Bank of the Pacific will close its Warrenton branch at 651 S.E. Marlin Ave. early next year.

Bank of the Pacific is closing branches in Warrenton and Naselle, Washington, early next year as the use of physical branches declines.

Both locations will keep an ATM. Warrenton accounts will be consolidated into the bank’s Astoria and Seaside locations, or a branch of a customer’s choice, on Feb. 1. Naselle accounts will be consolidated into Long Beach and Cathlamet, Washington, locations.

Denise Portmann, president and CEO of parent company Pacific Financial Corp., said in a release that the moves are based on the declining use of physical branches and advancements in online banking.

“We believe optimizing our branch network plays a significant role in prudently allocating our capital resources,” she said.

The company estimates the closures will save $437,000 in annual operating expenses, while costing $60,000 for severance pay, write-down of fixed assets and other closing costs. Two of the four employees at the Warrenton branch will be laid off, while two others will be reassigned, Portmann said. The Warrenton branch will continue to be used as administrative offices, with an ATM outside.

The majority of employees at the Naselle branch will be relocated because of retirements and other opportunities, Portmann said. The bank will try to keep the ATM in place or find another location in the Naselle area, while upgrading the machine to handle deposits, checking and other services, she said.

Bank of the Pacific, headquartered in Aberdeen, Washington, has three locations in Oregon, including Warrenton. The bank first opened a commercial lending center in Gearhart in 2003. In 2013, it bought and moved into Sterling Savings Bank’s branches in Astoria and Seaside. The same year, it opened the Warrenton branch on Marlin Avenue.

According to data from the Federal Deposit Insurance Corp., “The city of Warrenton has the smallest average branch size for banks in Clatsop County compared to other cities within the county,” Portmann said. “We believe our customers will have minimal disruption as we transfer their accounts to neighboring branches in Astoria or Seaside.”

A letter will soon be sent to affected Bank of the Pacific customers with information about the transition. The letter will include an invitation to early December open houses at the branches before they close.