Sustainable Systems Analysis

In August 2006, we conducted a sustainability gap analysis for our company. We analyzed sustainability performance and strategy information from 50 companies among our peer group, key customers and influential organizations. We also examined emerging sustainability trends, best practices and surveys received from social responsibility indices.

We targeted five areas for improvement in 2007:

• Integrating our financial and sustainability reporting

  Our Company Overview, mailed to shareholders in 2007, is a first step toward describing how sustainability is integral to achieving business results.

• Developing a human rights policy statement

  A statement that reflects both our record and our commitment to ensure there is no forced or compulsory labor, or child labor, in any of our operations.

• Evaluating sustainable residential building practices

  Weyerhaeuser Real Estate Company intends to retain its position as an industry leader for innovative and environmentally sensitive practices among large-volume builders.

• Reducing water consumption

  In support of our membership in the U.S. Business Roundtable S.E.E. Change initiative, we are developing a water consumption reduction goal.

• Labeling our products

  Nearly all of our North American-made forest products are certified to sustainable forestry standards. In 2007, we increased our use of labels to make that status clear to customers and consumers. By the end of 2008, our goal is to have labels on all qualifying products.

We will describe our progress on these initiatives in subsequent reports.

Sustainability has long been a part of Weyerhaeuser's values. In early 2007, this linkage became more direct as we introduced a revised Roadmap for Success, which documents our vision, values, behaviors and goals. For the first time, sustainability is explicitly stated as a key behavior: We will lead and manage our company in a sustainable and responsible way.

We involved internal and external stakeholders to understand the company's relevance to today's society. See the Stakeholder Engagement section for more information.