Company: MCHB
Filing Date: 2025-03-31
Form Type: 425
Source: 0001518715-25-000043
Chunk: 3

Company: Mechanics Bancorp
Filing Date: 2025-03-31
Form: 425
Chunk 3
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 will receive timely updates, in accordance with all disclosure laws and regulations, via branch displays, our website, written correspondence and other channels. Will compensation and benefits change? Upon receipt of regulatory approval and the merger closing, HomeStreet employees will be carefully mapped into the appropriate compensation plans at Mechanics Bank. Any changes to compensation will be clearly communicated.

Mechanics Bank - HomeStreet, Inc./HomeStreet Bank Merger Information – INTERNAL USE ONLY INTERNAL USE ONLY | Not for Public Distribution | March 31, 2025 What happens next (before regulatory approval)? Mechanics will retain the services of a third-party to help us navigate the complex job of planning for integration. More information on next steps, participation and planning will be shared as soon as it’s available. What does the Mechanics team mean when they say “continued prudence with mortgage and commercial real estate lending” in the related investor deck? The discussion in the investor deck is very high level and as we saw in our previous merger transaction, a business units’ operating model will shift as we work through the integration. What does the Mechanics team mean when they say they plan to “explore strategic options to maximize value of multifamily DUS business” in the related investor deck? Should Mechanics leadership choose to enter a joint venture or sell our highly valuable DUS license, it’s important to note our servicing portfolio and our highly skilled, dedicated, in-house team members will be an important part of the offer. What does the Mechanics team mean when they reference “decreased CRE concentration over time” in the related investor deck? Mechanics currently has a CRE concentration of 289% as of December 31, 2024. Upon merger closing, this will increase to an expected 391%. Their strategy going forward is consistent with our current strategy to reduce the on balance sheet concentration of CRE. I have never been involved in a merger and am not sure what to expect. What should I do? Your Human Resources (HR) department and your supervisor or management team will each have information to share at various times. You should continue to perform your job at the direction of your manager and if you have questions, simply ask. You may have a chance to develop new working relationships and to learn new skills to help grow your own skillsets along the way. Until additional information and guidance is provided, every employee should continue in a ‘business-as-usual' manner. One of the biggest challenges during a time like this is the flow of information. A Merger Resources Center page has been created on MyHome