Mechanics (MCHB) Sells Most of its Runoff Auto Portfolio. Can Redeployment Improve Earnings?
Mechanics Bancorp (MCHB) sold $417M of auto loans near book value, retaining $13M. Management aims to reduce risk, improve liquidity, and boost profitability. Success depends on redeploying proceeds effectively. The sale's impact on earnings is uncertain, with potential gains or losses based on new investments and funding costs.

