Company: MCHB
Filing Date: 2025-07-16
Form Type: 424B3
Source: 0001140361-25-026051
Chunk: 245

Company: Mechanics Bancorp
Filing Date: 2025-07-16
Form: 424B3
Chunk 245
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 Mason. The consulting agreement provides that, during the Consulting Period, Mr. Mason will provide consulting and advisory services as may be requested from time to time by Mechanics, provided that in no event will Mr. Mason be required to provide services in excess of thirty-two (32) hours per month. In consideration of such services and the restrictive covenants described below, Mechanics will pay Mr. Mason a gross amount of $4,000,000 (collectively, the “Consulting Fee”), payable quarterly in installments in arrears at the end of each calendar quarter during the Consulting Period. Pursuant to the terms of the consulting agreement, in the event of a termination of the Consulting Period prior to the second anniversary of the effective time of the merger, Mechanics will have no further obligation to make further payments of the Consulting Fee, provided that if such termination is by Mechanics other than for Cause (as defined in the consulting agreement) or by Mr. Mason due to any of Mechanics’ or its subsidiaries’ or affiliates’ material breach of the consulting agreement (which breach remains uncured for fifteen (15) days after Mechanics or any of its subsidiaries or affiliates is provided notice of such breach), or occurs as a result of Mr. Mason’s death or Disability, Mr. Mason will continue to receive such payments through the remainder of the scheduled Consulting Period, subject to Mr. Mason’s execution and non-revocation of a release of claims and continued compliance with certain restrictive covenants. Under the consulting agreement, Mr. Mason reaffirms the terms and conditions of that certain Confidentiality Agreement, dated as of March 15, 2017, between Mr. Mason, HomeStreet and HomeStreet Bank. In addition, the consulting agreement provides for (i) certain non-disparagement obligations; (ii) extension of Mr. Mason’s existing non-competition obligations through the Consulting Period and for a period of six (6) months thereafter; and (iii) extension of Mr. Mason’s existing non-solicitation obligations through the Consulting Period and for a period of one (1) year thereafter. The effectiveness of the consulting agreement is conditioned upon the consummation of the merger. Change in Control Severance and Similar Agreements Each of HomeStreet’s executive officers, including each of the named executive officers, is party to an Executive Change in Control Agreement with HomeStreet (the “CIC Agreements”) or an employment agreement with HomeStreet, in each case, which provides for severance payments and benefits in the event that the executive officer