I am pleased to introduce our third Corporate Sustainability Report, in which we describe the status of our efforts to protect natural resources and our employees' health, safety and wellness, while delivering our mission of addressing significant unmet medical needs.

Our mission is guided by principles of scientific and operational excellence, long-term planning, execution, and people and culture. These principles are well aligned with concepts of sustainability, and our pursuit of them has supported a range of sustainability achievements.

One of these achievements is a significant increase in the efficiency of our manufacturing processes, which has led to a reduction in the amount of natural resources used in the delivery of each patient dose of our biotherapeutic products. As a company with the majority of our operations in California, a region with increasing natural resource constraints, we are particularly conscious of our responsibility to make careful use of resources such as energy and water.

Our employees play an important role in our sustainability efforts, and I am proud of the opportunities they are taking to continually protect and enhance natural resources and occupational health, safety and wellness. Our successful employee-commuting program, gRide, was recognized by a number of third-party organizations as a best-in-class program, and this year, for the first time, we have reported greenhouse gas emissions associated with employee commuting activities. We continue to make strong progress in improving performance on employee health, safety and wellness, with particular success in reducing ergonomics-related incidents, which was achieved in large part through the active engagement of our employees.

During 2007, we became the first biotechnology or pharmaceutical company to obtain third-party certification for our greenhouse gas emissions inventory under the California Climate Action Registry. In 2007, we also participated for the first time in the Carbon Disclosure Project, and I am pleased to report that we achieved the highest score among biotechnology participants.

In this report, you will read that 2007 was an important year in the evolution of our sustainability strategy. During the year, we undertook a strategic review of our sustainability commitments, strengthened our Sustainability Governance Structure and participated for the first time in a number of third-party sustainability reporting programs. In addition, we continue to develop our Environmental, Health and Safety Management System as an important vehicle for driving improvements.

In the year ahead, I look forward to seeing further progress in our sustainability and occupational health, safety and wellness programs and to updating you on this progress in our next Report.

Genentech is committed to high standards of integrity in contributing to the best interests of patients, the medical profession, our employees and our communities, and to seeking significant returns to our stockholders based on scientific and operational excellence. We understand that sustainability is a topic of increasing interest to our stakeholders and trust that this Report serves to inform interested parties about our related commitments and accomplishments. I hope you enjoy reading the Report, and I look forward to receiving your feedback.