Recent Updates — MCHB

Mechanics Bancorp completed the sale of approximately $417 million in remaining performing indirect auto loans from its subsidiary Mechanics Bank to Bank of America’s trading desk. The transaction occurred on September 16, 2026, with a cutoff date of August 31, 2026, and was executed at a price near book value. Mechanics Bank will retain approximately $13 million of runoff auto loans, which will continue to be serviced by Westlake Portfolio Management. The company stated the sale aims to optimize its balance sheet, reduce risk, improve liquidity, and enhance future profitability. Mechanics Bancorp is a financial holding company operating Mechanics Bank, a full-service FDIC-insured bank providing consumer and business banking services.

Mechanics Bancorp's Board of Directors approved a cash dividend of $0.25 per share for Class A common stock and $2.50 per share for Class B common stock on August 19, 2026. The dividends are payable on September 1, 2026, to shareholders of record as of the close of business on August 29, 2026. Mechanics Bancorp is a financial holding company and parent of Mechanics Bank, providing consumer and commercial banking services across California, Oregon, Washington, and Hawaii.

Mechanics Bancorp reported second quarter 2026 net income of $57.7 million, or $0.25 per diluted share, compared to $44.1 million in the prior quarter. Total assets stood at $21.2 billion with a CET1 ratio of 14.39%. The company paid quarterly dividends of $0.70 per Class A common share and $7.00 per Class B common share during the period. Mechanics substantially completed its HomeStreet Bank merger integration, incurred $5.9 million in acquisition costs, and sold its Fannie Mae DUS business line for approximately $126 million. The firm operates as a financial holding company providing consumer and commercial banking services through Mechanics Bank.