Company: MCHB
Filing Date: 2025-07-15
Form Type: S-4/A
Source: 0001140361-25-025920
Chunk: 371

Company: Mechanics Bancorp
Filing Date: 2025-07-15
Form: S-4/A
Chunk 371
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 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, diversified and flexible manner among various asset classes to achieve an acceptable long-term total rate of return in line with broader financial market experience while taking into consideration return opportunities and potential risks presented by the overall economy and financial markets. The Retirement Plan assets reflected in the tables below are the fair values of the plan assets as of the respective reporting dates shown at December 31, 2024 and 2023. Fair value is generally the exchange price that would be received for an asset in the principal or most advantageous market for the asset in an orderly transaction between market participants on the measurement date. The fair value of all equity securities has been determined based upon quoted market prices at the close of market trading on nationally recognized securities exchanges (Level 1