<SEC-DOCUMENT>0000936528-18-000020.txt : 20180301
<SEC-HEADER>0000936528-18-000020.hdr.sgml : 20180301
<ACCEPTANCE-DATETIME>20180228190023
ACCESSION NUMBER:		0000936528-18-000020
CONFORMED SUBMISSION TYPE:	8-K
PUBLIC DOCUMENT COUNT:		3
CONFORMED PERIOD OF REPORT:	20180228
ITEM INFORMATION:		Other Events
ITEM INFORMATION:		Financial Statements and Exhibits
FILED AS OF DATE:		20180301
DATE AS OF CHANGE:		20180228

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			WASHINGTON FEDERAL INC
		CENTRAL INDEX KEY:			0000936528
		STANDARD INDUSTRIAL CLASSIFICATION:	NATIONAL COMMERCIAL BANKS [6021]
		IRS NUMBER:				911661606
		STATE OF INCORPORATION:			WA
		FISCAL YEAR END:			0930

	FILING VALUES:
		FORM TYPE:		8-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-34654
		FILM NUMBER:		18653730

	BUSINESS ADDRESS:	
		STREET 1:		425 PIKE STREET
		CITY:			SEATTLE
		STATE:			WA
		ZIP:			98101
		BUSINESS PHONE:		2066247930

	MAIL ADDRESS:	
		STREET 1:		425 PIKE ST
		CITY:			SEATTLE
		STATE:			WA
		ZIP:			98101
</SEC-HEADER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>a8-korderfeb282018.htm
<DESCRIPTION>8-K
<TEXT>
<!DOCTYPE html PUBLIC "-//W3C//DTD HTML 4.01 Transitional//EN" "http://www.w3.org/TR/html4/loose.dtd">
<html>
	<head>
		<!-- Document created using Wdesk 1 -->
		<!-- Copyright 2018 Workiva -->
		<title>Document</title>
	</head>
	<body style="font-family:Times New Roman;font-size:10pt;">
<div><a name="s362b3cded7894de6989cedee1cd39427"></a></div><div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><div><br></div><div style="line-height:120%;text-align:center;font-size:10pt;"><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;margin-left:auto;margin-right:auto;width:100%;border-collapse:collapse;text-align:left;"><tr><td colspan="1"></td></tr><tr><td style="width:100%;"></td></tr><tr><td style="vertical-align:bottom;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="overflow:hidden;height:5px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td></tr></table></div></div><div style="line-height:120%;padding-top:4px;text-align:center;font-size:18pt;"><font style="font-family:inherit;font-size:18pt;font-weight:bold;">UNITED STATES</font></div><div style="line-height:120%;text-align:center;font-size:18pt;"><font style="font-family:inherit;font-size:18pt;font-weight:bold;">SECURITIES AND EXCHANGE COMMISSION</font></div><div style="line-height:120%;text-align:center;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-weight:bold;">Washington, D.C. 20549</font></div><div style="line-height:120%;padding-top:5px;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">____________________________________</font></div><div style="line-height:120%;padding-top:6px;text-align:center;font-size:18pt;"><font style="font-family:inherit;font-size:18pt;font-weight:bold;">FORM 8-K</font></div><div style="line-height:120%;padding-top:5px;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">____________________________________</font></div><div style="line-height:120%;padding-top:5px;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div><div style="line-height:120%;padding-top:6px;text-align:center;font-size:14pt;"><font style="font-family:inherit;font-size:14pt;font-weight:bold;">CURRENT REPORT</font></div><div style="line-height:120%;padding-top:12px;text-align:center;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-weight:bold;">Pursuant to Section&#160;13 or 15(d) of the</font></div><div style="line-height:120%;text-align:center;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-weight:bold;">Securities Exchange Act of 1934</font></div><div style="line-height:120%;padding-top:12px;text-align:center;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-weight:bold;">Date of Report (Date of earliest event reported): February 28, 2018</font></div><div style="line-height:120%;padding-top:5px;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;____________________________________</font></div><div style="line-height:120%;padding-top:6px;text-align:center;font-size:24pt;"><font style="font-family:inherit;font-size:24pt;font-weight:bold;">Washington Federal, Inc.</font></div><div style="line-height:120%;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;">(Exact name of registrant as specified in its charter)</font></div><div style="line-height:120%;padding-top:5px;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;____________________________________</font></div><div style="line-height:120%;text-align:center;font-size:10pt;"><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;margin-left:auto;margin-right:auto;width:100%;border-collapse:collapse;text-align:left;"><tr><td colspan="5"></td></tr><tr><td style="width:31%;"></td><td style="width:1%;"></td><td style="width:37%;"></td><td style="width:1%;"></td><td style="width:30%;"></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td></tr><tr><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;">Washington</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;">001-34654</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;">91-1661606</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:center;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;font-weight:bold;text-align:center;">(State or other jurisdiction</font></div><div style="padding-bottom:1px;text-align:center;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;font-weight:bold;text-align:center;">of incorporation)</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:center;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;font-weight:bold;text-align:center;">(Commission</font></div><div style="padding-bottom:1px;text-align:center;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;font-weight:bold;text-align:center;">File Number)</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:center;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;font-weight:bold;text-align:center;">(IRS Employer</font></div><div style="padding-bottom:1px;text-align:center;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;font-weight:bold;text-align:center;">Identification No.)</font></div></td></tr></table></div></div><div style="line-height:120%;padding-top:12px;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;">425 Pike Street, Seattle, Washington 98101</font></div><div style="line-height:120%;text-align:center;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;font-weight:bold;">(Address of principal executive offices)(Zip Code)</font></div><div style="line-height:120%;padding-top:12px;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;">Registrant&#8217;s telephone number, including area code (206)&#160;624-7930</font></div><div style="line-height:120%;padding-top:12px;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;">Not Applicable</font></div><div style="line-height:120%;text-align:center;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;font-weight:bold;">(Former name or former address, if changed since last report)</font></div><div style="line-height:120%;padding-top:5px;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">____________________________________&#160;</font></div><div style="line-height:120%;padding-top:6px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):</font></div><div style="line-height:120%;font-size:10pt;"><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;width:80.078125%;border-collapse:collapse;text-align:left;"><tr><td colspan="3"></td></tr><tr><td style="width:7%;"></td><td style="width:4%;"></td><td style="width:89%;"></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:10pt;"><font style="font-family:Wingdings;font-size:10pt;">o</font></div></td><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;">&#160;</font></div></td><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)</font></div></td></tr></table></div></div><div style="line-height:120%;font-size:10pt;"><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;width:80.46875%;border-collapse:collapse;text-align:left;"><tr><td colspan="3"></td></tr><tr><td style="width:7%;"></td><td style="width:4%;"></td><td style="width:89%;"></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:10pt;"><font style="font-family:Wingdings;font-size:10pt;">o</font></div></td><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;">&#160;</font></div></td><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)</font></div></td></tr></table></div></div><div style="line-height:120%;font-size:10pt;"><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;width:97.65625%;border-collapse:collapse;text-align:left;"><tr><td colspan="3"></td></tr><tr><td style="width:6%;"></td><td style="width:3%;"></td><td style="width:91%;"></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:10pt;"><font style="font-family:Wingdings;font-size:10pt;">o</font></div></td><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;">&#160;</font></div></td><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))</font></div></td></tr></table></div></div><div style="line-height:120%;font-size:10pt;"><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;width:97.265625%;border-collapse:collapse;text-align:left;"><tr><td colspan="3"></td></tr><tr><td style="width:6%;"></td><td style="width:3%;"></td><td style="width:91%;"></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:10pt;"><font style="font-family:Wingdings;font-size:10pt;">o</font></div></td><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;">&#160;</font></div></td><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))</font></div></td></tr></table></div></div><div style="line-height:120%;padding-bottom:6px;padding-top:6px;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1934 (&#167;240.12b-2 of this chapter). </font></div><div style="line-height:120%;padding-bottom:6px;padding-top:6px;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Emerging growth company </font><font style="font-family:Wingdings;font-size:10pt;">o</font></div><div style="line-height:120%;padding-bottom:6px;padding-top:6px;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. </font><font style="font-family:Wingdings;font-size:10pt;">o</font></div><div style="line-height:120%;padding-top:12px;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).&#160;&#160;&#160;&#160;Yes&#160;&#160;</font><font style="font-family:Wingdings;font-size:10pt;">o</font><font style="font-family:inherit;font-size:10pt;">&#160;&#160;&#160;&#160;No&#160;&#160;</font><font style="font-family:Wingdings;font-size:10pt;">x</font></div><div><br></div><div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><hr style="page-break-after:always"><div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><div><br></div><div style="line-height:120%;padding-top:4px;text-align:center;font-size:10pt;"><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;margin-left:auto;margin-right:auto;width:100%;border-collapse:collapse;text-align:left;"><tr><td colspan="1"></td></tr><tr><td style="width:100%;"></td></tr><tr><td style="vertical-align:bottom;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="overflow:hidden;height:5px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td></tr></table></div></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div><a name="s356ac085d35047d9854b5df60c3b7406"></a></div><div style="line-height:120%;text-align:left;-sec-extract:summary;font-size:12pt;"><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;width:680px;border-collapse:collapse;text-align:left;"><tr><td colspan="2"></td></tr><tr><td style="width:80px;"></td><td style="width:600px;"></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-weight:bold;">Item 8.01</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-weight:bold;">Other Events</font></div></td></tr></table></div></div><div style="line-height:120%;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">As previously reported, Washington Federal, National Association (the &#8220;Bank&#8221;), the national bank subsidiary of Washington Federal, Inc. (the &#8220;Company&#8221;), announced on September 27, 2017 that it was taking steps to remediate certain issues with respect to the Bank&#8217;s procedures, systems and processes relating to its Bank Secrecy Act (&#8220;BSA&#8221;) program.  On February 28, 2018, pursuant to a Stipulation and Consent to the Issuance of a Consent Order (the &#8220;Stipulation&#8221;), the Office of the Comptroller of the Currency issued a Consent Order relating to the Bank, the terms of which are intended to further enhance the Bank&#8217;s BSA program.  </font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">The foregoing description of the Consent Order does not purport to be complete and is qualified in its entirety by reference to the Stipulation and the Consent Order, copies of which are attached hereto as Exhibits 99.1 and 99.2, respectively, and incorporated by reference into this Item 8.01.  </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">The Bank expects to continue to incur significant expenses as it strengthens its BSA program and implements additional policies and procedures associated with complying with the Consent Order.  The Bank does not expect to pursue acquisitions or branch expansion until its BSA program has improved.  Issuance of the Consent Order does not preclude further government action with respect to the Bank&#8217;s BSA program, including the imposition of fines, sanctions, additional expenses and compliance costs, and/or restrictions on the activities of the Bank.  </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:10pt;"></font><font style="font-family:inherit;font-size:11pt;">The Company&#8217;s management remains confident in the Company&#8217;s prospects as it executes its business plan, including the strengthening of its BSA program as called for in the Consent Order.  The Bank&#8217;s regulatory capital ratios continue to exceed well-capitalized regulatory requirements and were among the highest among the top 100 publicly traded banks in the United States at December 31, 2017 based on Common Equity Tier 1 Capital Ratio.  The Company continues to execute its expanded share repurchase program announced on January 24, 2018.  On the same date, the Company announced that its board of directors had increased its quarterly dividend by 2 cents to 17 cents per share.</font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:12pt;"><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;width:680px;border-collapse:collapse;text-align:left;"><tr><td colspan="2"></td></tr><tr><td style="width:80px;"></td><td style="width:600px;"></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-weight:bold;">Item 9.01</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-weight:bold;">Financial Statements and Exhibits</font></div></td></tr></table></div></div><div style="line-height:120%;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(a) Not applicable</font></div><div style="line-height:120%;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(b) Not applicable</font></div><div style="line-height:120%;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(c) Not applicable</font></div><div style="line-height:120%;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(d) The following exhibits are being furnished herewith:</font></div><div style="line-height:120%;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;width:93.5546875%;border-collapse:collapse;text-align:left;"><tr><td colspan="3"></td></tr><tr><td style="width:12%;"></td><td style="width:3%;"></td><td style="width:85%;"></td></tr><tr><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:right;font-size:11pt;"><a style="text-decoration:underline;color:#0000FF;-sec-extract:exhibit;" href="wafd8-kexhibit991stipulati.htm"><font style="font-family:inherit;font-size:11pt;">99.1</font></a></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><a style="text-decoration:underline;color:#0000FF;-sec-extract:exhibit;" href="wafd8-kexhibit991stipulati.htm"><font style="font-family:inherit;font-size:11pt;">Stipulation and Consent to the Issuance of a Consent Order dated February 28, 2018</font></a></div><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div></td></tr><tr><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:right;font-size:11pt;"><a style="text-decoration:underline;color:#0000FF;-sec-extract:exhibit;" href="wafd8-kexhibit992order.htm"><font style="font-family:inherit;font-size:11pt;">99.2</font></a></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><a style="text-decoration:underline;color:#0000FF;-sec-extract:exhibit;" href="wafd8-kexhibit992order.htm"><font style="font-family:inherit;font-size:11pt;">Consent Order dated February 28, 2018</font></a></div><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div></td></tr></table></div></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-style:italic;font-weight:bold;">Forward Looking Statements </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">The statements made by the Company in this Current Report on Form 8-K</font><font style="font-family:inherit;font-size:10pt;">&#32;</font><font style="font-family:inherit;font-size:11pt;">concerning the Company&#8217;s remediation efforts associated with its BSA program, possible actions of government authorities related thereto and the potential impact of such matters on the Company&#8217;s business initiatives, share repurchases and dividends constitute forward-looking statements.  Words such as &#8220;expects,&#8221; &#8220;anticipates,&#8221; &#8220;believes,&#8221; &#8220;estimates,&#8221; &#8220;intends,&#8221; &#8220;forecasts,&#8221; &#8220;projects&#8221; and other similar expressions or future or conditional verbs such as &#8220;will,&#8221; &#8220;should,&#8221; &#8220;would&#8221; and &#8220;could&#8221; are intended to help identify such forward-looking statements.  These statements are not </font></div><div><br></div><div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><hr style="page-break-after:always"><div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><div><br></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">historical facts, but instead represent current expectations, plans or forecasts of the Company and are based on the beliefs and assumptions of the management of the Company and the information available to management at the time that these disclosures were prepared.  The Company intends for all such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and the provisions of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934.  These statements are not guarantees of future results or performance and involve certain risks, uncertainties and assumptions that are difficult to predict and often are beyond the Company&#8217;s control. Actual outcomes and results may differ materially from those expressed in, or implied by, the Company&#8217;s forward-looking statements.</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">You should not place undue reliance on any forward-looking statement and should consider the following uncertainties and risks, as well as the risks and uncertainties discussed elsewhere in this report and in any of the Company&#8217;s other Securities and Exchange Commission filings, which could cause the Company&#8217;s future results to differ materially from the plans, objectives, goals, estimates, intentions, and expectations expressed in forward-looking statements:  the success of the Company at managing the risks involved in the remediation efforts associated with its BSA program; costs of enhancements to the Bank&#8217;s BSA program are greater than anticipated; and governmental authorities undertake enforcement actions or legal proceedings with respect to the Bank&#8217;s BSA program beyond those contemplated by the Consent Order.  All forward-looking statements speak only as of the date on which such statements are made, and the Company undertakes no obligation to update or revise any forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events, changes to future operating results over time, or the impact of circumstances arising after the date the forward-looking statement was made.</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div><a name="s958c27b6ee304d2d8326d194325e1f03"></a></div><div style="line-height:120%;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;">SIGNATURES</font></div><div style="line-height:120%;padding-top:12px;text-indent:32px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.</font></div><div style="line-height:120%;font-size:9pt;"><font style="font-family:inherit;font-size:9pt;">&#160;</font></div><div style="line-height:120%;font-size:10pt;"><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;width:96.09375%;border-collapse:collapse;text-align:left;"><tr><td colspan="7"></td></tr><tr><td style="width:24%;"></td><td style="width:1%;"></td><td style="width:25%;"></td><td style="width:1%;"></td><td style="width:4%;"></td><td style="width:1%;"></td><td style="width:44%;"></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">February 28, 2018</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td colspan="3" style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">WASHINGTON FEDERAL, INC.</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td colspan="2" style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td colspan="2" style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td colspan="2" style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">By:</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:20px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;text-decoration:underline;">/s/ VINCENT L. BEATTY</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:12px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Vincent L. Beatty</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:12px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Executive Vice President</font></div><div style="padding-bottom:1px;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">and Chief Financial Officer</font></div></td></tr></table></div></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div><br></div><div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div>	</body>
</html>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99.1
<SEQUENCE>2
<FILENAME>wafd8-kexhibit991stipulati.htm
<DESCRIPTION>EXHIBIT 99.1
<TEXT>
<!DOCTYPE html PUBLIC "-//W3C//DTD HTML 4.01 Transitional//EN" "http://www.w3.org/TR/html4/loose.dtd">
<html>
	<head>
		<!-- Document created using Wdesk 1 -->
		<!-- Copyright 2018 Workiva -->
		<title>Exhibit</title>
	</head>
	<body style="font-family:Times New Roman;font-size:10pt;">
<div><a name="s74988202ea9e4eb6aa5a73ee82a2d8c0"></a></div><div></div><div><br></div><div style="line-height:120%;text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Exhibit 99.1</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">&#160;</font></div><div style="line-height:120%;text-align:center;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">&#32;</font><font style="font-family:inherit;font-size:12pt;font-weight:bold;">UNITED STATES OF AMERICA </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">DEPARTMENT OF THE TREASURY </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">COMPTROLLER OF THE CURRENCY</font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;margin-left:auto;margin-right:auto;width:75%;border-collapse:collapse;text-align:left;"><tr><td colspan="3"></td></tr><tr><td style="width:58%;"></td><td style="width:7%;"></td><td style="width:35%;"></td></tr><tr><td style="vertical-align:bottom;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">In the Matter of: </font></div><div style="font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Washington Federal, National Association </font></div><div style="font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Seattle, Washington </font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">)</font></div><div style="font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">)</font></div><div style="font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">) </font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">AA-WE-2018-1 </font></div></td></tr></table></div></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">&#32;</font><font style="font-family:inherit;font-size:12pt;font-weight:bold;">STIPULATION AND CONSENT TO THE ISSUANCE </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">OF A CONSENT ORDER </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">WHEREAS</font><font style="font-family:inherit;font-size:11pt;">, the Comptroller of the Currency of the United States of America ("Comptroller") intends to initiate cease and desist proceedings against Washington Federal, National Association, Seattle, Washington ("Bank"), pursuant to 12 U.S.C. &#167; 1818(b), for violations of 12 U.S.C. &#167; 1818(s) and Bank Secrecy Act regulations, 12 C.F.R. &#167;&#167; 21.11 and 21.21. </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">WHEREAS</font><font style="font-family:inherit;font-size:11pt;">, the Bank, through its duly elected and acting Board of Directors ("Board"), and in the interest of compliance and cooperation, consents to the issuance of a Consent Order, dated February 28, 2018 ("Order") by executing this Stipulation and Consent to the Issuance of a Consent Order ("Stipulation"). </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">NOW, THEREFORE</font><font style="font-family:inherit;font-size:11pt;">, in consideration of the above premises, the Comptroller, through his authorized representative, and the Bank, through its duly elected and acting Board of Directors, hereby stipulate and agree to the following: </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">ARTICLE I </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;text-decoration:underline;">JURISDICTION</font><font style="font-family:inherit;font-size:11pt;font-weight:bold;">&#32;</font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(1) &#160;&#160;&#160;&#160;The Bank is a national banking association chartered and examined by the Comptroller pursuant to the National Bank Act of 1864, as amended, 12 U.S.C. &#167; 1 </font><font style="font-family:inherit;font-size:11pt;font-style:italic;">et seq.</font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(2) &#160;&#160;&#160;&#160;The Comptroller is the "appropriate Federal banking agency" regarding the Bank pursuant to 12 U.S.C. &#167;&#167; 1813(q) and 1818(b). </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(3) The Bank is an "insured depository institution" within the meaning of 12 U.S.C. &#167; 1818(b)(1). </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">ARTICLE II </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;text-decoration:underline;">AGREEMENT</font><font style="font-family:inherit;font-size:11pt;font-weight:bold;">&#32;</font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(1) &#160;&#160;&#160;&#160;The Bank, without admitting or denying any wrongdoing, hereby consents and agrees to the issuance of the Order by the Comptroller. </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(2) &#160;&#160;&#160;&#160;The Bank further agrees that the Order shall be deemed an "order issued with the consent of the depository institution" as defined in 12 U.S.C. &#167; 1818(h)(2), and consents and agrees that the Order shall become effective upon its issuance and shall be fully enforceable by the Comptroller under the provisions of 12 U.S.C. &#167; 1818(i).</font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(3) &#160;&#160;&#160;&#160;Notwithstanding the absence of mutuality of obligation, or of consideration, or of a contract, the Comptroller may enforce any of the commitments or obligations herein undertaken by the Bank under his </font></div><div><br></div><div><div style="line-height:120%;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Page 1</font></div></div><hr style="page-break-after:always"><div></div><div><br></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">supervisory powers, including 12 U.S.C. &#167; 1818(i), and not as a matter of contract law. The Bank expressly acknowledges that neither the Bank nor the Comptroller has any intention to enter into a contract. </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(4) &#160;&#160;&#160;&#160;The Bank declares that no separate promise or inducement of any kind has been made by the Comptroller, or by his agents or employees, to cause or induce the Bank to consent to the issuance of the Order and/or execute the Order. </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(5) &#160;&#160;&#160;&#160;The Bank expressly acknowledges that no officer or employee of the Comptroller has statutory or other authority to bind the United States, the U.S. Treasury Department, the Comptroller, or any other Federal bank regulatory agency or entity, or any officer or employee of any of those entities to a contract affecting the Comptroller&#8217;s exercise of his supervisory responsibilities. </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(6) &#160;&#160;&#160;&#160;The terms and provisions of this Stipulation and the Order shall be binding upon, and inure to the benefit of, the parties hereto and their successors in interest. Nothing in this Stipulation or the Order, express or implied, shall give to any person or entity, other than the parties hereto, and their successors hereunder, any benefit or any legal or equitable right, remedy or claim under this Stipulation or the Order. </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">ARTICLE III </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;text-decoration:underline;">WAIVERS </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(1) &#160;&#160;&#160;&#160;The Bank, by executing this Stipulation and consenting to the Order, hereby waives: </font></div><div style="line-height:120%;text-align:left;padding-left:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:justify;padding-left:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(a) &#160;&#160;&#160;&#160;the issuance of a Notice of Charges pursuant to 12 U.S.C. &#167; 1818(b); </font></div><div style="line-height:120%;text-align:justify;padding-left:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:justify;padding-left:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(b) &#160;&#160;&#160;&#160;any and all procedural rights available in connection with the issuance of the Order; </font></div><div style="line-height:120%;text-align:justify;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:justify;padding-left:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(c) &#160;&#160;&#160;&#160;any and all rights to a hearing and a final agency decision pursuant to 12 U.S.C. &#167;&#167; 1818(b) and (h), and 12 C.F.R. Part 19; </font></div><div style="line-height:120%;text-align:justify;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:justify;padding-left:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(d) &#160;&#160;&#160;&#160;any and all rights to seek any type of administrative or judicial review of the Order; </font></div><div style="line-height:120%;text-align:justify;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:justify;padding-left:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(e) &#160;&#160;&#160;&#160;any and all claims for fees, costs, or expenses against the Comptroller, or any of his agents, officers or employees, related in any way to this enforcement matter or the Consent Order, whether arising under common law or under the terms of any statute, including, but not limited to, the Equal Access to Justice Act, 5 U.S.C. &#167; 504 and 28 U.S.C. &#167; 2412;</font></div><div style="line-height:120%;text-align:justify;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:justify;padding-left:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(f) &#160;&#160;&#160;&#160;any and all rights to assert this proceeding, this Stipulation, consent to the issuance of the Consent Order, and/or the issuance of the Consent Order, as the basis for a claim of double jeopardy in any pending or future proceeding brought by the United States Department of Justice, or any other governmental entity; and </font></div><div style="line-height:120%;text-align:justify;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:justify;padding-left:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(g) &#160;&#160;&#160;&#160;any and all rights to challenge or contest the validity of the Order. </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">ARTICLE IV </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;text-decoration:underline;">ELIGIBLE BANK - OTHER PROVISIONS</font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">&#160;</font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(1) As a result of the Order: </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(a) &#160;&#160;&#160;&#160;the Bank is an "eligible bank" pursuant to 12 C.F.R. &#167; 5.3(g)(5) for the purposes of 12 C.F.R. Part 5 regarding rules, policies, and procedures for corporate activities, unless otherwise informed in writing by the OCC; </font></div><div style="line-height:120%;text-align:left;padding-left:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div><br></div><div><div style="line-height:120%;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Page 2</font></div></div><hr style="page-break-after:always"><div></div><div><br></div><div style="line-height:120%;text-align:left;padding-left:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(b) &#160;&#160;&#160;&#160;the Bank is not subject to the limitation of 12 C.F.R. &#167; 5.51(c)(7)(ii) for the purposes of 12 C.F.R. &#167; 5.51 requiring OCC approval of a change in directors and senior executive officers, unless otherwise informed in writing by the OCC; </font></div><div style="line-height:120%;text-align:left;padding-left:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(c) &#160;&#160;&#160;&#160;The Bank is not subject to the limitation on golden parachute and indemnification payments provided by 12 C.F.R. &#167; 359.1(f)(1)(ii)(C) and 12 C.F.R. &#167; 5.51(c)(7)(ii), unless otherwise informed in writing by the OCC; </font></div><div style="line-height:120%;text-align:left;padding-left:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(d) &#160;&#160;&#160;&#160;The Bank&#8217;s status as an "eligible bank" remains unchanged pursuant to 12 C.F.R. &#167; 24.2(e)(4) for the purposes of 12 C.F.R. Part 24 regarding community and economic development, unless otherwise informed in writing by the OCC; and </font></div><div style="line-height:120%;text-align:left;padding-left:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(e) &#160;&#160;&#160;&#160;The Order shall not be construed to be a "written agreement, order, or capital directive" within the meaning of 12 C.F.R. &#167; 6.4, unless the OCC informs the Bank otherwise in writing. </font></div><div style="line-height:120%;text-align:left;padding-left:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">ARTICLE V </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;text-decoration:underline;">CLOSING</font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(1) &#160;&#160;&#160;&#160;The provisions of this Stipulation shall not inhibit, estop, bar, or otherwise prevent the Comptroller from taking any other action affecting the Bank if, at any time, it deems it appropriate to do so to fulfill the responsibilities placed upon it by the several laws of the United States of America. </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(2) &#160;&#160;&#160;&#160;Nothing in this Stipulation shall preclude any proceedings brought by the Comptroller to enforce the terms of the Order, and nothing in this Stipulation constitutes, nor shall the Bank contend that it constitutes, a waiver of any right, power, or authority of any other representative of the United States or any agency thereof, including, without limitation, the United States Department of Justice, to bring other actions deemed appropriate.</font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">&#160;</font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(3) &#160;&#160;&#160;&#160;The terms of this Stipulation, including this paragraph, and the Order are not subject to amendment or modification by any extraneous expression, prior agreements, or prior arrangements between the parties, whether oral or written.</font></div><div><br></div><div><div style="line-height:120%;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Page 3</font></div></div><hr style="page-break-after:always"><div></div><div><br></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">IN TESTIMONY WHEREOF</font><font style="font-family:inherit;font-size:11pt;">, the undersigned, authorized by the Comptroller as his representative, has hereunto set his hand on behalf of the Comptroller.</font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;width:71.6796875%;border-collapse:collapse;text-align:left;"><tr><td colspan="3"></td></tr><tr><td style="width:45%;"></td><td style="width:8%;"></td><td style="width:47%;"></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">/s/ NORMAN J. MCINTYRE</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">February 28, 2018</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">Norman J. McIntyre </font></div><div style="font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Assistant Deputy Comptroller </font></div><div style="font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Seattle Field Office </font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Date</font></div></td></tr></table></div></div><div><br></div><div><div style="line-height:120%;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Page 4</font></div></div><hr style="page-break-after:always"><div></div><div><br></div><div style="line-height:120%;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">IN TESTIMONY WHEREOF</font><font style="font-family:inherit;font-size:11pt;">, the undersigned, as the duly elected and acting Board of the Bank, have hereunto set their hands on behalf of the Bank. </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;width:62.6953125%;border-collapse:collapse;text-align:left;"><tr><td colspan="3"></td></tr><tr><td style="width:51%;"></td><td style="width:9%;"></td><td style="width:40%;"></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">/s/ BRENT BEARDALL</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">February 28, 2018</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Brent Beardall</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Date </font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">/s/ DAVID GRANT</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">February 28, 2018</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">David Grant </font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Date </font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">/s/ ANNA C. JOHNSON</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">February 28, 2018</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Anna C. Johnson </font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Date </font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">/s/ THOMAS J. KELLEY</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">February 28, 2018</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Thomas J. Kelley </font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Date </font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">/s/ ERIN LANTZ</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">February 28, 2018</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Erin Lantz </font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Date </font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">/s/ BARBARA L. SMITH</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">February 28, 2018</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Barbara L. Smith </font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Date </font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">/s/ MARK N. TABBUTT</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">February 28, 2018</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Mark N. Tabbutt </font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Date </font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">/s/ RANDY TALBOT</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">February 28, 2018</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Randy Talbot </font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Date </font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:20px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">/s/ ROY M. WHITEHEAD</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">February 28, 2018</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Roy M. Whitehead </font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Date</font></div></td></tr></table></div></div><div style="line-height:120%;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div><br></div><div><div style="line-height:120%;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Page 5</font></div></div>	</body>
</html>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99.2
<SEQUENCE>3
<FILENAME>wafd8-kexhibit992order.htm
<DESCRIPTION>EXHIBIT 99.2
<TEXT>
<!DOCTYPE html PUBLIC "-//W3C//DTD HTML 4.01 Transitional//EN" "http://www.w3.org/TR/html4/loose.dtd">
<html>
	<head>
		<!-- Document created using Wdesk 1 -->
		<!-- Copyright 2018 Workiva -->
		<title>Exhibit</title>
	</head>
	<body style="font-family:Times New Roman;font-size:10pt;">
<div><a name="sb7d9a0858f004835adadcb13eea1388e"></a></div><div><div style="line-height:120%;text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><div><br></div><div style="line-height:120%;text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Exhibit 99.2</font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-weight:bold;">&#32;UNITED STATES OF AMERICA </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">DEPARTMENT OF THE TREASURY </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">COMPTROLLER OF THE CURRENCY</font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;margin-left:auto;margin-right:auto;width:75%;border-collapse:collapse;text-align:left;"><tr><td colspan="3"></td></tr><tr><td style="width:58%;"></td><td style="width:7%;"></td><td style="width:35%;"></td></tr><tr><td style="vertical-align:bottom;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">In the Matter of: </font></div><div style="font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Washington Federal, National Association </font></div><div style="font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Seattle, Washington </font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">)</font></div><div style="font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">)</font></div><div style="font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">) </font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">AA-WE-2018-1 </font></div></td></tr></table></div></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">&#32;</font><font style="font-family:inherit;font-size:12pt;font-weight:bold;">CONSENT ORDER</font></div><div style="line-height:120%;text-align:center;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">WHEREAS, the Comptroller of the Currency of the United States of America ("Comptroller" or "OCC"), through his authorized representative, has supervisory authority over Washington Federal, National Association, Seattle, Washington ("Bank"). </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">WHEREAS, the Bank, by and through its duly elected and acting Board of Directors ("Board"), has executed a Stipulation and Consent to the Issuance of a Consent Order ("Stipulation"), dated February 28, 2018, that is accepted by the Comptroller through his authorized representative.</font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">&#160;</font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">WHEREAS, by this Stipulation, which is incorporated by reference, the Bank has consented to the issuance of this Consent Order ("Order") by the OCC, through the Comptroller&#8217;s authorized representative. </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">NOW THEREFORE, pursuant to the authority vested in the OCC by Section 8(b) of the Federal Deposit Insurance Act, as amended, 12 U.S.C. &#167; 1818(b), the Comptroller hereby orders that: </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">ARTICLE I </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;text-decoration:underline;">COMPTROLLER&#8217;S FINDINGS </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">The Comptroller finds, and the Bank neither admits nor denies, the following: </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(1) &#160;&#160;&#160;&#160;The OCC&#8217;s examination findings establish that the Bank has deficiencies in its Bank Secrecy Act/Anti-Money Laundering ("BSA/AML") compliance program. The Bank has failed to adopt and implement a BSA/AML compliance program that adequately covers the required BSA/AML program elements. These deficiencies have resulted in a BSA/AML compliance program violation under 12 U.S.C. &#167; 1818(s) and its implementing regulation, 12 C.F.R. &#167; 21.21. In addition, the Bank has violated 12 C.F.R. &#167; 21.11. </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">ARTICLE II </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;text-decoration:underline;">COMPLIANCE COMMITTEE</font><font style="font-family:inherit;font-size:11pt;font-weight:bold;">&#32;</font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(1) &#160;&#160;&#160;&#160;The Board shall maintain a Compliance Committee of at least three (3) Board members, of which no more than one (1) shall be an employee of the Bank or any of its subsidiaries or affiliates. The names of the members of the Compliance Committee and, in the event of a change of the membership, the name of any new member, shall be submitted in writing to the Assistant Deputy Comptroller. The Compliance Committee shall be responsible for monitoring and coordinating the Bank&#8217;s adherence to the provisions of this Order. The Compliance Committee shall meet at least quarterly and maintain minutes of its meetings at which compliance with this Order is discussed. </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(2) &#160;&#160;&#160;&#160;By April 30, 2018, and thereafter within thirty (30) days after the end of each quarter, the Compliance Committee shall submit a written progress report to the Board setting forth in detail:</font></div><div><br></div><div><div style="line-height:120%;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Page 1</font></div></div><hr style="page-break-after:always"><div><div style="line-height:120%;text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><div><br></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(a) &#160;&#160;&#160;&#160;a description of the actions needed to achieve full compliance with each Article of this Order; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(b)&#160;&#160;&#160;&#160; specific timeframes for each action needed to achieve full compliance with each Article of this Order, consistent with any deadlines in this Order; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(c) &#160;&#160;&#160;&#160;the specific actions taken to comply with each Article of this Order; and </font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(d)&#160;&#160;&#160;&#160; the results and status of those actions.</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(3) &#160;&#160;&#160;&#160;Upon receiving the Compliance Committee&#8217;s report, the Board shall forward a copy of the report, with any additional comments by the Board, to the Assistant Deputy Comptroller within ten (10) days of the first Board meeting following receipt of such report, unless additional time is granted by the Assistant Deputy Comptroller through a written determination of no supervisory objection. </font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(4) &#160;&#160;&#160;&#160;The Assistant Deputy Comptroller may, in writing, discontinue the requirement for progress reports or modify the reporting schedule. </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">ARTICLE III </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;text-decoration:underline;">BSA OFFICER AND STAFF</font><font style="font-family:inherit;font-size:11pt;font-weight:bold;">&#32;</font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(1) &#160;&#160;&#160;&#160;The Board shall ensure that the Bank has a permanent, qualified, and experienced BSA Officer who shall be vested with sufficient authority, time, and resources to fulfill the duties and responsibilities of the position and ensure compliance with the requirements of the Bank Secrecy Act (31 U.S.C. &#167;&#167; 5311 et seq.), the regulations promulgated thereunder at 31 C.F.R. Part 103, 12 C.F.R. Part 21, Subparts B and C, and the rules and regulations of the Office of Foreign Assets Control ("OFAC") (collectively, the "Bank Secrecy Act" or "BSA"). </font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(2) &#160;&#160;&#160;&#160;If the BSA Officer position is vacated, the Board shall take the necessary steps to identify a suitable candidate to fill the vacancy within ninety (90) days of receiving notice of the vacancy. Prior to the employment of any individual as BSA Officer, the Board shall submit to the Assistant Deputy Comptroller the following information for a prior written determination of no supervisory objection to appoint the individual as BSA Officer:</font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">&#32;(a) &#160;&#160;&#160;&#160;the information sought in the "Changes in Directors and Senior Executive Officers" booklet of the Comptroller&#8217;s Corporate Manual, together with a legible fingerprint card for the proposed individual;</font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(b) &#160;&#160;&#160;&#160;a written statement of the Board's reasons for selecting the candidate; and </font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(c) &#160;&#160;&#160;&#160;a written description of the candidate&#8217;s duties and responsibilities. </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(3) &#160;&#160;&#160;&#160;Within one hundred and twenty (120) days of this Order, the Board shall ensure the Bank conducts a formal written assessment of the Bank&#8217;s oversight and infrastructure to ensure compliance with the BSA. This assessment may be conducted by an independent third party. This shall include an assessment of, at a minimum:</font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(a) &#160;&#160;&#160;&#160;the adequacy of Board knowledge and oversight regarding the BSA requirements and Bank BSA compliance; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(b) &#160;&#160;&#160;&#160;the adequacy of management information systems relating to BSA requirements and Bank BSA compliance; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(c) &#160;&#160;&#160;&#160;the adequacy of staffing of the BSA/AML compliance program, including:</font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(i) &#160;&#160;&#160;&#160;the level and scope of responsibilities of the BSA Officer; </font></div><div><br></div><div><div style="line-height:120%;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Page 2</font></div></div><hr style="page-break-after:always"><div><div style="line-height:120%;text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><div><br></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(ii) &#160;&#160;&#160;&#160;the knowledge, skills, and capabilities of the BSA Officer to conduct assigned responsibilities and ensure the Bank&#8217;s compliance with the BSA; and </font></div><div style="line-height:120%;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(iii) &#160;&#160;&#160;&#160;the number of staff needed to support the BSA Officer and the Bank&#8217;s BSA/AML compliance program, the level and scope of responsibilities of the support staff, and the expertise and skills of the support staff; </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(d) &#160;&#160;&#160;&#160;the BSA Officer&#8217;s reporting structure; and </font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(e) &#160;&#160;&#160;&#160;the Bank&#8217;s performance evaluation program that addresses periodic performance evaluations of staff involved with BSA/AML compliance.</font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(4) &#160;&#160;&#160;&#160;Within sixty (60) days after completing the formal written assessment under paragraph (3) of this Article, the Board shall ensure that the Bank implements any changes that are needed in the Bank&#8217;s BSA Officer and supporting staff, including their responsibilities, authority, structure, independence, competencies, or capabilities. In particular, the Board shall ensure that the BSA Officer and supporting staff have sufficient training, authority, resources, and skill to perform their assigned responsibilities. The Board shall further ensure that it and Bank management has the necessary knowledge to effectively oversee the Bank&#8217;s compliance with the BSA and that management information systems are effective. </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(5) &#160;&#160;&#160;&#160;The Board shall periodically (no less than annually) review the adequacy of the Bank&#8217;s BSA Officer and supporting staff and shall document its determination(s) in writing. The periodic reviews shall consider the factors described in paragraph (3) of this Article. </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">ARTICLE IV</font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">&#160;</font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;text-decoration:underline;">BSA/AML RISK ASSESSMENT</font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">&#160;</font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(1) &#160;&#160;&#160;&#160;Within ninety (90) days of this Order, the Board shall ensure the Bank adopts, implements, and thereafter adheres to an enhanced written institution-wide, ongoing BSA/AML Risk Assessment Program and process that timely and accurately identifies the BSA/AML risks posed to the Bank after consideration of all pertinent information ("BSA/AML Risk Assessment"). The BSA/AML Risk Assessment shall reflect a comprehensive analysis of the Bank&#8217;s vulnerabilities to money laundering and financial crimes activity and provide strategies to control risk and limit any identified vulnerabilities. Refer to the </font><font style="font-family:inherit;font-size:11pt;font-style:italic;">2014 FFIEC Bank Secrecy Act/Anti-Money Laundering Examination Manual</font><font style="font-family:inherit;font-size:11pt;">&#32;(rev. Feb. 27, 2015) ("FFIEC BSA/AML Examination Manual") for guidance. The BSA/AML Risk Assessment methodology shall include:</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(a) &#160;&#160;&#160;&#160;the identification of all activities and other elements that pose BSA/AML risk to the Bank, including, but not limited to, the Bank&#8217;s: (i) products and services; (ii) customers and entities; (iii) transactions; (iv) countries or geographic locations; and (v) methods that the Bank uses to interact with its customers (collectively, the "specific risk categories"); </font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(b) &#160;&#160;&#160;&#160;a detailed analysis of all pertinent data obtained regarding the specific risk categories, including but not necessarily limited to:</font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(i) &#160;&#160;&#160;&#160;volumes and types of transactions and services by country or geographic location; and</font></div><div style="line-height:120%;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">&#160;</font></div><div style="line-height:120%;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(ii) &#160;&#160;&#160;&#160;numbers of customers that typically pose higher BSA/AML risk, both by type of risk and by geographic location, so as to permit the Bank to revise or develop, as necessary, and implement appropriate policies, processes, and procedures to monitor and mitigate the Bank&#8217;s BSA/AML risks within the specific risk categories. The analysis shall include an evaluation of all relevant information obtained through the Bank&#8217;s Customer Identification </font></div><div><br></div><div><div style="line-height:120%;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Page 3</font></div></div><hr style="page-break-after:always"><div><div style="line-height:120%;text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><div><br></div><div style="line-height:120%;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Program ("CIP"), Customer Due Diligence ("CDD"), and Enhanced Due Diligence ("EDD"); </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(c) &#160;&#160;&#160;&#160;an assessment of BSA/AML risk both individually within the Bank&#8217;s business lines and on a consolidated basis across all Bank activities and product lines, so as to permit the Bank to accurately identify BSA/AML risk and risk categories within and across specific lines of business and product categories; </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(d) &#160;&#160;&#160;&#160;an update of the Risk Assessment at least every twelve (12) months to identify and respond to changes in the Bank&#8217;s risk profile (such as when new products or services are introduced, existing products or services change, there is a material change to high-risk customer accounts or profiles, or the Bank expands through mergers or acquisitions); and </font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(e) &#160;&#160;&#160;&#160;the maintenance of appropriate documentation, including CDD and EDD information, to support the Risk Assessment&#8217;s conclusions. </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(2) &#160;&#160;&#160;&#160;Within thirty (30) days after completing the BSA/AML Risk Assessment required by paragraph (1) of this Article, the Board shall review and approve the BSA/AML Risk Assessment processes and actual assessments. The Board shall review and approve each BSA/AML Risk Assessment at least annually thereafter and upon receipt of any updates or changes to each BSA/AML Risk Assessment. </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(3) &#160;&#160;&#160;&#160;Prior to introducing any new products or services, or entering into new or expanding existing activity in any market segments/industries, lines of business, or geographic locations, the Bank shall prepare a written assessment of the impact of the new or expanded activity on the Bank&#8217;s BSA/AML Risk Assessment. The assessment shall include:</font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(a)&#160;&#160;&#160;&#160;an assessment of the BSA/AML risk posed by the new activity; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(b) &#160;&#160;&#160;&#160;the impact of the new activity on staffing; and </font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(c) &#160;&#160;&#160;&#160;the controls to be implemented for monitoring the new activity. </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">ARTICLE V</font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">&#160;</font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;text-decoration:underline;">BSA INTERNAL CONTROLS</font><font style="font-family:inherit;font-size:11pt;font-weight:bold;">&#32;</font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(1) &#160;&#160;&#160;&#160;Within ninety (90) days of this Order, the Board shall ensure the Bank develops, implements, and thereafter adheres to a written program of policies and procedures to provide for compliance with the BSA and the appropriate identification and monitoring of transactions that pose greater than normal risk for compliance with the BSA. This program shall include the following:</font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(a) &#160;&#160;&#160;&#160;updating the Bank&#8217;s BSA/AML Risk Assessment as detailed in Article IV;</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(b) &#160;&#160;&#160;&#160;procedures for conducting due diligence, as detailed in Article IX; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(c) &#160;&#160;&#160;&#160;an evaluation of existing internal controls to mitigate the identified risks, taking into account weaknesses noted in the most recent audit and the Report of Examination dated June 26, 2017, or any subsequent audit or Report of Examination; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(d) &#160;&#160;&#160;&#160;well-defined policies and procedures for investigating and responding to transactions that have been identified as posing greater than normal risk for compliance with the BSA; </font></div><div><br></div><div><div style="line-height:120%;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Page 4</font></div></div><hr style="page-break-after:always"><div><div style="line-height:120%;text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><div><br></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(e) &#160;&#160;&#160;&#160;adequate controls and procedures to ensure the accurate and timely filing of Currency Transaction Reports and Suspicious Activity Reports ("SARs"); and </font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(f) &#160;&#160;&#160;&#160;a quality control process to ensure that the program is understood and implemented effectively. </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(2) &#160;&#160;&#160;&#160;The Board shall ensure that the Bank has sufficient processes, personnel, resources, and control systems to effectively implement and adhere to all Articles of this Order and the plans developed pursuant to it. </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">ARTICLE VI </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;text-decoration:underline;">SUSPICIOUS ACTIVITY MONITORING </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(1) &#160;&#160;&#160;&#160;Within ninety (90) days of this Order, the Board shall ensure the Bank develops, implements, and thereafter adheres to a written program of policies and procedures to ensure, pursuant to 12 C.F.R. &#167; 21.11, the timely and appropriate review of transaction activity and disposition of suspicious activity alerts and the timely filing of SARs. This program shall include:</font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(a) &#160;&#160;&#160;&#160;timely identification or alert of unusual activity, including:</font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(i) &#160;&#160;&#160;&#160;employee identification and referral; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(ii) &#160;&#160;&#160;&#160;law enforcement inquiries and requests; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(iii) &#160;&#160;&#160;&#160;use of manual transaction monitoring and automated suspicious activity monitoring systems; and </font></div><div style="line-height:120%;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(iv) &#160;&#160;&#160;&#160;identifying areas outside of any automated system&#8217;s analysis and implementing appropriate procedures and testing to ensure the Bank identifies any potential suspicious activity not reviewed by an automated system; </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(b) &#160;&#160;&#160;&#160;timely investigation and disposition of suspicious activity alerts and case investigations; </font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(c)&#160;&#160;&#160;&#160; SAR completion and filing; </font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(d) &#160;&#160;&#160;&#160;procedures for recording, maintaining, and recalling information; and</font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">&#160;</font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(e) &#160;&#160;&#160;&#160;a sufficient quality control process to ensure the suspicious activity monitoring system, alert management process, and SAR decision-making and filing are working effectively and according to internal standards. </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(2) &#160;&#160;&#160;&#160;Within ninety (90) days of this Order, the Board shall ensure the Bank develops, implements, and thereafter adheres to a written program of policies and procedures to provide for the investigation of any alerts. This program shall ensure:</font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(a) &#160;&#160;&#160;&#160;the adequacy of staffing to investigate and clear alerts; </font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(b) &#160;&#160;&#160;&#160;the quality and completeness of information available to analysts working transaction monitoring alerts and conducting investigations;</font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(c) &#160;&#160;&#160;&#160;the standards for dispositioning different types of alerts are reasonable, communicated in writing to relevant staff, and are adhered to by the alert investigators; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(d) &#160;&#160;&#160;&#160;critical and transparent assessments of the alerted activity&#8217;s risk; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(e) &#160;&#160;&#160;&#160;adequate documentation is maintained to support the disposition of alerts; </font></div><div><br></div><div><div style="line-height:120%;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Page 5</font></div></div><hr style="page-break-after:always"><div><div style="line-height:120%;text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><div><br></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(f) &#160;&#160;&#160;&#160;the availability and adequacy of information to investigate potentially suspicious activity; and </font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(g) &#160;&#160;&#160;&#160;standards that ensure accounts with high volumes of alerts are identified, elevated, properly categorized as high risk, and subject to enhanced due diligence and monitoring. </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">ARTICLE VII </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;text-decoration:underline;">AUTOMATED MONITORING SYSTEM</font><font style="font-family:inherit;font-size:11pt;font-weight:bold;">&#32;</font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(1) &#160;&#160;&#160;&#160;Within ninety (90) days of this Order, the Board shall ensure the Bank develops, implements, and thereafter adheres to a written program of policies and procedures to provide for implementation of any automated suspicious activity monitoring system. This program shall ensure:</font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(a) &#160;&#160;&#160;&#160;the integrity of data feeding the suspicious activity monitoring system; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(b)&#160;&#160;&#160;&#160;the suspicious activity monitoring system has been sufficiently tailored to the Bank&#8217;s risk profile and operations; </font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(c) &#160;&#160;&#160;&#160;the suspicious activity monitoring system&#8217;s functionality is being used to appropriately address risk, including the ability to aggregate data across platforms, lines of business, and relationships; </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(d) &#160;&#160;&#160;&#160;the business units, logic, parameters, rules, or other factors selected for automated monitoring are appropriate and effective in identifying client activity that is unreasonable or abnormal given the nature of the client&#8217;s occupation or business and expected activity; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(e) &#160;&#160;&#160;&#160;application of appropriate thresholds and filters for suspicious activity monitoring systems in monitoring all types of transactions, accounts, customers, products, services, and geographic areas that include, at a minimum:</font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(i) &#160;&#160;&#160;&#160;meaningful thresholds and alert scenarios for filtering accounts and customers for further monitoring, review, and analysis; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(ii) &#160;&#160;&#160;&#160;an analysis of the thresholds and filters established by the Bank; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(iii) &#160;&#160;&#160;&#160;maintenance of documentation supporting the Bank&#8217;s methodology for establishing thresholds and filters; and </font></div><div style="line-height:120%;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(iv) &#160;&#160;&#160;&#160;periodic independent testing of thresholds and filters for their appropriateness to the Bank&#8217;s customer base, products, services, and geographic area; and </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(f) &#160;&#160;&#160;&#160;ensuring that BSA/AML staff is aware of all criteria included in the suspicious activity monitoring system&#8217;s rules. </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(2) &#160;&#160;&#160;&#160;Within ninety (90) days of this Order, the Board shall ensure the Bank develops, implements, and thereafter adheres to appropriate policies and procedures for ensuring that the Bank adequately addresses its model risk management for any automated suspicious activity monitoring system. Refer to OCC Bulletin 2011-12, "Sound Practices for Model Risk Management" (April 4, 2011), for guidance. At a minimum, these policies and procedures shall include:</font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(a) &#160;&#160;&#160;&#160;validation of the data input into its suspicious activity monitoring system, including documentation of the methodology used, the input sources tested, and other information as necessary; </font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div><br></div><div><div style="line-height:120%;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Page 6</font></div></div><hr style="page-break-after:always"><div><div style="line-height:120%;text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><div><br></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(b) &#160;&#160;&#160;&#160;assessment of the adequacy of the suspicious activity monitoring system&#8217;s ability to evaluate and monitor the risks posed by the Bank&#8217;s products, services, transactions, geographies, and customers; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(c) &#160;&#160;&#160;&#160;independent validation of the model used in the suspicious activity monitoring system which includes:</font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(i) &#160;&#160;&#160;&#160;data inputs from all products, services, and transactions; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(ii) &#160;&#160;&#160;&#160;evaluating the criteria for identifying potential suspicious activity in all of these areas to ensure it is effective, appropriate, and comprehensive in the characteristics used; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(iii) &#160;&#160;&#160;&#160;statistically valid processes to validate and optimize the suspicious activity monitoring system settings and thresholds and to measure the effectiveness of the suspicious activity monitoring system and individual scenarios, where appropriate; </font></div><div style="line-height:120%;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(iv) &#160;&#160;&#160;&#160;evaluating the appropriateness of thresholds in criteria used to identify potential suspicious activity by conducting above-the-line and below-the-line testing and documentation;</font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(v) &#160;&#160;&#160;&#160;testing that potentially suspicious activity that meets the criteria for identifying potential suspicious activity correctly generates alerts as intended; and </font></div><div style="line-height:120%;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(vi) &#160;&#160;&#160;&#160;documentation of filtering criteria and thresholds and the appropriateness of these criteria and thresholds; </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(d) &#160;&#160;&#160;&#160;sufficient management information and metrics to manage and adjust the suspicious activity monitoring system, as necessary; and </font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(e) &#160;&#160;&#160;&#160;a model optimization process that includes a framework for ongoing tuning and testing of the suspicious activity monitoring system model. </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">ARTICLE VIII </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;text-decoration:underline;">ACCOUNT/TRANSACTION ACTIVITY REVIEW </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(1) &#160;&#160;&#160;&#160;Within thirty (30) days of this Order, the Bank shall submit to the Assistant Deputy Comptroller for prior written determination of no supervisory objection the name, qualifications, and terms of engagement of an independent consultant to review account and transaction activity ("Look-Back"), in accordance with OCC Bulletin 2013-33, "Use and Review of Independent Consultants in Enforcement Actions" (November 12, 2013). The scope of the Look-Back must be risk-based and shall include the following factors:</font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(a) &#160;&#160;&#160;&#160;the proposed timeframe for transaction activity review; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(b) &#160;&#160;&#160;&#160;a description of the products, services, customers, transactions, and monitoring systems covered; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(c) &#160;&#160;&#160;&#160;analytical techniques to be used to evaluate transactions for suspicious activity; and </font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(d) &#160;&#160;&#160;&#160;the deadline for completing the Look-Back.</font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(2) &#160;&#160;&#160;&#160;The purpose of the Look-Back is to determine whether suspicious activity was timely identified by the Bank, and if appropriate to do so, was then timely reported by the Bank in accordance with 12 C.F.R. &#167; 21.11. This includes determining whether additional SARs should be filed for any previously unreported suspicious </font></div><div><br></div><div><div style="line-height:120%;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Page 7</font></div></div><hr style="page-break-after:always"><div><div style="line-height:120%;text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><div><br></div><div style="line-height:120%;padding-bottom:13px;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">activity, including cases where the BSA Officer or staff identified suspicious activity but failed to adequately support a decision not to file a SAR. </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(3) &#160;&#160;&#160;&#160;Upon completion of the Look-Back, the written findings shall be reported to the Board, with a copy to the Assistant Deputy Comptroller. The Bank shall file SARs, in accordance with 12 C.F.R. &#167; 21.11, for any previously unreported suspicious activity identified during the Look-Back. </font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(4) &#160;&#160;&#160;&#160;Based upon the results of the Look-Back, the OCC, at its sole discretion, may expand the scope of the Look-Back or require a longer Look-Back period. If an additional Look-Back is deemed appropriate by the OCC, the Bank shall complete the Look-Back in accordance with this Article. </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">ARTICLE IX </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;text-decoration:underline;">CUSTOMER DUE DILIGENCE AND ENHANCED DUE DILIGENCE </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(1) &#160;&#160;&#160;&#160;Within ninety (90) days of this Order, the Board shall ensure the Bank develops and submits to the Assistant Deputy Comptroller for prior written determination of no supervisory objection appropriate policies and procedures for gathering customer information when opening new accounts or when renewing or modifying existing accounts for customers. At a minimum, these policies and procedures must include:</font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(a) &#160;&#160;&#160;&#160;clear definitions of low-, moderate-, and high-risk customers;</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(b) &#160;&#160;&#160;&#160;a methodology for assigning risk levels to the Bank&#8217;s customer base that assesses appropriate factors such as type of customer, type of product or service, geographic location, occupation, and expected activity, and specification of the customer information the Bank must obtain, commensurate with these risk levels; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(c) &#160;&#160;&#160;&#160;conducting ongoing monitoring of customer information to reflect changes in the customer&#8217;s behavior, activity profile, derogatory information, or other factors that impact the BSA/AML risk for the customer; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(d) &#160;&#160;&#160;&#160;periodic training of account-opening staff to ensure that all required customer information is collected; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(e) &#160;&#160;&#160;&#160;procedures to hold staff accountable for obtaining all required customer information; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(f) &#160;&#160;&#160;&#160;consideration of FinCEN&#8217;s regulation on </font><font style="font-family:inherit;font-size:11pt;font-style:italic;">Customer Due Diligence Requirements for Financial Institutions</font><font style="font-family:inherit;font-size:11pt;">, effective July 11, 2016, with an applicability date of May 11, 2018; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(g) &#160;&#160;&#160;&#160;EDD for higher risk clients and/or products and services, in compliance with regulatory requirements. Refer to the FFIEC BSA/AML Examination Manual for guidance; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(h) &#160;&#160;&#160;&#160;an accurate and complete list of higher-risk customers that identifies current customers and accounts exhibiting high risk characteristics for money laundering, terrorist financing, or other illicit activity; </font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(i) &#160;&#160;&#160;&#160;periodic reports on all higher-risk customers that include:</font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(i) &#160;&#160;&#160;&#160;critical analysis of all significant information in the file, including the identification of significant disparities, investigation and documentation of high risk indicators and potentially suspicious activity, and well-supported conclusions; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(ii) &#160;&#160;&#160;&#160;a comparison of expected, historical, and current activity; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(iii) &#160;&#160;&#160;&#160;updating all pertinent customer information; and </font></div><div><br></div><div><div style="line-height:120%;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Page 8</font></div></div><hr style="page-break-after:always"><div><div style="line-height:120%;text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><div><br></div><div style="line-height:120%;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(iv) &#160;&#160;&#160;&#160;a periodic quality control review of customer information; </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(j) &#160;&#160;&#160;&#160;periodic assessments by the BSA Officer or his/her designee of the effectiveness of the Bank&#8217;s customer information procedures, monitoring activities, and timely corrective action of weaknesses identified in the assessments. These assessments and corrective actions shall, as appropriate, be incorporated into the Bank&#8217;s BSA/AML Risk Assessment; and </font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(k) &#160;&#160;&#160;&#160;procedures to address cases where there is ongoing suspicious activity to ensure appropriate management review and determination of whether the customer relationship should be continued. </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(2) &#160;&#160;&#160;&#160;Upon receiving a written determination of no supervisory objection from the Assistant Deputy Comptroller, the Board shall ensure the Bank immediately implements and thereafter adheres to the customer information policies and procedures required under Paragraph (1) of this Article. </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(3) &#160;&#160;&#160;&#160;The BSA Officer or his/her designee shall review at least once every twelve (12) months account documentation for all higher-risk customers and the related accounts of those customers at the Bank to determine whether the account activity is consistent with the customer&#8217;s of this Article. </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">business and the stated purpose of the account.The reviews shall include requirements detailedin paragraph (1)(i)of this Article.</font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">ARTICLE X</font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;text-decoration:underline;">BSA/AML AUDIT</font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(1)&#160;&#160;&#160;&#160;Within ninety (90) days of the date of this Order, the Board shall ensure the Bank adopts, implements, and thereafter adheres to an independent BSA/AML audit program that includes the minimum requirements for adequate independent testing. Refer to the FFIECBSA/AML Examination Manual for guidance. The independent BSA/AML audit program shall:</font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(a)&#160;&#160;&#160;&#160;detect irregularities in the Bank&#8217;s operations;</font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(b)&#160;&#160;&#160;&#160;determine the Bank&#8217;s level of compliance with applicable laws, rules, and regulations;</font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(c)&#160;&#160;&#160;&#160;evaluate the Bank&#8217;s adherence to established policies and procedures;</font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(d)&#160;&#160;&#160;&#160;perform an appropriate level of testing to support the audit findings;</font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(e)&#160;&#160;&#160;&#160;ensure adequate audit coverage in all areas; and</font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(f)&#160;&#160;&#160;&#160;establish an annual audit plan using a risk-based approach sufficient to achieve these objectives.</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(2)&#160;&#160;&#160;&#160;The Board shall ensure appropriate oversight of the BSA/AML audit program and ensure that BSA/AML auditors have the requisite knowledge and expertise to implement a comprehensive BSA/AML audit.</font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(3)&#160;&#160;&#160;&#160;The Board shall ensure that the audit program is independent. The persons responsible for implementing the BSA audit program described above shall report directly to the Board, or a designated committee of the Board, which shall have the sole power to direct their activities. All reports prepared by the audit staff shall be filed directly with the Board and not through any intervening party.</font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(4)&#160;&#160;&#160;&#160; All audit reports shall be in writing and supported by adequate workpapers, which must be provided to the Bank. The Board shall ensure that immediate actions are undertaken to remedy deficiencies cited in audit reports and that auditors and the Bank maintain a written record describing those actions. </font></div><div><br></div><div><div style="line-height:120%;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Page 9</font></div></div><hr style="page-break-after:always"><div><div style="line-height:120%;text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><div><br></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(5) &#160;&#160;&#160;&#160;The Board shall evaluate the audit reports of any party providing services to the Bank and shall assess the impact on the Bank of any audit deficiencies cited in such reports. </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">ARTICLE XI </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;text-decoration:underline;">BSA/AML TRAINING </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(1) &#160;&#160;&#160;&#160;Within ninety (90) days of this Order, the Board shall ensure the Bank develops, implements, and thereafter adheres to a comprehensive training program for all appropriate Bank employees to ensure their awareness of their responsibility for compliance with the requirements of the BSA. This comprehensive training program shall:</font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(a) &#160;&#160;&#160;&#160;provide for more extensive BSA training for all operational and supervisory personnel assigned to the Bank&#8217;s BSA compliance function; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(b) &#160;&#160;&#160;&#160;provide for more targeted training for other personnel focusing on the individual&#8217;s specific duties and responsibilities; and </font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(c)&#160;&#160;&#160;&#160; include strategies for mandatory attendance, the frequency of training, procedures, timing for updating the training program and materials, and the method for delivering training. </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">ARTICLE XII </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;text-decoration:underline;">CLOSING </font></div><div style="line-height:120%;text-align:center;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(1) &#160;&#160;&#160;&#160;The Board has the ultimate responsibility for proper and sound management of the Bank as well as compliance with all of the provisions contained in this Order and with the requirements and timeframes for all plans and programs submitted pursuant to this Order even though the Bank, the Board, or a Board committee is required by this Order to submit certain proposed actions, plans, reports, or programs for the OCC&#8217;s review or prior written determination of no supervisory objection and even though Bank management and personnel are to be held accountable for executing their duties and responsibilities under or resulting from this Order. </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(2) &#160;&#160;&#160;&#160;In each instance in which this Order imposes responsibilities upon the Board or a Board committee, it is intended to mean that the Board or Board Committee shall:</font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(a) &#160;&#160;&#160;&#160;authorize, direct, and adopt such actions on behalf of the Bank as may be necessary to perform the obligations and undertakings of the Board or the Board Committee under the terms of this Order; </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(b) &#160;&#160;&#160;&#160;ensure that the Bank has sufficient processes, management, personnel, and control systems to monitor, effectively implement, and adhere to all provisions of this Order and the requirements and timelines of all plans and programs submitted pursuant to this Order, that Bank management and personnel have sufficient training and authority to execute their duties and responsibilities including those under or resulting from this Order, and that Bank management and personnel are held accountable for executing their duties and responsibilities, including those under or resulting from this Order; </font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(c) &#160;&#160;&#160;&#160;require appropriate, adequate, and timely reporting by Bank management of such actions directed by the Board to be taken under the terms of this Order;</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(d) &#160;&#160;&#160;&#160;follow-up on any noncompliance with such actions in a timely and appropriate manner; and </font></div><div style="line-height:120%;text-align:left;padding-left:96px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(e) &#160;&#160;&#160;&#160;require corrective action be taken in a timely manner of any noncompliance with such actions. </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div><br></div><div><div style="line-height:120%;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Page 10</font></div></div><hr style="page-break-after:always"><div><div style="line-height:120%;text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><div><br></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(3) &#160;&#160;&#160;&#160;Each citation, guidance, or issuance referenced in this Order includes any subsequent citations, guidance, or issuance that replaces, supersedes, amends, or revises the referenced cited citation, guidance, or issuance. </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(4) &#160;&#160;&#160;&#160;The provisions of this Order are effective upon issuance by the OCC, through the Comptroller&#8217;s duly authorized representative, whose hand appears below, and shall remain effective and enforceable, except to the extent that, and until such time as, any provisions of this Order are amended, suspended, waived, or terminated in writing by the OCC, through the Comptroller&#8217;s duly authorized representative. </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(5) &#160;&#160;&#160;&#160;Except as otherwise expressly provided herein, any time limitations imposed by this Order shall begin to run from the effective date of this Order. </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(6) &#160;&#160;&#160;&#160;If the Bank requires an extension of any timeframe within this Order or within any plan or program submitted pursuant to this Order, the Board shall submit a written request to the Assistant Deputy Comptroller asking for relief. Any written request submitted pursuant to this Article shall include a statement setting forth in detail the special facts and circumstances that prevent the Bank from complying with a provision within a timeframe specified in this Order or in any plan or program submitted pursuant to this Order and that require an extension of that timeframe. All such written requests shall be accompanied by relevant supporting documentation and any other facts Bank relies on. The OCC&#8217;s decision concerning a request for an extension of any timeframe within this Order or within any plan or program submitted pursuant to this Order, which will be communicated to the Board in writing by the Assistant Deputy Comptroller, is final and not subject to further review. </font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(7) &#160;&#160;&#160;&#160;This Order is intended to be, and shall be construed to be, a final order issued pursuant to 12 U.S.C. &#167; 1818(b), and expressly does not form, and may not be construed to form, a contract binding on the United States, the OCC, or any officer, employee, or agent of the OCC. </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(8) &#160;&#160;&#160;&#160;It is expressly and clearly understood that if, at any time, the OCC, through the Comptroller&#8217;s duly authorized representative, deems it appropriate to undertake any action affecting the Bank or its institution-affiliated parties (as defined by 12 U.S.C. &#167; 1813(u)), nothing in this Order shall in any way inhibit, estop, bar, or otherwise prevent the OCC from so doing. </font></div><div style="line-height:120%;padding-bottom:13px;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(9) &#160;&#160;&#160;&#160;The terms of this Order, including this paragraph, are not subject to amendment or modification by any extraneous expression, prior agreements, or prior arrangements between the parties, whether oral or written. </font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">(10) &#160;&#160;&#160;&#160;All reports to plans that the Bank or Board has agreed to submit to the Assistant Deputy Comptroller pursuant to this Order shall be sent to the: </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Assistant Deputy Comptroller </font></div><div style="line-height:120%;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Seattle Field Office </font></div><div style="line-height:120%;text-align:left;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">101 Stewart Street, Suite 1010 </font></div><div style="line-height:120%;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Seattle, Washington 98101 </font></div><div style="line-height:120%;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;padding-left:144px;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;"><br></font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">IT IS SO ORDERED, this 28th day of February, 2018.</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:11pt;"><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;width:62.5%;border-collapse:collapse;text-align:left;"><tr><td colspan="3"></td></tr><tr><td style="width:52%;"></td><td style="width:9%;"></td><td style="width:39%;"></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">/s/ NORMAN J. MCINTYRE</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-top:1px solid #000000;"><div style="font-size:11pt;"><font style="font-family:inherit;font-size:11pt;font-weight:bold;">Norman J. McIntyre </font></div><div style="font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Assistant Deputy Comptroller </font></div><div style="font-size:11pt;"><font style="font-family:inherit;font-size:11pt;">Seattle Field Office </font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td></tr></table></div></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div><br></div><div><div style="line-height:120%;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Page 11</font></div></div>	</body>
</html>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
