At The Bank of the Pacific, the basis of each customer relationship, many of which span generations, is trust. You have chosen to do business with The Bank of the Pacific, and we are obligated to honor that relationship with great care, beginning with the information you have chosen to share with us. We believe that your privacy should not be compromised. At the same time, we want to offer you the array of financial products and services you need to accomplish your financial goals. We believe we can do both through the privacy policy outlined below. For your peace of mind, all data is transmitted using state of the art encryption technology on our secure server. For all of our customers, private information is never sent over the Internet unprotected.

Protecting Online Applications
When you apply online for accounts or services, or enroll for online banking, you provide personal information that is necessary for us to process your application. To ensure that your application remains confidential, the information you submit online from your computer to our secure network is automatically encrypted prior to transmission on the Internet for your protection. The Bank of the Pacific employs a field-proven security infrastructure. After you have submitted your application online, we recommend that you end your browser session before leaving your computer.

How We Handle E-Mail
We preserve the content of your e-mail, your e-mail address and our response, for a reasonable period of time, so that we can efficiently handle any follow-up questions you may have, and to meet legal and regulatory requirements. If we think that a particular bank account or service might apply to your situation, we may occasionally contact you at your e-mail address to inform you of potential benefits and availability. Inquiries sent through our "Contact Us" link may not be secure and our response back to you will not include confidential account information. You may also contact us by phone, U.S. postal mail, or by visiting our nearest branch. See our "Locations" web page for information about our branch locations.

What We Do With Online Surveys
The information you provide on surveys and promotions on our web site will be used for internal marketing purposes, including developing web site information and services that you may find helpful. In addition, we may inform you of new accounts and services from The Bank of the Pacific based on information you provide to us.

Online Planning Tools
There are many planning tools throughout the site to help you make the financial decisions that are right for you in the privacy of your own home. We encourage you to try all of your "what if" scenarios as often as you like. When you use the various planning tools on our web site, the calculations run on your PC or server. We do not capture the personal information you provide on these planning tools. Examples include the Loan Payment Calculator, the Savings Value Calculator, and the IRA calculator.

Protecting Your Online Banking
When you bank online with The Bank of the Pacific, your information is retained on our system or the system of the appropriate affiliate, depending on what is required in order to serve you. We use state-of-the-art Internet technology, supported by service providers to make online banking secure and to protect your personal information. We also require your account number or Social Security Number as I.D. and a password to access your accounts. If you do not provide this information, we cannot establish an online banking service for you. You can help maintain the security of your banking information by not sharing your I.D. or password with anyone, by changing your password regularly, and by remembering to sign off.

Use of "Cookies"
To measure web site activity and address security within Internet Banking, our web site makes use of "cookie" technology. A "cookie" is a small text file placed on your hard drive by our web page server. "Cookies" are commonly used on web sites and do not harm your system. These "cookies" do not contain any confidential information about you, and they cannot be used to capture your e-mail address, obtain data from your hard drive, or gain confidential information about you. "Cookies" sent by The Bank of the Pacific cannot be read by anyone other than The Bank of the Pacific.

The Bank of the Pacific collects standard non-identifying information about visits to our web site such as date and time visited and IP (Internet Protocol) address. Use of this information is restricted to compiling standard statistics that measure the use of the site.

Our data system records certain information when customers access their personal account information via Internet Banking, including transactions they conduct. This data enables us to process and confirm those transactions, and minimize the potential for fraud. "Cookies" contain information that verifies the authenticity of Internet Banking requests and maintains continuity.

Time Out Feature
The Bank of the Pacific's Internet Banking also has a time out feature. This feature automatically logs you out of your session after 15 minutes of inactivity (by use of a "cookie"). However, for privacy reasons, it's always safer to actually log off the system when you finish conducting your bank business, instead of relying on this back-up security feature.

Protecting Your Children's Information
The online financial services offered through The Bank of the Pacific's web site are not designed for or directed toward children under the age of 13. We do not knowingly solicit or collect data from children, and we do not knowingly market to children online without express parental consent or notification. If we receive online information from any child we will only use the information to respond directly to a child's request. We recognize that protecting children's identities and online privacy is important and that responsibility rests with us and with parents. If you believe your child has provided personally identifiable information to us, please contact us so we can allow you the opportunity to review and delete such information. Please call us at 360-642-3777 ext 2225 or toll-free at 888-366-3267.

Collecting Customer Information
The Bank of the Pacific collects nonpublic personal information about you from the following sources:

• Information we receive from you on applications or other forms
• Information about your transactions with us or third party verification systems
• Information we receive from a consumer-reporting agency

Information about consumers is accumulated from a variety of sources. Some information is provided to The Bank of the Pacific directly by customers themselves. Other data is developed by The Bank of the Pacific as a function of providing a product or service to a customer. Still other information is obtained from outside sources. We will limit the use and collection of information about our customers to that which is necessary to administer our business, provide superior service, and offer opportunities that we think will be of interest to customers. This means that we will use information to help us identify and mitigate potential risks or loss to The Bank of the Pacific. We will use information to help identify additional products or services which we believe customers might want to know about. We will use this information only in accordance with the principles set out in this Policy.

Confidentiality and Security
The Bank of the Pacific is committed to the security of your financial and personal information. All of our operational and data processing systems are in a secure environment that protects your account information from being accessed by third parties. We maintain and grant access to customer information only in accordance with our internal security standards.

At The Bank of the Pacific, employees access to personally identifiable customer information is limited to those with a business reason to know such information. Employees are educated on the importance of maintaining the confidentiality of customer information and on these privacy principles. Because of the importance of these issues, all of The Bank of the Pacific employees are responsible for maintaining the confidentiality of customer information and employees who violate these privacy polices will be subject to disciplinary measures. An independent party audits adherence to this policy annually.

Limiting Customer Information We Share
We do not share any Customer Information about our customers or former customers to anyone, except as permitted by law. We do not sell or otherwise share any Customer Information with outside companies for purposes of selling their products or services to you.

Sharing Customer Information with Companies that Work for Us
We may share customer information with our affiliates and certain nonaffiliated third parties in order to provide you products and services that you've requested or already have with us. These companies may include financial service providers such as insurance companies, leasing companies and non-financial companies such as check printing and check services companies. These companies might assist us, for example, in fulfilling your service request or processing your transaction.

In addition, we may share information we receive from you on applications or other forms (such as your name and address) with other financial service providers such as insurance agents and securities broker-dealers with which we have joint marketing agreements.

All of these companies act on our behalf, are contractually obligated to keep the Customer Information that we provide to them confidential, and use the information that we provide them only to provide the services we've asked them to perform for you and us.

Disclosing Customer Information in Other Situations
We may also disclose Customer Information to credit bureaus and similar organizations, and otherwise when permitted by law. For example, this may include a disclosure in connections with a subpoena or similar legal process, a fraud investigation, recording deeds of trust and mortgages in public records, or an audit or examination.

Maintenance of Accurate Information
We continually strive to maintain complete and accurate information about you and your accounts. We provide you with access to your account information through various means such as account statements, telephone banking and online banking.

Should you ever believe that our records contain inaccurate or incomplete information about you, please call or write to us at the telephone number or address listed on your account statement, bank records, or other documentation. We will investigate your concerns and promptly correct any inaccuracies.

Providing Privacy Information to Customers and Responding to Inquiries
Because of The Bank of the Pacific's commitment to the confidentiality of your information, complaints relating to this policy or The Bank of the Pacific's perceived non-compliance with the policy should be forwarded directly to The Bank of the Pacific's Privacy Officer for prompt consideration. At The Bank of the Pacific, we value our customer relationships. We want you to understand how we use the information you provide and our commitment to ensuring your personal privacy.

If you have any questions about how The Bank of the Pacific protects your confidential information, please call Wendy Strange, Privacy Officer at 360-642-3777 ext 2225.

The Bank of the Pacific
300 East Market Street
P.O. Box 1826
Aberdeen, WA 98520