Company: MCHB
Filing Date: 2025-07-03
Form Type: S-4
Source: 0001140361-25-024872
Chunk: 369

Company: Mechanics Bancorp
Filing Date: 2025-07-03
Form: S-4
Chunk 369
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 to be amortized into net periodic benefit cost for either the Retirement Plan or the Supplemental Plans. The Bank contributed $2.4 million, $4.8 million and $2.4 million to the Supplemental Executive Retirement Plan during the years ended December 31, 2024, 2023 and 2022, respectively, to cover the benefit payments due in those years. Currently, the Bank estimates the contribution amount for 2025 to cover expected annuity payments will be $2.0 million. Net periodic benefit cost for the years ended December 31, 2024, 2023 and 2022 was based on the Pri-2012 separate employee and retiree tables with contingent survivor adjustments for exiting survivors and white collar adjustments with projected future improvements using a modified version of scale MP-2021. Financial disclosures as of December 31, 2024, December 31, 2023 and December 31, 2022 are based on the Pri-2012 separate employee and retiree tables with contingent survivor adjustments for exiting survivors and white collar adjustments with projected future improvements using a modified version of scale MP-2021.

F-39

TABLE OF CONTENTS

The assets of the Retirement Plan are carried in a separate qualified pension trust which is not recorded in the Consolidated Balance Sheets of the Bank. The Bank’s current funding policy is to contribute annually to the qualified Retirement Plan, no less than the minimum funding requirements prescribed by ERISA. The Bank was not required to contribute to the Retirement Plan in 2024, 2023 or 2022. The long-term expected rate of return on Retirement Plan assets is estimated based on the expected future returns and historic returns that the Retirement Plan trust assets earned in the last twenty years. The following table summarizes the composition of the Retirement Plan trust assets as of December 31, 2024 and 2023:

|                                    |     | December 31, 2024 |     | December 31, 2023 |
|:-----------------------------------|:----|------------------:|:----|------------------:|
| Plan assets                        |     |                   |     |                   |
| Debt securities                    |     |                —% |     |               97% |
| Money market instruments and other |     |               100 |     |                 3 |
| Total                              |     |              100% |     |              100% |

The investment policy of the Retirement Plan is to continuously allocate plan assets in a prudent,