Company: MCHB
Filing Date: 2025-03-07
Form Type: 10-K
Source: 0001518715-25-000026
Chunk: 146

Company: Mechanics Bancorp
Filing Date: 2025-03-07
Form: 10-K
Item: Item 8
Chunk 146
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 vary significantly depending on the location, physical characteristics and income producing potential of each individual property. The quality and volume of market information available at the time of the appraisal can vary from period-to-period and cause significant changes to the nature and magnitude of the unobservable inputs used. Given these variations, changes in these unobservable inputs are generally not a reliable indicator for how fair value will increase or decrease from period to period.The following tables presents assets classified as Level 3 assets that had changes in their recorded fair value during 2024 and 2023 and what we still held at the end of the respective reporting period:(in thousands)Fair ValueTotal Gains (Losses)As of or for the year ended December 31, 2024LHFI (1)$3,269 $(3,114)As of or for the year ended December 31, 2023LHFI (1)$4,349 $(1,410)(1)    Represents the carrying value of loans for which adjustments are based on the fair value of the collateral.

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Fair Value of Financial InstrumentsThe following presents the carrying value, estimated fair value and the levels of the fair value hierarchy for the Company's financial instruments other than assets and liabilities measured at fair value on a recurring basis:  At December 31, 2024(in thousands)CarryingValueFairValueLevel 1Level 2Level 3Assets:Cash and cash equivalents$406,600 $406,600 $406,600 $— $— Investment securities HTM2,301 2,273 — 2,273 — LHFI6,191,766 5,864,426 — — 5,864,426 Mortgage servicing rights – multifamily and SBA26,565 32,361 — — 32,361 Federal Home Loan Bank stock50,676 50,676 — 50,676 — Other assets - GNMA EBO loans5,111 5,111 — — 5,111 Liabilities:Certificates of deposit$3,267,772 $3,262,350 $— $3,262,350 $— Borrowings1,000,000 1,001,873 — 1,001,873 — Long-term debt225,131 184,124 — 184,124 —  At December