2010 Annual Report Dear Shareholder, 2010 was an exciting and at the same time challenging year for the NorthWest Indiana Bancorp: exciting because we celebrated the 100th year of our tradition of community banking; and challenging because of the continuing effects of the Great Recession that has gripped our nation’s economy. On behalf of your Board of Directors and our entire team of dedicated employees, I am pleased to report to you the results of our operations during the last year. With a strong management team, dedicated community bank employees, strong core  earnings, capital, and efficient banking operations, the Bancorp continues to generate operating profits that outpace industry performance.  Despite the worst recession in modern times, the Bancorp reported income of $5.2 million in 2010, a 108.2% increase over the prior year. In the midst of this economically challenged  environment, we continue to pay dividends and build shareholder value. Our key financial ratios proved superior to our community banking peers with our return on assets at 0.77% and our return on equity at 9.03%. The Bancorp’s earnings per share were $1.83 for the year which was also more than twice the $0.88 reported for 2009. Again in 2010, US Banker magazine recognized the Bancorp as one of the Top 200 Community Banks in America.  Since 1910, Peoples Bank, our operating subsidiary, has been honored to serve the  residents and businesses of Northwest Indiana. From our humble beginnings a century ago,  the Bank has grown in stature and reputation to play a major role in the communities we serve. The Bank has weathered many economic storms throughout our history and each time has emerged stronger than before. The solid values and culture that form the cornerstone of the Bank have remained steadfast for over four generations. Fair and honest dealings have been critical to the success of the  enterprise along with an unwavering commitment to consumer and small business needs in our communities. As a result, we have enjoyed the good will and loyalty of our customers, neighbors, community leaders and businesses in Lake and Porter counties. Nationally, signs that the Great Recession was waning began to emerge in the latter part of the year, but unemployment remained stubbornly high. Likewise, consumer confidence showed signs of improvement but households and small businesses continued to close their wallets to new spending and business expansion. Asset values for home and commercial real estate remained in decline as deleveraging impacted the balance sheets of individuals and corporations. Economy and Operating Environment 2010 Earnings Double Over the Prior Year David A. Bochnowski Chairman and  Chief Executive Officer 1 100 Years Strong