Company: MCHB
Filing Date: 2025-07-03
Form Type: S-4
Source: 0001140361-25-024872
Chunk: 43

Company: Mechanics Bancorp
Filing Date: 2025-07-03
Form: S-4
Chunk 43
---
 liquidity and market risk; |

| • | Negative publicity regarding Mechanics, or financial institutions in general, could damage Mechanics’ reputation and adversely impact its business and results of operations; |

| • | Mechanics faces strong competition from other financial institutions and financial service companies, which may adversely affect its operations and financial condition; |

| • | Mechanics is subject to extensive supervision and regulation that could restrict its activities and impose financial requirements or limitations on the conduct of its business and limit its ability to generate income; and |

| • | Mechanics’ failure to comply with stringent capital requirements could result in regulatory criticism, requirements and restrictions, and Mechanics may be subject to more stringent capital requirements in the future. |

HomeStreet’s Reasons for the Merger; Recommendation of the HomeStreet Board of Directors (page 134) After careful consideration, the HomeStreet board of directors, at a special meeting held on March 28, 2025, based upon the information provided to the HomeStreet board and upon such other matters as were deemed relevant by the HomeStreet board, unanimously (i) determined that the merger agreement and the transactions (including, without limitation, the merger, the articles amendment and the share issuance) are fair to and in the best interests of HomeStreet and its shareholders and declared it advisable for HomeStreet to enter into the merger agreement, (ii) adopted and approved the merger agreement and related transaction agreements, the key shareholder voting agreements, the registration rights agreement and the consulting agreement, and (iii) authorized and approved the execution, delivery and performance of the merger agreement and the transactions contemplated thereby, including the merger. Accordingly, the HomeStreet board of directors unanimously recommends that the HomeStreet shareholders vote “FOR” the HomeStreet articles amendment proposal, “FOR” the HomeStreet share issuance proposal, “FOR” the HomeStreet new equity incentive plan proposal, “FOR” the HomeStreet merger-related compensation proposal and “FOR” the HomeStreet adjournment proposal. For a more detailed discussion of the HomeStreet board of directors’ recommendation, see the section entitled “ The Merger—HomeStreet’s Reasons for the Merger; Recommendation of the HomeStreet Board of Directors.”

18

TABLE OF CONTENTS

Mechanics’ Reasons for the Merger; Recommendation of the Mechanics Board of Directors (page 137) After careful consideration, the Mechanics board of directors, at a special meeting held on March 26, 2025, based upon the information provided to the Mechanics board and upon such other matters as were deemed relevant by the Mechanics board, unanimously