Progress Toward Sustainability Goals

Using a three-point scale (exceeds, achieves or below), we use dashboards to rate our performance in key areas, such as safety and shareholder return. This chart provides a snapshot of our sustainability performance across the company. Information within each section of our sustainability website then provides more context to explain the rating. Follow the links inside the chart to find out more. We will update information and data annually at mid-year.

Progress Toward Sustainability Goals
Goal	Indicator	2007 Results	2008 Results	Rating
Shareholder Value
We continually improve our total shareholder return	Total Shareholder Return outperforms the Standard & Poor’s 500 Index in at least 1 of 2 timeframes	10.96% TSR (1-yr) 12.40% TSR (5-yr)	-56.57% TSR (1-yr) -10.28% TSR (5-yr)	Below
Sustainable Systems
All timberlands are certified to sustainable forestry standards	≥95% of timberlands worldwide are certified to sustainable standards	100% (North America)certified since March 2005	98% worldwide	Achieves
Our operations have certification-ready environmental management systems	≥90% of facilities have environmental management systems which are ISO 14001-ready	89% conformed to ISO 14001 standards	92% have certification-ready EMS	Achieves
Our business strategies incorporate sustainability considerations	Businesses demonstrate that sustainability considerations are integrated into business planning and decision making	Not tracked	Included on CEO goals to track for 2009 operating year	N/A: New Goal
Employee Well-Being
We work in an injury-free environment	Recordable incident rate is less than one	1.2 RIR	0.98 RIR	Achieves
We work in an injury-free environment	65-85% of manufacturing facilities operate with zero lost-time injuries	74% facilities with zero lost-time injuries	75% facilities with zero lost-time injuries	Achieves
Our workplace is diverse and inclusive	Maintain or improve overall workforce representation	3.6% improvement	3.2% improvement	Achieves
Our workplace is diverse and inclusive	Make progress in placements-against-opportunities	101.2% placement rate	92.7% placement rate	Below
Environmental Footprint
We continually reduce our impact on the environment	40% reduction in GHG emissions from 2000 levels by 2020	15% less than 2000	10% less than 2000	Below
We continually reduce our impact on the environment	20% reduction in water use at our cellulose fibers mills from 2007 levels by 2012	Analyzed performance of primary mills; set goal	10% reduction	Achieves
Product Responsibility
Our products are made with sustainable resources	Continue certifying all the forest products we manufacture to sustainable forestry standards	94% certified (North American-made only)	99% (worldwide)	Achieves
Our products are made with sustainable resources	Develop strategy that reflects our commitment to product stewardship	New Goal	Set goal for 2009	N/A: New Goal
Citizenship
We support the communities where we operate	Progress made toward long-term goal of 25% foundation funding directed to grants that advance renewable natural resources.	Not tracked	30%	Exceeds
Governance
Our corporation is governed responsibly	Comply with NYSE independent board membership requirements	84.6% independent	92.3% independent	Achieves
	All employees complete ethics training	98.5% completed	Next training will be delivered in 2010	N/A for 2008
	All salaried employees complete our annual ethics Certificate of Compliance questionnaire	100%	100%	Achieves

Last updated Jun. 15, 2009.