Press Release

HERITAGE BANK INVESTS IN GREATER CUSTOMER SECURITY; INSTALLS LOST DATA DESTRUCTION™ SOFTWARE ON ALL LAPTOPS

Software Automatically Eliminates Critical Information on Lost or Stolen Computers

SAN JOSE, Calif. – April 20, 2005 – Heritage Bank of Commerce has installed Lost Data Destruction software across all its laptops in order to offer the highest level of protection possible for sensitive customer data. The security solution is being supplied by Beachhead Solutions Inc., the pioneer in information security through data elimination. San Jose-based Heritage Bank of Commerce, with more than $1 billion in assets as of December 31, 2004, is a wholly owned subsidiary of Heritage Commerce Corp.

“We want to proactively protect our clients from the possibility of their data falling into the wrong hands,” said Richard L. Conniff, President and Chief Operating Officer of Heritage Commerce Corp. “The ease of implementation and the transparency to our end users made the Lost Data Destruction software the best choice.”

Lost Data Destruction software automatically eliminates specified data on a lost or stolen laptop to prevent its compromise or misuse. Unlike most other data security products, this software-based solution does not depend on user compliance or involvement and is particularly suitable for banks, insurance companies, medical institutions and other government and business entities that are custodians of confidential data.

Recent legislative acts such as California SB 1386, HIPAA, Graham-Leach-Bliley, Sarbanes-Oxley, FISMA and FACTA include measures that compel organizations to publicly notify customers when data has been lost.

“With increasingly stringent data compliance requirements and more than 1.5 million laptops stolen in 2004 alone, companies have too much to lose to simply rely on users and policies to keep critical data safe and secure,” said Jim Obot, President and CEO, Beachhead Solutions. “Lost Data Destruction completes the security chain broken by lax user behavior, and protects enterprises from legal liability, reputation damage and financial losses. With its dependence on passwords, encryption alone is not enough.”

About Beachhead Solutions Inc.

Beachhead provides security software and services to enterprise and government customers responsible for controlling access to data on PCs and mobile devices. Beachhead's data destruction solution automatically eliminates sensitive information and prevents unauthorized use on computers that are lost or stolen without dependence on user compliance. For more information visit www.beachheadsolutions.com.

About Heritage Bank of Commerce

Heritage Commerce Corp (Nasdaq: HTBK), a bank holding company established in February 1998, is the parent company of Heritage Bank of Commerce, established in 1994 and headquartered in San Jose, Calif., with offices in Los Gatos, Fremont, Danville, Morgan Hill, Gilroy, Mountain View and two offices in Los Altos. Additionally, Heritage Capital Group, the bank's asset based lending division, has offices in San Jose and Los Angeles. Heritage Bank of Commerce is also an SBA Preferred Lender ranked the third largest SBA lender in Northern California and eighth in the State, with Loan Production Offices in San Jose, Fresno, Santa Cruz, Elk Grove, Watsonville, Chico, Glendale, Irvine and Pittsburg, California.