3M 2007 Annual Report Download - page 5

Leading Through Innovation 3
of optical films for all segments of the LCD-oriented
display industry. We think this gives us the best chance
of remaining a long-term supplier to key customers
and participating in future growth and the eventual
stability that always comes as markets mature. But like
all fast-moving consumer electronic segments, price
pressures are enormous, and they demand intense
focus on innovation, speed to market and relentless
cost reduction. These are the fastest-moving and most
competitive market segments in the world. Succeed
in these and succeed in the United States, and we can
succeed anywhere.
One of 3M’s great and enduring strengths is that there
is no one, single source of growth that it depends on.
We are very diverse, in both markets and geography,
and therefore, growth patterns are often repeatable and
extendable. In my view, this makes 3M the right kind of
investment in today’s challenging economic times, and
also for the longer-term future.
After this having been said and while recognizing good
results must be delivered in the short term, we are
focusing our investments and energy primarily on the
future, working with eyes wide open and looking straight
ahead to revitalize the creativity and imagination we need
to develop products for emerging mega trends across
the globe.
Just think about the changes that will come in the next
decade alone. We’re working hard to make sure that
3M, 3M technologies and 3M products are embedded
in much of that change as the world continues to be
reshaped by technology and innovation. For example,
hospitals will be safer because of 3M’s infection
detection platforms. You will use less energy, in part
driven by 3M’s insulation and light reflection film
products. Solar power will become more prominent
everywhere, in part due to 3M’s film lens and high
reflectivity moldable mirror technologies. Safety and
security fears will ease, again in part because of 3M’s
security and screening products. Increasingly, society will
be impacted everywhere by digital information, display
and electronics. 3M will have a big presence in those
changes also. Around the world, more precious water
will become drinkable and useable, and vital fluids purer
because of 3M’s filtration technologies and products.
The point is that 3M’s emerging technology portfolio
is expanding into areas that truly address global mega
trends ... and that will truly touch innumerable lives
around the world. Because opportunities like these
continue to far outweigh our challenges, I remain
incredibly optimistic about our future prospects and
about the long-term health of 3M.
We will work hard to capitalize on those opportunities
in 2008 by pursuing our straightforward and proven
growth strategy:
Strengthen the traditional core of 3M and further build 1.
on our enduring franchises
Continue our steady diet of tuck-in acquisitions 2.
Continue to develop and capitalize on emerging 3.
business opportunities
Accelerate international growth 4.
Importantly, as our growth investments continue, so, too,
will our operational discipline. After all, a dollar wasted is
a dollar less to invest in growth!
Thank you for your interest and your investment in this
great company. We look forward to building on our
2007 success toward a future of inspired innovation and
accelerated growth.
George W. Buckley
Chairman of the Board, President and Chief Executive Officer
February 11, 2008