under the terms of the CIC Agreements, employment agreements and other Parent Benefit Plans (as defined in the merger agreement). Good Reason Terminations and Corresponding Change in Control Payments at Closing Mechanics and HomeStreet have agreed that the employment of Mark Mason, John Michel, Godfrey Evans, Jay Iseman, Paulette Lemon, William Endresen, Darrell van Amen, Marlene Price, Erik Hand and Diane Novak (collectively, the “Separating Executives”) will terminate as of the day following the, and subject to the occurrence of the, effective time of the merger. The parties have agreed that each such termination of employment will constitute a termination without Cause or for Good Reason (each capitalized term, as defined in the applicable CIC Agreement or employment agreement), entitling the applicable Separating Executive to the severance payments and benefits contemplated by, and in accordance with the terms of, the Separating Executive’s CIC Agreement and employment agreement, as applicable. Annual Incentive Plan Pursuant to the merger agreement, Mechanics will cause bonuses under HomeStreet’s annual cash incentive program for the fiscal year in which closing occurs (“Closing Year Bonuses”) to be paid based