[Kavilco Incorporated Letterhead]

October 2003

Dear Shareholder:

You are warmly invited to attend Kavilco's 30th Annual Meeting to be held on
November 15, 2003 at 1:00 p.m. at The Cape Fox Lodge, 800 Venetia Way, Ketchikan
Alaska. Details about the meeting are described in the enclosed Notice of Annual
Meeting and Proxy Statement.

We urge you to attend the Annual Meeting if possible. Attendance at our
shareholder meetings helps maintain good communications and understanding. Scott
Burns and I will be there to report on current operations and discuss future
plans. We will also provide time, as we always do, for your questions and
comments.

Your vote is important! Even if you are unable to attend the Annual Meeting, we
hope you will vote your proxy as soon as possible.

Sincerely,

/s/LOUIS A. THOMPSON

Louis A. Thompson
President\Chief Executive Officer

KAVILCO INCORPORATED
600 University Street, Suite 3010
Seattle, WA 98101-1129

NOTICE OF 30TH ANNUAL
MEETING OF SHAREHOLDERS

DATE November 15, 2003

REGISTRATION 11:00 a.m. - 12 noon

MEETING BEGINS 1:00 p.m.

PLACE Cape Fox Lodge, 800 Venetia Way, Ketchikan, Alaska

ITEMS OF BUSINESS (1) To elect 3 directors to Class II, with a term expiring
in 2006. Incumbents are Louis Jones, Sr., John Campbell
and Kenneth Gordon.

(2) To ratify the Company's selection of independent public
accountants

(3) To consider such other business as may properly come
before the meeting or any adjournments thereof.

RECORD DATE Your are entitled to vote if you were a shareholder at the
close of business on October 15, 2003.

VOTING BY PROXY Promptly complete, sign and return the enclosed proxy in the
postage paid envelope provided, even if you plan to attend
the meeting. You may vote in person at the meeting even
though you have previously signed and mailed a proxy.

THIS PROXY STATEMENT AND PROXY CARD ARE BEING DISTRIBUTED ON OR ABOUT OCTOBER
15, 2003.

By order of the Board of Directors,

/s/JOHN CAMPBELL

John Campbell

Secretary

KAVILCO INCORPORATED
600 University Street, Suite 3010
Seattle, WA 98101-1129

PROXY STATEMENT

QUESTIONS AND ANSWERS ABOUT THE PROXY MATERIALS AND THE ANNUAL MEETING

Q. WHY AM I RECEIVING THESE MATERIALS?
A. The Board of Directors of Kavilco Inc. is providing these proxy materials
to you in connection with the solicitation by the Board of proxies to be
voted at Kavilco's Annual Meeting. Only shareholders of record holding
Class A shares at the close of business on October 15, 2003 are entitled to
vote. As a shareholder with Class A shares you are requested to vote on the
proposals described in this proxy statement. All shareholders should
complete and mail their proxy even if they plan to attend the meeting. The
bylaws of the Corporation state that at least a majority of the total
number of shares of Class A stock must be present, either in person or by
proxy, to establish a quorum at the meeting. Conducting business will begin
when a quorum is established.

Q. WHAT IS THE QUORUM REQUIREMENT OF THE MEETING?
A. The quorum requirement for holding the meeting and transacting business is
a majority of the shares of Class A stock. The shares may be present in
person or by proxy. Kavilco currently has 11,576.83 shares outstanding of
Class A stock. Kavilco knows of no person to be the beneficial owner of
more than 5% of the outstanding shares of the Company.

Q. WHAT IS A PROXY?
A. PROXY - 1. the authority to act for another, as in voting, 2. a document so
authorizing one or a person so authorized.

By completing and returning the enclosed proxy card, you will authorize the
Board members elected during our last Annual Meeting, a majority of them or
any of them acting alone in the absence of others to vote your shares for
you. As your proxy, you are authorizing them to vote all of your shares
with all the powers you would have if you were personally present. If you
do not want to appoint the individuals named in the proxy card to act as
your proxy (that is to vote your shares for you) you may, as provided in
the bylaws, appoint someone else to act as your proxy by giving that person
a written authorization to vote your shares of stock on your behalf at the
Annual Meeting. Proxies may also be solicited personally, by telephone, by
employees, officer and agents of the Company.

Unless otherwise instructed, the proxy holders will vote proxies received
by them for these nominees. In the event any nominee should not be
available for election, the discretionary authority provided in the proxy
will be exercised to vote for such other person(s) as may be designated by
the present Board of Directors.

Q. HOW CAN I VOTE MY SHARES?
A. Each Class A shareholder is entitled to one (1) vote for each share owned
and may vote the total number of his or her shares for as may persons as
there are directors being elected. Alternatively, shareholders are entitled
to cumulative voting and may give a nominee as many votes as equal to the
number of directors to be elected multiplied by the number of shares owned.
Also, shareholders may allocate these votes on the same principle among any
number of nominees. Using the sample proxy card included in this packet of
materials, complete the Proxy card with your name on it and mail it to
Kavilco's Inspector of Elections in the enclosed envelope.

Q. CAN I CHANGE MY VOTE?
A. If you change your mind after voting, you may revoke your proxy and change
your proxy instructions prior to the Annual Meeting, either by telephoning
Scott Burns, Chief Financial Officer at Kavilco's Seattle office, providing
a written statement to Kavilco at the address above, or by voting again at
the meeting.

Q. WHO WILL COUNT THE VOTE?
A. Representatives of Mecham, Richardson & Company will tabulate the votes and
act as the Inspectors of Election.

Q. WHO WILL BEAR THE COST OF SOLICITING VOTES AND SEC COMPLIANCE FOR THE
MEETING?
A. Kavilco Incorporated will pay the entire cost of preparing, assembling,
printing, mailing and distributing these proxy materials as well as
submitting it to the Securities and Exchange Commission for review.

Q. MAY I PROPOSE ACTIONS FOR CONSIDERATION AT NEXT YEAR'S ANNUAL MEETING OR
NOMINATE INDIVIDUALS TO SERVE AS DIRECTORS?
A. You may submit proposals for consideration at future shareholder meetings
as follows:

o TO BE INCLUDED IN THE PROXY STATEMENT. In order for a shareholder proposal
to be considered for inclusion in Kavilco's proxy statement for next year's
Annual Meeting, the written proposal must be received by the Secretary no
later than August 1, 2004. These proposals must be in writing and sent to:
Kavilco Incorporated, 600 University Street, Suite 3010, Seattle,
Washington 98101. These proposals also will need to comply with Securities
and Exchange Commission regulations regarding the inclusion of shareholder
proposals in Company-sponsored proxy materials.
o TO BE RAISED FROM THE FLOOR. Similarly, in order for a shareholder proposal
to be raised from the floor during next year's Annual Meeting, the
shareholder's written notice must be received before May 3, 2004 and must
contain certain information as required.

Pursuant to regulations, this proxy and accompanying materials have been
submitted to the Securities and Exchange Commission for review in conjunction
with this mailing.

PROPOSALS TO BE VOTED ON

(1) ELECTION OF DIRECTORS

Kavilco's bylaws provide that the corporation shall be managed by a Board
of Directors composed of nine (9) members elected in three classes, each
consisting of three (3) members. The election of directors is staggered so
that only three (3) directors are elected each year. The Board of Directors
recommends the election of the three nominees listed below, all of who are
presently Board members, to serve a three (3) year term and until their
successors are elected and qualified:

Louis Jones, Sr.
John Campbell
Kenneth Gordon

BOARD STRUCTURE AND COMPENSATION

The Board officers as defined by the corporate by-laws are
President/Chairman, Vice President, Secretary and Treasurer. However,
Kavilco does not currently have a Treasurer, but employs a Chief Financial
Officer. The Board President/Chairman also is employed as Chief Executive
Officer. The Board of Directors recommends the election of the Class II
incumbents: Louis Jones, Sr., John Campbell and Kenneth Gordon.

All cash compensation paid by the Company for the year ended December 31,
2002, to each of the most highly paid Executive Officers, whose cash
compensation exceeds $60,000.00, and to all executive officers as a group,
is as shown in the following table:

Cash Compensation Table

(A) (B) (C)
Name of Individual Capacities in Cash
or Number in Group Which Served Compensation

Louis A. Thompson Chief Executive $ 88,180
Officer, Chairman and
President

Scott Burns Chief Financial $ 106,945
Officer

All the executive
officers as a group
(2 persons) $ 195,125

COMPENSATION PURSUANT TO PLANS

The Company has a retirement plan for its employees that is a defined
contribution plan with the annual contribution being equal to 20% of the
participant's salary. All contributions are pooled in a brokerage trust account
held at Charles Schwab

INFORMATION AS TO NOMINEES AND CONTINUING DIRECTORS

On the Record Date, there were 11,576.83 shares of Class A Stock of the Company
outstanding. The following table shows the beneficial ownership of the officers
and Directors of the Company, individually and as a group, of Class A stock as
of October 15, 2003:

- ------------------ -------------------- ----- --------- -------- ------------------------- --------------------
Term
Positions & Office as Principal Occupation & Amount of Beneficial
Offices with the Director Director Employment During Past Ownership/% of Class
Name Company Class Expires Since Five Years A on 9/30/03
- ------------------ -------------------- ----- --------- -------- ------------------------- --------------------

Louis Jones, Sr. Director/Vice II 2003 1979 Chief Engineer 130
Age 66 President Alaska Marine Hwy. 1.12%

John Campbell Director/ II 2003 1994 162
Age 34 Secretary Self-employed 1.39%

Jeane Breinig Director I 2005 1993 English Professor 140
Age 48 University of Alaska 1.20%

Kenneth Gordon Director II 2003 1994 Self employed house 100
Age 43 painter/student .86%

Ramona Hamar Director I 2005 1973 Office Manager for a 150
Age 60 Dentist's office 1.29%

Laird A. Jones Director III 2004 1994 Community Director Quota 100
Age 48 Specialist .86%

Melanie Locklear Director III 2004 1997 Sign Shop Owner 100
Age 34 .86%

Marie K. Miller Director I 2005 2003 Human Resources Manager 100
Age 38 .86%

Scott Burns Chief Financial Chief Financial Officer - 0 -
Age 57 Officer for Kavilco - 0 -%

- ------------------ -------------------- ----- --------- -------- ------------------------- --------------------

INTERESTED DIRECTOR

- ------------------ -------------------- ----- --------- -------- ------------------------- --------------------
Louis A. Thompson President/CEO III 2004 1972 Chief Executive Officer 137
Age 67 Chairman Director 1.18%
- ------------------ -------------------- ----- --------- -------- ------------------------- --------------------

Because Mr. Thompson is an employee of the Company and a member of the Board of
Directors he is an "interested person" as defined by the Investment Company Act
of 1940, as amended.

The Securities and Exchange Commission defines family relationships as directors
and officers that are members of the same household. Accordingly, there are no
family relationships between any of the directors or executive officers of the
Company. Laird Jones, John Campbell and Jeane Breinig also serve on the Board of
Directors of Kasaan Haida Heritage Foundation. None of Kavilco's other directors
hold directorships anywhere else.

The Company does not have an auditing, nominating or compensation committee.
However the Board of Directors reviews annually the auditor's independence
letter, management letter, statement of auditing standards letter and internal
control memo. The Board of Directors selects nominees from incumbent directors
of the Company. The Board of Directors review employee's compensation every
three years and occasionally review per diem and fees, the last review and
subsequent increase took place in January 2000.

The Board of Directors held six regular bimonthly meetings for the year ended
December 31, 2002.

COMPENSATION OF DIRECTORS

Each officer and director receives $1,100 in fees and $500 in per diem for each
meeting they attend. In addition the Company pays for up to 4 days of travel and
hotel expenses to attend the meetings. Several directors also participate in a
Company medical insurance program.

(2) RATIFICATION OF INDEPENDENT PUBLIC ACCOUNTANTS

The approval of selection of Anderson ZurMuehlen & Company, P.C. as independent
public accountants of the Company is voted on by the Board of Directors at their
Board meeting prior to the Annual meeting. Shareholders are asked to approve or
ratify this selection. Unless the proxy holders are instructed otherwise,
proxies will vote for the selection of Anderson ZurMuehlen & Company, P.C. as
independent public accountants. If this selection is not approved, the Board of
Directors intends to take the matter under advisement. No representative of
Anderson ZurMuehlen & Company, P.C. is expected to be present at the Annual
meeting.

Kavilco paid Anderson ZurMuehlen & Company, P.C. $2,500 for income tax
preparation and $13,500 for audit services for the fiscal year ended December
31, 2002 for a total of $16,000.

OTHER MATTERS

The Board of Directors knows of no matters, other than those mentioned in the
proxy, to be brought before the meeting. However, if other matters do properly
come before the meeting, it is the intention of the proxy holders to vote
proxies according to their best judgment.

By Order of the Board of Directors

/s/LOUIS A. THOMPSON

Louis A. Thompson,
President

Seattle, Washington

October, 2003

KAVILCO INCORPORATED
PROXY SOLICITED BY BOARD OF DIRECTORS
ANNUAL MEETING OF SHAREHOLDERS
NOVEMBER 15, 2003

As to matters 1 and 2, discretionary authority is hereby granted to any such
matter as to which no choice is indicated. Discretionary authority is hereby
granted as to any other matters that may lawfully come before the meeting.
Management knows of no other matters to be considered by the Shareholders.

CHECK BOX (A) OR (B)

(1)
(A) [ ] TO VOTE DISCRETIONARY for the election of three Nominees as
set forth in the Board of Directors' Proxy Statement for the
three-year terms ending in 2006. The undersigned hereby appoints
Jeane Breinig, Ramona Hamar and Marie K. Miller, or any of them,
Proxies for the undersigned to vote on their behalf.
(B) [ ] TO VOTE DIRECTED in the manner set forth below for the
election of the Nominees below for the Board of Directors of the
Corporation for three-year terms ending in 2006.

Nominee Number of Shares X 3 = Number of Votes Cast
------------------------------------------------------------

Louis Jones, Sr. X 3
---------- --------------------
John Campbell X 3
---------- --------------------
Kenneth Gordon X 3
---------- --------------------

(2) To ratify the selection of Anderson ZurMuehlen & Co., P.C., as the
independent public accountants for the Company.

FOR [ ] AGAINST [ ] ABSTAIN [ ]

THE BOARD OF DIRECTORS MAKES THE FOREGOING PROPOSALS AND THE PROXY IS SOLICITED
BY THE BOARD OF DIRECTORS AND WILL BE VOTED AS SPECIFIED.

PLEASE SIGN, DATE AND RETURN THIS PROXY PROMPTLY IN THE POSTAGE PAID ENVELOPE
PROVIDED.

Number of shares _________________
Dated ______________________________, 2003

Name: X_____________________________________________

Sign here as name appears to the left

Class: # of Shares:

IMPORTANT: Executors, Administrators, Trustees, Guardians
should so indicate.