We are pleased to report that IU Credit Union achieved excellent results in 2012 and remains financially strong and well positioned to meet the growing needs of our members. The Credit Union's strategic goals included increasing loan balances, implementing technology enhancements and continuing to provide outstanding service.
Total assets increased to $726 million and net income of $5 million increased total members' equity to $91 million. Net worth, a key indicator of safety and soundness, has remained at 12% for ten consecutive years.
"We remain passionate
about the communities we
serve, particularly in the
areas of education and
In 2012, total loan balances increased nearly $53 million, or 14.4%. Retail loan balances increased by $37 million, or 12.8%. For the fourth consecutive year, we lead the market in residential real estate lending with a record $125 million in originations. We also realized outstanding results in business lending with an increase of $16 million, or 20.4%.
Another significant accomplishment in 2012 was our data processing conversion. This installation was essential to meet the Credit Union's technology needs and long-term objectives. IU Credit Union staff worked tirelessly to ensure a smooth transition and minimal service disruption for the membership.
We remain passionate about the communities we serve, particularly in the areas of education and financial literacy. Each year, IU Credit Union awards $31,000 in scholarships to college students. In 2012, we provided a $10,000 lead gift to enable the continuation of the Franklin Initiative Graduation Coach Program. In addition, we presented numerous financial education workshops for local organizations and schools. Our 2012 United Way workplace campaign raised $40,000 through employee and Credit Union contributions. IU Credit Union employees volunteered at Hoosier Hills Food Bank, Community Kitchen, and the Salvation Army.
We thank our members for voting IU Credit Union as the Herald-Times Readers' Choice "Best Bank/Credit Union" for the sixth consecutive year.
In 2013, our efforts will center on strengthening member relationships. We will open a new Whitehall branch to better serve our westside members. Debit cards will be converted and upgraded to the MasterCard brand providing added value and benefits to our membership. We will implement a relationship program designed to reward members for using our products and services.
On behalf of our Board of Directors and employees, we thank you for your continued support and confidence in IU Credit Union. We pledge to keep our members and communities as top priorities, and to continue our tradition of service excellence.