Weyerhaeuser 2006 sustainability report overview

ACTIONS
SPEAK
LOUDER
WEYERhAEUSER ON SUSTAINABILITY 2006 compAny overvieW

AND WE At WeyerhAeuser, sustAinAbility is more
thAn just A Word. it’s smArt business.

DELIVER For more thAn A century, We’ve been
inspired by trees. their strength,
vitAlity And unlimited potentiAl continue
to guide us As We creAte imAginAtive,
sustAinAble solutions to the World’s
chAllenges.

WE FOCUS ON DOING IT SAFELY, PROFITABLY
AND RESPONSIBLY.

01

WEYERhAEUSER COmPANY 2006 compAny overvieW

CREATE
SOLUTIONS. We’re always innovating for our customers. every product we make begins
with trees — our history is rooted in them and our future depends on them.

300
mILLION
paper bags
filled with groceries
in 2006

21.9
$
BILLION
5,836 in 2006 net revenue
families in from products
new homes and services
in 2006

JIm OVERTON, inventory Forester, looKs through A lAser rAnge Finder At our tree FArm in springField, ore.
photo by dave putnam

02 / 03


CONNECT
PEOPLE. We can’t do it alone. each relationship we build — with a partner, an employee or
a community — is an investment in our long-term success.

338 185,699
volunteer hours in 2006
fewer people injured in 2006

40
relationships with diverse
organizations in 2006

contrAct employees hEATh SLIPPER And DON PENNELCA hAul lumber At A QuAdrAnt homes construction site in dupont, WAsh.

04 05
00 / 00


ChANGE 97 %
TEChNOLOGY. We make change happen. using science and technology, we get even more out of our of each log used in
resources, reduce our environmental impact, and operate more efficiently. North America

22 %
drop in fertilizer use since 2004
due to more efficient processes
in our U.S. timberlands

40 %
reduction in greenhouse gases
from 2000 levels by 2020

VIET VUONG, project coordinAtor, tests WAter QuAlity outside our port WentWorth, gA., cellulose Fibers mill.

06 / 07


CREATE
WhAT
CUSTOmERS WE PUT INNOVATION AT ThE SERVICE OF
OUR CUSTOmERS. by Focusing on the

DEmAND
sAFe, proFitAble delivery oF distinctive
products to mArKet, We mAKe the most
oF our resources.
it all comes back to the trees. We grow other cellulose-based, nonwoven
them, study them and conserve them, but materials exist, but manufacturing them

PERCENTAGE OF PRODUCTS CERTIFIED
above all, we use them. Whether we’re is complex. rather than cutting fibers
100
building a stronger family home with engi- and bonding them together, meltblown
neered lumber, increasing the absorbency lyocell fibers are continuous and self-bond-
80

of cellulose fibers, or making more durable ing, adding to their strength and softness.
60
containerboard, our people are constantly the material is made in an efficient
taking action to tap the full potential of process that eliminates several steps.
40

this remarkable, renewable resource. meltblown isn’t yet commercialized, but
20
we’re working to bring this patented
mAKING A SOFTER, STRONGER WIPE new technology to market. After years of
00
03 04 05 06 07
the wipes you use to clean fingers and research, Weyerhaeuser, reicofil (a leading
PRODUCT CERTIFICATION by the
soak up spills will soon be stronger, softer maker of production machinery for non-
end of 2007, all our north American-
and biodegradable — thanks to a new woven products) and the Fraunhofer institute
made forest products will be certified
to sustainable forestry standards. nonwoven material called meltblown lyocell for Applied polymer research have launched
a pilot line in germany. For more information,
invented by Weyerhaeuser.
most disposable wipes on the market visit www.meltblownlyocell.com.
today are made from petroleum and don’t
YEW TREES hELP DEFEAT CANCER
easily break down in landfills. this new ma-
terial will allow consumers to choose one in a very special area of our turner, ore.,
made from a renewable resource — our nursery grows a group of trees distinguished
exceptionally pure peach™ pulp. since it’s not only by their appearance but also by the
made from cellulose, meltblown lyocell is critical role they play for those suffering from
also more supple, breathable and durable, cancer. only three feet tall when harvested,
like cotton. it’s especially strong when wet this specially selected variety of yew tree
and is more absorbent than polypropylene. delivers a big yield — taxane, which is used
it has plenty of other possible uses, too, to create the life-saving chemotherapy
such as hospital gowns, drapes and pillow drug taxol.
cases — even regular clothing. Few other companies currently raise yew
trees expressly for pharmaceutical purposes,

08 / 09


RECYCLABLE WAX-FREE BOX. evaet schreier, scientist, tests
the strength of a water-resistant box made with climaguard™
containerboard. it’s one of the first boxes on the market to meet
recycling protocols for wax alternatives.

PARDEE CUSTOmERS ARE LIVING SmART
to attract more grocery chains that want
more and more people want to make an
to reduce landfill costs and environmental
impact. the boxes are more stable on pal- environmentally sound choice when they
lets, making shipping easier. And the waste purchase a home for their family. As a result,
generated in the plants that make this a growing number of master developers are
product can be used as recycled content requiring green-building approaches from
for our containerboard mills. builders. pardee homes — a subsidiary of
Weyerhaeuser real estate company — is
ADAPTING TO mARKET TRENDS meeting this growing market need with
With newspaper readership on the decline, livingsmart® .
our norpAc newsprint facility is turning thirty-six percent of new pardee homes
challenge into opportunity by taking norbrite® include livingsmart options that improve
FOR READERS our joint-venture
paper to the book publishing market. air and water quality, energy use and
newsprint mill is breaking into the book
this high-bright uncoated mechanical resource consumption. plus, any home built
publishing market with its norbrite®
book paper. photo by dave putnam. paper has plenty of selling points. First, it’s with wood is a smart environmental choice
made with a thermo-mechanical pulping because it takes 16 percent less energy
process, which uses about half the wood to manufacture a home framed with wood
chips required for the same quantity of than with concrete or steel. And unlike
offset paper made using the traditional other building materials, wood products
kraft process. second, it requires fewer store carbon.
chemicals since it uses heat and mechani- livingsmart customers say they can’t
cal grinding instead of oxygenated chlorine ignore the numbers. “in my previous
to break down the chips. third, the process home, the bills were so high,” says pardee
customer judi French of california. With
creates shorter fibers that lock together
EVAET SChREIER, scientist, WeyerhAeuser technology center, FederAl WAy, WAsh.
easily, creating a more solid mesh for three kids, French appreciates the energy
higher opacity, a bulkier sheet and better savings from features like her tankless
printability. And finally, norpAc’s paper water heater, solar panels and energy star
products are certified as meeting the appliances. “i’m very conscious of our
sustainable Forestry initiative® standard. environmental impact,” she says.
norbrite paper can already be found the enthusiastic market reaction to
but we’ve been evolving this innovative process for nearly 20 to stand up to the strain, these boxes are typically impregnated
in many of today’s popular novels, such livingsmart is matched by business
years. today, depending on demand, we produce up to 450 dry and coated with wax. but that makes them difficult and costly
as The Notebook by nicholas sparks benefits. “it differentiates us in a crowded
metric tons of yew biomass annually. last season, we planted to recycle.
marketplace,” says joyce mason, pardee’s
and Sam’s Letters to Jennifer by james
more than 2 million yew trees. more importantly, since our first more people are demanding that grocery stores recycle all their
patterson. more than 78 million people vice president of marketing. “And it
cultivation in 1993, more than 2 million doses of taxol have been waste, so Kroger, one of America’s largest grocery chains, took
also thumb through it as they read Parade lets home buyers save money by being
produced. An increasing trend toward synthetic production of the issue to tyson Foods, its chicken supplier. As our largest box
magazine, distributed with 370 u.s. ‘green.’” For more information, visit
cancer-fighting compounds creates uncertainty for this profitable customer, tyson promptly brought it to us.
sunday newspapers. norpAc is a joint www.pardeehomes.com.
business, but we will continue to explore possibilities for other Fortunately, we were ready. “We fine-tuned a process we were
venture between Weyerhaeuser and nippon
bio-related uses for our forests and nurseries. already working on to make a recyclable treated paper that’s
paper industries, based in longview, Wash.
competitive with wax,” says terry grant, our senior scientist for
WAX-FREE BOX KEEPS ChICKEN COOL composite materials.
imagine a tasty chicken roasting on a spit at your local grocery enter climaguard™, our water-resistant corrugated medium and
store. before that chicken gets hot, it gets shipped in wet bags on liner. it’s just one of several recyclable products offered in our full
ice. that moisture puts stress on corrugated shipping containers. clima series™ line. now our customers have a competitive edge

10 / 11


50 %
mORE EFFICIENCY
AT ThE JOB SITE
UNIQUE iLEVEL SOLUTION REDUCES WASTE. For a faster, more precise way to build homes,
dealers are calling on ilevel’s nextphasetm site solutions. that’s because this new package of soft-
ware, products, equipment and services lets them deliver customized home plans and premanufactured
panel sections directly to builders. the result? dramatically reduced job-site waste and less labor required
to get the job done means a 50 percent boost in construction-site efficiency for builders looking for
integrated solutions. For building components of idaho, a total framing services provider, nextphase site
solutions hit the mark. “now we can control how materials are used ahead of time, versus on the job site,”
says caleb doty, sales and marketing manager. ”When we need to get the job done on deadline and in tight
quarters, nextphase makes the work safer and more efficient.” For more information, visit www.ilevel.com.

CALEB DOTY, sAles And mArKeting mAnAger For building components oF idAho in boise, revieWs plAns At his customer’s construction site.

12 / 13


CONNECT
WITh
WhAT WE BUILD RELATIONShIPS. by engAging
employees, WorKing With communities,

mATTERS
And listening to All our stAKeholders,
We get results.

partnership can take many forms: working “We had no earthly idea,” says don
with other organizations and companies valentine from Quiet sun. “We had already
to preserve our natural world; listening staked the well and that’s where we wanted
to the communities where we live and work it. but we moved it and did oK. i respect
to find answers for pressing needs; and Weyerhaeuser for taking these steps. the
joining together as employees to improve earth fruit may have a use in the future that
the work environment that we all share. we don’t know about today.”
in every case, the whole is far greater than Weyerhaeuser routinely reviews pro-
the sum of its parts, and the effects of our posed oil, gas and mining activity on our
combined strength can be extraordinary. timberlands for potential concerns. it’s
part of our voluntary commitment to the
PARTNERING TO PROTECT EARTh FRUIT sustainable Forestry initiative® which
,
EARTh FRUIT rarely more than an
even the tiniest plants get noticed by requires that we identify and protect rare
inch high, the earth fruit still stands
Weyerhaeuser scientists — especially when plants and threatened wildlife in our
on louisiana land that had been slated
for an oil well. photo courtesy of
they’re threatened. With buds as small forests. We’ve also partnered with other
casey galvin.
as pencil tips, earth fruit (also known as groups to protect earth fruit, including
Geocarpon minimum) grows on the edge a local hunting club and the missouri
of bare soil patches called “slicks” and botanical garden.
blooms for only a few weeks each year.
RECRUITING EFFORTS PAY OFF
the rare, federally protected plant lives
on land we own in northern louisiana. so to bring in diverse talent, Winchester
when Quiet sun investments proposed drill- homes, a subsidiary of Weyerhaeuser real
estate company, scours construction pro-
ing an oil well there, we took action. After
meeting with our foresters, the louisiana grams at select schools for recruits. that’s
natural heritage program and the u.s. how we discovered jeremy george, now a
Fish and Wildlife service, Quiet sun, which project manager, who was a student at the
leases the right to drill on our land, agreed university of maryland eastern shore three
to move the well site. years ago.

14 / 15


mANY WORK TO LIGhTEN LOAD FOR mISSISSIPPI FAmILY.
ivy pittman and his family were one of 128 families assisted
by Weyerhaeuser after hurricane Katrina destroyed their home.
“it’s unexplainable,” says pittman, who works at the local lumber
mill. “After working for Weyerhaeuser for 20 years, for them to
show such love for people in need is marvelous. the volunteers
worked tirelessly from daylight to dark…people we didn’t even
know. this is the greatest christmas present i could ever get.” the
pittman family moved into their new home in mid-december 2006.

“coming out of school, i was thrilled during the rebuild effort following hurricane
when they made me an offer,” says george. Katrina. For more information, visit
“it’s a great place to work. you can always www.gvshelters.com.
speak your mind and gain knowledge from
PITChING IN TO REBUILD LIVES
more experienced people.” if george hadn’t
been approached by Winchester, he says When hurricane Katrina struck at the heart
he would have been working for a smaller of our southern operations, ivy pittman,
homebuilder. “i think i made the wise who works at our mccomb, miss., lumber
choice,” he says. “i really like the environ- mill, felt the blow. the storm uprooted a
ment and enjoy seeing a beautiful home large red oak and magnolia tree, damaging
develop.” his home beyond repair. no one was hurt,
Five others like george get recruited into but the impact separated walls, shifted the
CONTAINERBOARD hUT A father and
son, left homeless by an earthquake, stand Winchester each year to experience the foundation, and destroyed everything from
outside a global village shelter, made and company’s internship program either as new furniture to family photos.
donated by Weyerhaeuser for disaster relief.
graduates or as students. About 75 percent After considering their options, ivy and
photo courtesy of phil suarez, nyc medics.
of the interns who participate in this three- his wife, betty, were thrilled to learn about
year-old program are women or minorities. Weyerhaeuser’s loaned-employee program,
which sent volunteers from around the
TRIPLE-WALL hUTS KEEP FAmILIES WARm continent to help rebuild the homes of
When a devastating earthquake hit a fellow employees, retirees and people in
remote region of Kashmir in late 2005, the the community. We covered the volunteers’
people who live there were suddenly facing salaries plus the cost of travel and living
winter without shelter. in most cases, tents expenses.
are the easiest and cheapest solution for our response to the disaster garnered a
temporary refuge. but in a mountainous 2006 u.s. presidential award for corporate
leadership. our company and Foundation
region where temperatures often sink to well
below freezing, tents just wouldn’t suffice. invested more than $2.8 million in relief
luckily, Weyerhaeuser — in partnership efforts that, in addition to the loaned-
with global village shelter llc in morris, employee program, included a full-time
conn. — makes a 67-square-foot tri-Wall® disaster relief coordinator, an adopt-a-
structure that, while not luxurious, can family program, and a gold-standard guide
keep a family alive. the triple-wall corrugated to helping employees in a natural disaster
containerboard structures are treated that has been shared with relief organiza-
for water- and fire-resistance and, most tions and other companies. by the end
importantly, can be warmed by fire or small of 2006, 300 Weyerhaeuser people from
stoves. We donated 500 global village across north America rebuilt more than
shelters to the tremor-traumatized region. 50 damaged or destroyed homes. in all,
An all-volunteer group of new york city 128 employee and retiree families are being
emergency medical workers traveled there assisted. to download the disaster relief
to help set them up. guide, visit www.weyerhaeuser.com/katrina.
the huts have been used during other
natural disasters, too — in the aftermath
of hurricanes in grenada in 2005, and IVY PITTmAN, plAner operAtor, mccomb, miss.

16 / 17


ZERO
RECORDABLE INJURIES
AT NEW BERN IN 2006
SAFETY FOCUS ELImINATES INJURY, BOOSTS PRODUCTIVITY. people with positive attitudes who
take the time to work safely: that describes our lumber mill in new bern, n.c., today. but it wasn’t
always so. After losing a co-worker to fatal injury and faced with a climbing recordable incident rate, employees
at the mill stopped trying to do too much too fast, and took ownership of the safety efforts on site. “people
really care about each other here now — from top to bottom,” says Floyd cox, new bern safety committee
chair. in 2006, the mill operated without a single recordable injury. And productivity has also improved,
with a high-grade yield that’s up 42 percent over the previous year.

ZACKARY LAWSON, sAW Filer iii At our neW bern, n.c., lumber mill,
WeArs proper protective geAr While eXAmining A sAW blAde.

18 / 19


ChANGE
ThE
RIGhT WE USE SCIENCE AND TEChNOLOGY TO
KEEP OUR ENVIRONmENT hEALThY. by

ThINGS
continuAlly improving our operAting
prActices, We’ll stAy in business For
yeArs to come.

you can’t stay viable as a business for the arrangement saves money and reduces
more than a century without adapting. but our reliance on fossil fuel.
$ 489
ThOUSAND change isn’t only about reacting to the For several years, the mill has been
world around you. For us, it also requires diverting steam created in the pulp
actively searching for innovative ways to manufacturing process to an on-site 80-
$ 15.1 reduce our impact, streamline our processes megawatt co-generation power plant, owned
$ 1.4
mILLION mILLION
and improve how we manage our forests. by transcanada energy. We provide the
resources, land and operators to run the
REDUCED ImPACT ALSO LOWERS COST plant, and in return, our mill receives less
$ 977
ThOUSAND
it’s no secret that winter is long and cold expensive power. the arrangement reduces
in northern canada. but while some may reliance on fossil fuels and, since bark,
$ 1.2
mILLION
be inclined to hibernate, employees at waste wood and sawdust are burned to
our cellulose fibers mill in grande prairie, produce the steam, less goes to landfill.
Alberta, stay busy year-round finding ways Finally, the mill’s new recovery boiler —
to minimize our impact on the environment. slated for startup in late summer of 2007
INVESTING IN RESEARCh in 2006,
we invested more than $19 million in
to begin with, the mill’s water consump- — will, among other improvements, elimi-
research to better understand our forests.
tion is down 25 percent since 2002. by nate emissions from the dissolving tank
improving our ability to recycle the water by redirecting them back to the boiler. the
FOREST hEALTh AND PRODUCTIVITY
ECOSYSTEmS AND BIODIVERSITY we use, we’re reducing our intake from new design is projected to reduce the site’s
FISh AND WILDLIFE
the nearby river and minimizing waste. current annual carbon dioxide emissions
WATER QUALITY
our wastewater treatment costs are down by 25 percent and sulfur dioxide emissions
OThER
20 percent since 2002 as well. by 80 percent.
the mill has also begun purchasing
WE’RE SERIOUS ABOUT RESEARCh
hydrogen from the sodium chlorate plant
next door. emissions that used to be scientific research takes effort and money.
released directly into the atmosphere by Without financial support, many studies
that facility are now feeding our lime kiln, would never get off the ground. We know
dropping natural gas usage by 30 percent. research is critical to understanding our

20/21


A BIGGER ROOT. new pruning technique stimulates seedling root
growth and boosts their survival rate by 10 percent.

higher survival rates mean fewer seed- year received a service award from the
lings need to be planted, saving money. southeastern bat diversity network and a
A healthy start boosts land productivity by Wildlife stewardship Award from the
allowing harvest to occur sooner, which American Forest & paper Association.
gives us a quicker return on our invest- so far, our studies indicate that
ment. And, of course, a forest that comes Weyerhaeuser’s forests provide habitat
back more quickly is good for wildlife, water for many bat species. ongoing research
quality and natural beauty. to this end, we will help determine whether we need to
have improved our approach to root pruning make special considerations for them,
in our southern timberlands operations. such as leaving large, dead trees after
“From the time trees are planted — harvest for roost sites. by making an
usually in the cold winter months — until effort to better understand this important
BAT RESEARCh bats are an indicator
of forest health, so we work with scientists the spring, they depend on the roots they creature, we’ll do a better job managing
and universities to understand how our grew in the nursery,” says bruce Francis, our forests to provide wildlife habitat while
forest practices affect them. photo courtesy
southeast regeneration team leader. sustainably growing and harvesting trees.
of bret estep, georgia power.
“We’ve patented a system for spacing seed- For more information, visit www.sbdn.org.
lings and pruning their roots to stimulate
LYPTUS hARDWOOD A PERFECT FIT
greater-than-normal growth while they’re
still in the nursery. the bigger the root, the When b’nai shalom in West orange, n.j.,
better a transplanted seedling can absorb recently renovated their synagogue, they
water as it awaits the arrival of warmer wanted to take a “responsible, respect-
weather.” it’s an effort that’s paying off with able approach to architectural design” and
a 10 percent boost in seedling survival. decided that selecting lyptus® hardwood
would be “a perfect fit.”
BATS OFFER INSIGhT TO FOREST hEALTh that could well be because lyptus hard-
most people don’t relish the prospect of wood, besides being beautiful, comes from
encountering a bat in person, but this noto- eucalyptus trees that are grown, harvested
LUCY WALKER, nursery mAnAger, WAshington, n.c. rious reputation is undeserved. bats play and manufactured with the environment
an important role in the balance of nature in mind.
by helping control insects. one bat can made in brazil by a joint-venture opera-
catch as many as 1,200 insects in an hour. tion between Weyerhaeuser and Aracruz
they are also an indicator of forest health, cellulose s.A., lyptus products come from
but of the 45 kinds of bats found in the plantation-grown trees. more than 20
forests. that’s why in 2006 Weyerhaeuser spent more than conservation forestry practices, such as prescribed burning.” united states, seven are listed as threat- percent of each plantation is kept in native
$19 million on forestry research. in addition to funding our own in canada, Weyerhaeuser has teamed up with ducks unlimited ened or endangered. that’s why we work vegetation to help maintain the natural
research and development, we direct money to universities, to jointly fund and conduct research on a migratory bird habitat with scientists and universities to learn ecosystem. After first harvest, many of the
research institutions and other organizations that study forest on 12 million acres of Weyerhaeuser-managed land in Alberta. more about how our forest practices affect second-generation trees are grown from
health and productivity, water quality, fish and wildlife, ecosystems Alberta is also the focus of a multiyear study of woodland caribou. bats that make their home on our land. the stump of the original tree, minimizing
and biodiversity. For more information, visit www.nature.org and www.ducks.ca. in mississippi, for example, dr. darren land disturbance. And species that were
in Arkansas, for example, we’re funding a multi-year study by miller, our southern wildlife program man- originally native to the area a century ago
BIG ROOTS GROW STRONGER TREES
the nature conservancy to assess the biodiversity of a pine plan- ager, leads a team that operates when have been reintroduced.
tation and how our forestry practices affect that biodiversity. every year, more than 100 million Weyerhaeuser seedlings begin these furry, flying mammals do — about the plantations are predominantly
“We’ll first do a baseline count of the number and variety of bird a struggle for survival. drought might parch them; deer may eat “o-dark-thirty.” owned by Aracruz and are certified to
them; a frost may chill them to death. even small improvements
and plant species found in managed forests at different stages of “We capture bats, tag them with tempo- brazil’s internationally recognized sus-
maturity,” says joe Fox, project leader for tnc. “then we’ll compare in a seedling’s ability to survive its crucial first year can yield big rary transmitters, and observe them so we tainable forestry standard, cerFlor.
the baseline to the count after Weyerhaeuser plants, fertilizes, increases to our bottom line. so it’s no surprise that we use can better understand how they use our moreover, the joint-venture mill uses wood
applies herbicides, thins and prunes. We’ll also study the effect of science to develop hardier seedlings. managed forests,” says miller, who last residuals as bio-energy for fuel.

22 /23


53 %
PROJECTED DROP IN
GREENhOUSE GAS
EmISSIONS AT CAmPTI
NEW BOILER WILL CUT EmISSIONS AND COST. last year, we committed to cut our companywide
greenhouse gas emissions 40 percent from 2000 levels by 2020, the most aggressive target
set in our industry. A number of capital projects will support that goal, as in campti, la., where two aging
recovery boilers and an old turbine at our containerboard mill are being replaced. the move is expected
to reduce the mill’s emissions by 53 percent by 2009, which is equivalent to removing 15,372 cars from
the road. it will also boost production capacity and cut utility costs. “We designed the new components
to squeeze every last drop of energy out of our free black liquor and inexpensive waste-wood fuel,” says
danny Wisher, plant engineer. “the project should pay for itself quickly. by investing capital on the front
end, we’ll reap the benefits for years to come.” to learn more about our greenhouse gas commitment, visit
www.weyerhaeuser.com/environment.

ELLIE BLY, process engineer At our contAinerboArd mill in cAmpti, lA., eXAmines A volAtile orgAnic compound sniFFer.

24 / 25


DEAR
FELLOW
STAKE- IT’S ONE ThING TO TALK ABOUT hOW
SUSTAINABILITY ShOULD WORK. it’s

hOLDER
Another to hAve the discipline, Focus
And inventive spirit to put it into
Action. thAt’s WeyerhAeuser.

in the preceding pages, you’ve seen some the heart of all our operations has
of the real action we’re taking all over the always been the forest. We manage our
company to get the most out of every tree timberland at sustainable rates of har-
we harvest. but there is still work for us to vest, regeneration and growth so that our
do, and even with all our strengths, chal- primary resource is renewed for the future.
lenges remain. As we face them, it’s the one hundred percent of our forests in the
power of our sustainable business model united states and canada are indepen-
that will help us succeed. it’s a model where dently certified to the standards of the
all our goals are interlocked, and where sustainable Forestry initiative®or canadian
reaching each goal depends on the success standards Association.
of the others. We have environmental management
systems in place at all of our manufacturing
SUSTAINABILITY TO DATE and timberland operations. they drive us
every year, we deliver innovative products to take a disciplined approach to monitoring
to customers who need them. to achieve and improving our environmental perfor-
this goal, we work within a sustainability mance. And we continue to minimize
framework that drives us to perform in our environmental impact. this includes
critical areas of our business. reducing or eliminating chemicals used
everything we do begins with our ability in our manufacturing processes, upgrading
to run profitable operations. each of our recovery boilers in our pulp facilities, and
businesses must earn the cost of capital, using biomass as fuel to help reduce reliance
have sufficient scale, and be able to grow on nonrenewable forms of energy. in fact,
over the long term. to maximize shareholder our expertise in using renewable fuel puts
return, we continually adjust our portfolio us in a unique position to shape the future
to remove nonstrategic and underperforming of sustainable energy.
operations, and respond to changing markets our focus on environmental performance
with focused business strategies. isn’t limited to our operations. customers

26 / 27

2006 GOALS 2006 RESULTS
less than 1.0 recordable incident rate 1.67 recordable incident rate

17% return on net assets 7.0% return on net assets*

improve representation of women and minorities in management positions 5.7% improvement

improve representation of women and minorities in professional and sales positions 4.2% improvement

40% reduction in ghg emissions from 2000 levels by 2020 13% less than in 2000 (2005 data**)

maintain 100% certification of north American forestlands 100% certified since march 2005

100% operations are iso 14001 certification-ready 100% ready

expect our products to perform too. in this report, you read about customers. but, just as the demands of a sustainable world NEW REPORTING STRUCTURE FORWARD-LOOKING STATEmENT
to make our sustainability information more accessible, transparent and timely, this report contains statements concerning the company’s future results and
wax-free recyclable boxes, energy-efficient homes, biodegradable grow, so will our set of goals.
we’re changing how we report on our performance. performance that are forward-looking statements within the meaning of the private
wipes, publishing paper that gets more out of each wood chip, and in August 2006, we conducted a sustainability gap analysis
the 2006 company overview you’re reading right now uses data points and securities litigation reform Act of 1995. some of these forward-looking statements
a new way to reduce waste during production-home construction. for our business. in comparing our performance with other case studies to demonstrate how we take an integrated approach to economic, can be identified by the use of forward-looking terminology such as “expects,”
our people use ingenuity to make the most out of every tree we companies, we identified five areas that we intend to improve. environmental and social performance. this report is mailed to all shareholders with “may,” “will,” “believes,” “should,” “approximately,” “anticipates,” “estimates”
• First, we will integrate our financial, environmental and social
harvest in a way that serves humanity, protects the environment, our 2006 Annual report and Form 10-K, which details our financial performance. and “plans,” and the negative or other variations of those terms or comparable
both are available in pdF and html format at www.weyerhaeuser.com. terminology or by discussions of goals, strategy, plans or intentions. in particular,
and does it profitably. reporting in a way that demonstrates the inter-relationship
later in 2007, when we’ve analyzed all our 2006 sustainability data, we’ll publish some of these forward-looking statements deal with expectations regarding the
Another type of environment is the one our employees experi- of our performance in each. this report, which is mailed to our
way we will conduct business; reduction in greenhouse gas emissions by 2020;
a detailed sustainability performance and policy report. it will be distributed to key
ence every day. our commitment to their health and safety in that shareholders along with our financial results, is our first step reduction in greenhouse gas emissions at campti, la., facility by 2009; commer-
stakeholders along with the 2006 company overview and posted on our Web site.
environment is absolute. to that end, we are working to create toward doing a better job describing how sustainability drives by midyear, we will also launch a new sustainability section on our Web site cialization and performance of meltblown lyocell; startup and performance of new
an injury-free workplace. A critical measure we use to monitor our our results. that features these reports, plus a host of other sustainability information. it will grand prairie recovery boiler; 100% certification of north American-made forest
include an index that you can use to compare our performance with the global products to sustainable forestry standards by the end of 2007; the impact of forest
• second, we recognize that companies operating in today’s
safety performance is the recordable incident rate, or number of
management programs and sustainable forest management systems; reductions
reporting initiative guidelines, which we have followed since 2002. For more infor-
injuries per hundred employees per year. i’m pleased to say that global marketplace should have a human rights policy. in
mation about the gri and its indicators, please visit www.globalreporting.org. in recordable incident rates; reduction in energy use; use of biomass; reduction in
in 2006 our rir came in at 1.67, the lowest in our history. 2007, we will craft a statement that reflects both our record water use; reduction in chemical use; increase in diversity; return on net assets;
safety is just one aspect of employee satisfaction. our goal is and our commitment to not use forced or compulsory labor, WhERE WE GET OUR DATA and similar matters. the accuracy of such statements is subject to a number of
to be an “employer of choice” that offers an inclusive, perfor- or child labor, in any of our operations. the Weyerhaeuser data contained in this report are drawn from established risks, uncertainties and assumptions that may cause actual results to differ materi-
company databases used regularly by our operations. We use quality-assurance ally from those projected, including but not limited to the effect of general economic
• third, we will seek broad input from our real estate business
mance-driven culture where employees thrive and grow. A critical
procedures to verify the data’s accuracy. in addition, each story in the report conditions, including the level of interest rates and housing starts; market demand
component of such an environment is diversity. We continue to customer base to understand how we can further our industry-
is reviewed by an internal subject-matter expert. the report’s final draft is reviewed for the company’s products, which may be tied to the relative strength of various
make progress in leadership role modeling, fostering an inclusive leading position as an environmentally sensitive production by members of our company disclosure committee to ensure any material u.s. business segments; energy prices; raw material prices; chemical prices;
work climate, and implementing mentor strategies. We monitor homebuilder. information is accurately communicated. performance of the company’s manufacturing operations; the successful execution
• Fourth, in support of our membership in the u.s. business
changes in our work force demographics at all levels to ensure Weyerhaeuser does not currently externally verify the data included in this of internal performance plans and initiatives; the level of competition from domestic
report, with the exception of the total 2006 net revenue shown on page 3, which and foreign producers; the effect of forestry, land use, environmental and other
this progress continues. roundtable s.e.e. change initiative, we are working on devel-
is audited and reported in accordance with securities exchange commission governmental policies and regulations, and changes in accounting regulations; the
still another environment where Weyerhaeuser plays a key role oping a water consumption reduction goal.
rules in our 2006 Form 10-K. We continue to monitor stakeholder interest and effect of weather; the risk of loss from fires, floods, windstorms, hurricanes and
• Finally, we’ll work to ensure that 100 percent of our north
is in the communities where we operate. As you saw in our trends in external verification of sustainability data. other natural disasters; transportation costs; legal proceedings; the effect of timing
profile on hurricane Katrina, we strongly encourage and support American-made forest products are certified to sustainable of retirements and changes in the market price of company stock on charges
employee volunteerism. our commitment also extends beyond forestry standards by the end of 2007. for stock-based compensation; and performance of pension fund investments and
related derivatives.
domestic borders, as demonstrated by our donation of 500 global From our forward-looking forestry practices of a century ago to
the company is also a large exporter and is affected by changes in economic
village shelters to the Kashmir-pakistan border region following the new products and strategies of today, Weyerhaeuser seeks
activity in europe and Asia, particularly japan, and by changes in currency exchange
an earthquake in 2005. to set the standard for sustainability. And although the bar is set rates, particularly the relative value of the u.s. dollar to the euro and the canadian
underpinning all we do is a strong corporate governance structure. higher each year, we are well equipped to meet the challenge. dollar, and restrictions on international trade or tariffs imposed on imports. these
our tradition of integrity, accountability and transparency can be We look forward to letting you know next year how we’ve reached and other factors could cause or contribute to actual results differing materially
from such forward-looking statements and, accordingly, no assurances can be given
found in our boardroom, where independent directors occupy every — and surpassed — that bar for 2007.
that any of the events anticipated by the forward-looking statements will occur,
seat except the chairman’s, and in the companywide ethics,
or if any of them occurs, what effect they will have on the company’s results of
policies and programs we’ve had in place for more than 30 years. operations or financial condition. the company expressly declines any obligation to
publicly revise any forward-looking statements that have been made to reflect the
SUSTAINABILITY IN ThE FUTURE steven r. rogel occurrence of events after the printing date of this publication.
our efforts will continue in 2007 and beyond, as we once again chairman, president and ceo
turn to the expertise we’ve gained over the last hundred years
to find new and responsible ways to meet the needs of our

ChART NOTES
* our 2006 return on net assets does not include assets and earnings from our real estate and related Assets segment, or from special purpose entities. it does include a refund of countervailing and anti-dumping duties on canadian softwood
lumber sold in the united states, but excludes gains from the sale of our composite panels assets and the goodwill write-down of our Fine paper assets. the 2006 ronA listed on this page is accurate as of press time, but subject to change
based on final financial data filed with the securities exchange commission in Weyerhaeuser’s 2006 Form 10-K.

FITCh, design CENVEO, printing
** data for 2006 not fully collected or analyzed at press time. look for a full report on our 2006 sustainability policies and performance to be published online and in print in june 2007.

For more information, please visit www.weyerhaeuser.com.

Weyerhaeuser 2006 sustainability report overview

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Weyerhaeuser 2006 sustainability report overview