T H E W O R L D W A T C H I N S T I T U T E

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Front cover photos: middle image, courtesy PowerLight Corp., top and bottom: Digital Vision.

Pres ident ’ s Message

Dear Friends:When the Nobel Peace Prize was awarded to Kenyan environmental activist Wangari

Maathai in October 2004, the Nobel Committee’s decision was met with dismay in some cir-cles. To many security specialists, it seemed frivolous at a time of military conflict, terrorism,and proliferating nuclear materials to give this most prestigious of international awards to aperson known for planting trees rather than signing treaties.

In my view, the award could not have been more fitting. The life history of WangariMaathai is testimony to the fact that the insecurity the world struggles with today is inextrica-bly linked to the ecological and social problems she has devoted her life to addressing. In1977, she founded the Green Belt Movement to organize poor women to plant millions oftrees; the group’s goals included replenishing Kenya’s dwindling forests, providing desperatelyneeded cooking fuel, and making women active participants in improving their lives and thoseof their families.

Wangari Maathai’s challenge to the Kenyan government’s conservation policies put her indirect conflict with the country’s autocratic president—and helped pave the way for Kenya’speaceful transition from virtual dictatorship to elected government in 2003. Capping the historictransition, she is now a member of the Kenyan parliament and Assistant Minister of Environment.

Wangari Maathai was ahead of her time in recognizing that environmental destructionand human misery are root causes of the insecurity that pervades the globe today. It is this real-ization that led Worldwatch to dedicate much of its work in 2004 to Redefining GlobalSecurity, the main theme of State of the World 2005. Our research team worked for over a yearto understand the deeper causes of instability, many of them found in the destabilization ofhuman societies and the natural world that has accompanied the explosive growth in humannumbers and resource demands over the past several decades.

Depleted croplands, denuded forests, and large populations of young people with pooreconomic prospects are among the problems that help create the failed states that spawn reli-gious fundamentalism, sectarian strife, and armed conflict. Yet many governments are nowdevoting far greater attention to the symptoms of today’s security problems—in the form ofmilitary expenditures—than to dealing with the underlying causes.

To address this imbalance, Worldwatch proposes a new approach to security strategy—one that links traditional approaches such as disarmament, peacekeeping, and conflict preven-tion with efforts to meet underlying health and education needs and to restore ecosystems.

Over the past year, our staff and board members have taken the Institute’s security mes-sage to opinion leaders and decision makers in 15 countries—from the U.S. Congress to theEuropean Parliament. We have been particularly pleased by the enthusiastic response of foreignand defense ministers as well as the environment and development ministers we traditionallyinteract with.

Just as Wangari Maathai planted trees to improve the economic security of her people, itis time to plant hope by working together to reach essential goals: a less-oil dependent energysystem, a more equal society in which women’s roles are strengthened, and a natural world thatis stable and productive.

Christopher FlavinPresident

Worldwatch I n st i tu t e Annua l Re port 2004 1

MARTIN ROWE

Wangari Maathai

About the Inst i tute

Building a Better Future

The Worldwatch Institute’s goal is to inspire and enable the quest for a healthy andsecure world. Worldwatch channels a constant stream of unassailable information about thestate of the world—its peoples, its economies, and its environment—into the hands of peoplewho can make a difference. By working with partners around the globe to build a sharedunderstanding of common problems, and by promoting cooperation among peoples,Worldwatch seeks to reverse the downward spiral of social, environmental, and physical inse-curity that now grips the world.

The Institute’s core strengths are its respected research and compelling writing, comple-mented by direct, targeted engagement with leadership audiences. Building on its analytical andcommunications skills, its global brand name, and a host of strategic partnerships, Worldwatchworks directly with decision makers in politics, journalism, education, and business.

Worldwatch focuses on some of the world’s most intractable global issues—populationgrowth, poverty, the loss of biodiversity, climate change—offering fresh and compellinginsights in these areas. The Institute’s words have become a trusted independent source of dataand an inspiration to readers ranging from corporate executives to university professors, envi-ronmental activists, and prime ministers.

Across the issues it works on, Worldwatch is dedicated to ensuring that the latest eco-nomic recession, terrorist attack, or other symptom of an unstable world does not precludeattention to the underlying causes of instability.

At a time when some are proclaiming “the death of environmentalism,” Worldwatch is a leader in showing the centrality of environmental sustainability to the things people careabout—the health of their children, the strength of the economy, and the security of our future.

Worldwatch provides the analytical and factual underpinning for the work of hundredsof non-governmental organizations, government ministries, and United Nations agencies. TheInstitute is dedicated to using the very best science to assess ongoing trends—and to translatethat science into compelling language and human stories that reach a large audience of educat-ed opinion leaders.

Worldwatch devotes much of its work to developing and presenting solutions to theworld’s problems. From energy and agriculture to water, population, health, and global gover-nance, Worldwatch explores successful innovations and presents a vision and policy agenda forcreating a better future.

The Institute’s annual State of the World report has been published in 36 languages and isnow looked to by opinion leaders worldwide for the latest thinking on global trends. In addi-tion, Worldwatch’s annual Vital Signs compilation of statistical indicators, its bi-monthly maga-zine World Watch, and its active website, www.worldwatch.org, provide a constant flow of time-ly and insightful information.

Worldwatch leverages its work by cooperating with hundreds of partners around theglobe, ranging from universities and business associations to government agencies, commercialpublishers, and local citizens groups. By building communities of people who have access tothe latest thinking on global trends and how to address them, Worldwatch plays an importantrole in catalyzing change around the globe.

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Program H ighl ights

Worldwatch concentrated its work in 2004 on seven priority program areas. Workingwith partners around the world, the Institute targeted key decision makers with the ability tocatalyze change.

Global Security

Since September 11, 2001, discussion of security issues has been dominated by militaryapproaches. In 2004, Worldwatch sought to broaden the focus by drawing attention to theunderlying forces that affect global security—including economic, social, and environmentalconditions. Global security was central to the Institute’s research in 2004 and became thetheme of the 2005 edition of State of the World. The book featured a foreword by MikhailGorbachev and included chapters by prominent writers from the United NationsEnvironment Programme, the Woodrow Wilson Center for International Scholars, twoU.S. universities, and research centers in Africa and Europe.

The release of State of the World 2005 was marked by a series of press conferences,seminars, and meetings with key policymakers. In addition to releases in Washington,D.C. and New York City, editions were launched in the European cities of Athens,Barcelona, Berlin, Brussels, Copenhagen, Geneva, The Hague, Helsinki, London,Madrid, Oslo, Paris, and Stockholm, among others. The Chinese edition of the bookwas launched at a well-attended event in Beijing, China.

Several high-ranking policymakers participated in these events or met with members ofthe Institute’s Global Security team. In addition to several parliamentarians, they includedForeign Minister Erkki Tuomioja of Finland; Environment Minister Knut Arild Hareide,Defense Minister Kristin Krohn Devold, and State Secretary for Development Assistance LeivLunde of Norway; Foreign Minister Joschka Fischer, Environment Minister Jürgen Trittin, and Environment State Secretary Margareta Wolf of Germany; Minister for DevelopmentCooperation Agnes van Ardenne and State Secretary for Environment Pieter Van Geel of the Netherlands; Environment Minister Cristina Narbona of Spain; and Water ResourcesMinister Martha Karua of Kenya.

The Institute complemented its outreach for State of the World 2005 with a compre-hensive media “package,” including short chapter summaries, fact sheets containing key statistics and discussion questions, a series of Global Security briefs targeted at policy-makers, and monthly online discussions with chapter authors.

In an initiative related to the Global Security Project, senior researchers Hilary Frenchand Michael Renner contributed a paper to UN Secretary-General Kofi Annan’s High-LevelPanel on Global Security on the topic of Environment, Population, and Development. Thepaper was presented in June to a Woodrow Wilson Center roundtable featuring Tim Wirth,Brent Scowcroft, and other members of the UN panel.

Worldwatch I n st i tu t e Annua l Re port 2004 3

UNEP

Consumption

Two years ago, Worldwatch recognized consumption as the neglected stepchild of sus-tainability efforts, a topic that gets little attention from many non-governmental organizationsand almost none from policymakers. To this end, the Institute initiated its ConsumptionProject to give consumer issues a higher profile in Worldwatch research and outreach and toengage with organizations that can help influence the public in this area.

In January, the Institute released State of the World 2004, with its special focus onThe Consumer Society. Launches of the book in North America and Europe generatedstrong media interest in the topic, and project co-directors Brian Halweil and Lisa Mastnygave dozens of interviews throughout the year to outlets ranging from the Financial Times to Science News, a children’s magazine read in thousands of American classrooms.Institute researchers also spread the consumption message through presentations to students, grassroots organizations, business executives, and government officials inlocations from Tampa, Florida, to Auckland, New Zealand.

The Institute’s 2004 consumption effort represented its broadest outreach campaign ever, relying on traditional media strategies as well as the use of newer e-technologies to disseminate the book’s message and reach a younger, web-savvy

readership. A special web portal on consumption served up a host of monthly features, includ-ing video clips with State of the World authors, online discussions, and fact sheets rich with sta-tistics and facts. Overall, the consumption portal generated some 51,000 unique visitors in 2004.

In pursuing the theme of consumption, Worldwatch sought to do more than simplydescribe the dilemmas posed by consumption, but also to explore ways that consumer activi-ties can be restrained and redirected in order to improve prospects for human well-being andsustainability. One of the most popular features of the web portal was the March release of theconsumer-oriented publication, Good Stuff: A Behind-the-Scenes Guide to the Things We Buy. Thiselectronic-only guide traces the lives of several dozen common products and services, includ-ing plastic bags, cell phones, electricity, and chocolate, and offers more responsible alternativesfor consumers and decision makers. Within two days of the guide’s release, some 2,000 peoplehad downloaded it. Good Stuff has since been used by thousands of students, teachers, commu-nity groups, and other audiences interested in educating the public about consumer issues.

In April, Worldwatch and the United Nations Environmental Programme (UNEP) held ajoint reception at the United Nations to honor Secretary-General Kofi Annan and Børge Brende,Norway’s Environment Minister and the Chairman of the UN’s Commission on SustainableDevelopment. State of the World 2004 and the topic of consumption had a prominent place inremarks at the event, including those by the Secretary-General, the environment ministers ofNorway, Brazil, and South Korea, and the executive director of UNEP.

Renewable Energy

As worldwide interest in renewable energy expanded in 2004, Worldwatch was in themiddle of the action, working with governments and private groups to understand and benefitfrom the latest knowledge of technologies, markets, and policies. Led by Janet Sawin, theInstitute’s energy team leader, and supported by project manager Molly Aeck, senior fellow EricMartinot, and sustainability counsel David Hales, the Institute successfully carried out several

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related energy projects during the year.At the center of these activities was Janet Sawin’s Worldwatch Paper, Mainstreaming

Renewable Energy in the 21st Century, which provided an in-depth analysis of the state of renew-able technologies and markets, as well as policy recommendations for bringing renewables intothe mainstream of the global energy economy. Related articles appeared in Renewable EnergyWorld and other publications throughout the year.

Worldwatch played a major role in convening the International Conference forRenewable Energies held in Bonn, Germany, in June. Renewables 2004 was the largest-evermeeting of government and private sector leaders on renewable energy, with more than 100governments represented. Worldwatch President Chris Flavin was appointed to theInternational Steering Committee, which developed the conference agenda and plans, andWorldwatch staff members worked closely with the German government to prepare back-ground papers for the event.

Worldwatch’s delegation to Renewables 2004 had an official seat alongside governmentson the floor of the conference. The Institute also took advantage of opportunities for informa-tion exchange and networking with hundreds of people from around the world working onrenewable energy. Working closely with their Germanwatch colleagues, Institute staff spoke atseveral press conferences and other events, reaching a wide variety of influential audiences.

Renewables 2004 was a big success, spurring many governments and internationalagencies to announce new renewable energy goals and policies. The most significant wasChina’s pledge to obtain 10 percent of its energy from renewable resources by 2010, a com-mitment that was reinforced by the large high-level delegation the Beijing government sentto the conference.

Both the conference and the Institute received considerable media coverage. The NewYork Times featured the conference on the front page of its business section, and the story wasbased heavily on interviews with Chris Flavin and Janet Sawin, reflecting Worldwatch analysisof the event.

Following the Bonn conference, Worldwatch was invited by the German government to help lead the formation of REN21, an international network of governments and privateorganizations committed to accelerating the use of renewable energy. Worldwatch helpedorganize planning meetings in Berlin, Casablanca, and Copenhagen and began work on twopapers designed to help policymakers analyze and benefit from the rapid development ofrenewable energy.

Food and Agriculture

For several years, Worldwatch has worked to build public support for locally run, small-scale agriculture and food operations as a critical contribution to sustainable agriculture. InNovember, the Institute released Eat Here: Reclaiming Homegrown Pleasures in a Global Super-market, by senior researcher Brian Halweil. Targeted at two important audiences in the globalfood market—health-conscious eaters and environmentalists—the book documents why eatingfood from local sources is better for people’s health, for farmers, and for the planet and explainswhy this trend is one of the most significant and encouraging changes in the way we eat today.

The Institute’s work on local food generated op-eds in the San Francisco Chronicle and the

Worldwatch I n st i tu t e Annua l Re port 2004 5

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New York Times as well as reviews in food, health, and environmental magazines such asGourmet, Saveur, Public Citizen, and Sierra. In addition, Eat Here is being distributed to leadersof the 145 chapters of Slow Food U.S.A., which will use the book to arrange “local food din-ners” for members. Eat Here will also be distributed to 50 leaders of local food policy councilsaround the United States and will serve as a starting point for national collaboration amongthese leaders, who form an emerging force in American agricultural politics.

Worldwatch has responded to the current wave of popular interest in animal farming aswell—a topic that has made headlines recently as a result of massive meat recalls, investigativereporting on meat in the popular press, and nascent coalitions between environmentalists, ani-mal rights groups, and public health officials. In late 2004, the Institute initiated a researchproject on the far-reaching environmental, social, animal welfare, and public health conse-quences of meat production. Led by research associate Danielle Nierenberg, the project aimsto raise awareness of alternative approaches to raising meat and to foster a new attitudetowards meat as part of the human diet. Among the goals are educating consumers about

the benefits of vegetarianism and drawing attention to small-scale livestock projects, organicand grassfed livestock, and improved animal welfare standards.

Population

Worldwatch has long emphasized the importance of placing demographic issues withinthe larger context of gender and development concerns, in keeping with the consensus thatemerged from the International Conference on Population and Development in Cairo, Egypt, in 1994. A decade later, the Institute remained true to this mission and pursued several majorinitiatives in the population and gender fields.

To highlight the tenth anniversary of Cairo, Worldwatch devoted the September/October2004 issue of World Watch magazine to the theme of “Population and Its Discontents.” Theissue featured more than a dozen authors, ten of them outside experts, and covered topicsranging from the global “youth bulge” to population and malnutrition. This special issue ofthe magazine triggered dozens of letters to the editor and was awarded the distinction of “Best Population Journal” for 2004 by the Population Institute.

In addition, Worldwatch collaborated with the United Nations Population Fund tohost a panel discussion on population on Capitol Hill. Research associate DanielleNierenberg and senior fellow Mia MacDonald were joined by participants from several lead-ing population groups, including Population Action International, the U.S. Census Bureau,and the Population Reference Bureau. Worldwatch also worked closely with PopulationAction International on a chapter on demographics and security for State of the World

2005, and PAI’s report, The Security Demographic: Population and Civil Conflict After the ColdWar, was featured in the 2004 State of the World Library.

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LYLE ROSBOTHAM

Biodiversity and Indigenous Peoples

In a timely magazine article by guest author Mac Chapin, Worldwatch called attention tothe long-simmering charges from indigenous groups that large conservation organizations inthe North often ignore indigenous peoples’ needs, and even work against their interests. Thisexposé, published in the November/December issue of World Watch, hit a nerve and generatedan outpouring of responses from conservation leaders, foundation representatives, and indige-nous peoples’ organizations. Rebecca Adamson, president of the First Nations DevelopmentInstitute, wrote to publicly “thank World Watch and Mac Chapin for giving us an honest plat-form, which must always be the first step to reconciliation.”

In response to this feedback, the Institute ran a record number of readers’ letters insubsequent issues of the magazine, including pledges from several conservation organiza-tions to review, and in some cases change, the way they interact with indigenous peoples.Chapin’s article also became a principal topic of discussion at the World ConservationCongress in Bangkok in November, shaping future strategies for global conservation.

China’s Future

The spectacular growth of China’s economy in recent years virtually guaranteesthat China will be pivotal to global efforts to create a better world. With one-fifth ofthe world’s population, China is already the world’s largest consumer of steel, cement,coal, and grain, and it is the second largest emitter of carbon dioxide. Only the UnitedStates has larger impact on the environmental and social health of the planet.

With the support of the Blue Moon Fund, Worldwatch launched a new Chinaprogram in 2004 aimed at working with Chinese non-governmental organizations,research institutes, and universities on behalf of a better future for China and theworld. Our principle effort is to help China develop the capacity to track andassess key global trends, and to analyze and adapt policy and technology innova-tions being pioneered around the globe. At the same time, Worldwatch is working to monitorimportant resource, technology, and policy developments in China and to communicate theseto a global audience.

Worldwatch’s chief partner in China is the Global Environmental Institute (GEI), one ofthe country’s first independent, knowledge-based environmental NGOs. GEI is devoted toincreasing the capacity of Chinese institutions to respond to environmental problems and toworking with the private sector to spur productive innovations. Among the issues that World-watch and GEI are concentrating on are energy, water, agriculture, and forests. To facilitatethese efforts, the two organizations now share a communications officer based in Beijing.

During our first year of work, Worldwatch staff members met with a wide range of officials from the Chinese government as well as non-governmental organizations, many of whom expressed a strong interest in cooperating with Worldwatch. One of the Institute’searly priorities has already been achieved: arranging for State of the World 2005 to be trans-lated and published in Chinese.

In the year ahead, Worldwatch will work with a range of Chinese collaborators whowill contribute to Worldwatch publications, including State of the World 2006. This includestwo Chinese research fellows who will bring their expertise to Worldwatch and at the sametime learn about Worldwatch’s global and interdisciplinary approach to research.

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© 1986 ANDREA FISCH, COURTESY PHOTOSHARE

Publ icat ions and Resources

Publishing is the backbone of Worldwatch’s efforts to raise awareness of the critical issuesfacing our planet. Over the years, the Institute’s stable of publications has expanded from a setof research monographs to a comprehensive library of print and electronic resources.

State of the World

Our flagship publication, State of the World, is the Institute’s most powerful tool for pre-senting Worldwatch research. The 2004 edition featured a special thematic focus on the con-sumer society, examining how we consume, why we consume, and what impact our consump-tion choices have on our fellow human beings and the planet. The book has been translatedinto 21 languages and is being used in educational settings worldwide, including more than200 college and university courses in the United States.

In addition to chapters on food, water, energy, governance, economics, the power of pur-chasing, and redefining the good life, State of the World 2004 included a unique “behind-the-scenes” look at 11 consumer products, from plastic bags to cell phones, providing a descriptionof the product’s lifecycle from the raw materials used to produce it through its disposal.

Good Stuff: A Behind-the-Scenes Guide to the Things We Buy

Good Stuff, Worldwatch’s first electronic-only publication, was produced in partnershipwith nine organizations as a hands-on companion to State of the World 2004. Good Stuff traceswhat goes into the production, use, and disposal of 25 common consumer items, includingcompact discs, cleaning products, baby goods, and light bulbs. It includes a wide range of factsabout these products as well as success stories about “greener” alternatives from around theworld. In addition to educating buyers about the environmental and social impacts of theirpurchases, the guide includes practical suggestions for living a greener, healthier life and a quizand “challenge” page where readers agree to take three actions for a better environment.

Worldwatch Paper 169: Mainstreaming Renewable Energy in the 21st Century

In this Worldwatch Paper, senior researcher Janet Sawin writes about the rapid growthand technological advances of renewable energy, particularly solar and wind power, and why atransition to renewable energy is urgently needed. The study discusses the policies that havedriven development to date and recommends a mix of policies that could propel renewablesinto the mainstream of the global energy economy.

In addition to being widely distributed at the Renewables 2004 conference in Bonn,Germany, Worldwatch Paper 169 was used as a reference by Chinese policymakers as they drafted China’s new Law on Renewable Energy Sources. Multiple copies of the report were alsopurchased by the office of Governor Bill Richardson (D-New Mexico) for help in preparingstate renewable energy policies.

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Environmental MilestonesTimeline Poster

A new product in 2004, thisprint version of Worldwatch’s electronic timeline wasdesigned to help users explore pivotal events, scientific breakthroughs,and obstacles in the environmental movement since the 1960s. The illustrated, full-color, 39"x 27" poster, printed with soy inks on recycled, uncoated paper, can be cut and placed end-to-end to create a six-and-a-half-foot long timeline. The poster, which is available for sale on theWorldwatch website, has been distributed at conferences and events and used for promotionaland fundraising purposes.

World Watch Magazine

The Institute’s award-winning bimonthly magazine, now in its 17th year, continued itsrecord of accomplishment in 2004. Various issues featured the voices of Jane Goodall andNobel Peace Prize winner Wangari Maathai, among other notable activists and commentatorson the world’s environmental and social justice challenges. The September/October issue, titled“Population and Its Discontents,” showcased a wide range of viewpoints in articles by morethan a dozen authors and won the Population Institute’s “Best Population Journal” award for2004. And the November/December 2004 issue presented a heavily researched piece byanthropologist Mac Chapin that raised troubling questions about the relationships betweenlarge conservation organizations and indigenous peoples around the world. The articletouched off an impassioned debate that continues to resonate in the conservation and phil-anthropic communities.

The year also saw the retirement of World Watch’s long-time editor, Ed Ayres, inDecember. In his 14 years with the magazine, Ed left a strong imprint by deepening its tradi-tion of integrity, intellectual reach, good writing, bold and informative subject matter, and highproduction values. Former senior editor Tom Prugh took on the editor’s job, and Lisa Mastnybecame senior editor.

www.worldwatch.org

The Institute’s website continued to play an important role in disseminating Worldwatchresearch around the globe in 2004. Webmaster Steve Conklin and Institute staff added ninenew Online Features with in-depth content on topics ranging from renewable energy to popu-lation, as well as a special section for educators and students called Worldwatch University.

Other activities included the release of Good Stuff, the Institute’s first online-only publi-cation; an improved list-serv message design that incorporated enhanced data tracking andanalysis; streamlining of the online donation process; and new online subscription andrenewal options for magazine subscribers.

These enhancements and new content ensured a steady stream of traffic to the website,where visitors were able to find informative and continuously updated content. Monthly pageviews exceeded the 1 million mark for the first time ever in August, contributing to averagemonthly page views for the year of 1,002,148—a 74-percent increase over 2003. Averagemonthly visitors topped 73,000, a 40-percent increase over 2003. And online donations grewby $20,000—or 332 percent—contributing to a 20-percent rise in total web income. Mean-while, membership in the Worldwatch list-serv jumped 90 percent in 2004, to more than40,000 subscribers in 220 countries.

Worldwatch I n st i tu t e Annua l Re port 2004 9

Reach ing Out to Create Change

A Global Publishing Network

Worldwatch works with overseas publishers to translate, edit, produce, sell, and marketits books, papers, and magazine. Over the years, Institute products have appeared in 36 lan-guages and 44 editions in 42 countries. For State of the World in 2004, with its special consumerfocus, we had editions in Australia, Brazil, Bulgaria, Catalonia, Denmark, Finland, France,Germany, Israel, Italy, Japan, Korea, New Zealand, Norway, Poland, Romania, Russia, Spain,Taiwan, Turkey, Ukraine, and the UK, and World Watch magazine editions in France, Italy,Korea, Japan, and Spain.

In the future, the Institute plans to expand and deepen its partnerships with publishers.One way in which we will do that is by holding major symposia, in addition to press briefings,when new books are launched. The intent is to leverage the capacity of our international part-ners to move beyond translation and publishing and to more actively engage in national policydebates, increasing the Institute’s impact on decisionmaking.

International Publishing Partners

10 Worldwatch I n st i tu t e Annua l Re port 2004

BRAZIL

UMA-Universidade Livre da Mata Atlanticawww.wwiuma.org.br

BULGARIA

Paper Tiger Publishing House

CHINA

Hebei Education Press

DENMARK

Mellemfolkeligt Samvirkewww.ms.dk

FINLAND

Gaudeamus & OtatietoYliopistokustannus - University Press Finland www.gaudeamus.fi

FRANCE

Editions Charles Léopold Mayer-ECLMwww.editions-mayer.com

L’Etat de la Planete www.delaplanete.org

GERMANY

Verlag Westfalisches Dampfbootwww.dampfboot-verlag.de

GREECE

Aeforos, Ecotopia, and Evonymos Ecological Library

HUNGARY

Earth Day Foundation of Hungarywww.fna.hu

ISRAEL

Heschel Center for Environment Learningand Leadershipwww.heschelcenter.org

ITALY

Edizioni Ambiente www.edizioniambiente.it

JAPAN

Worldwatch Japanwww.worldwatch-japan.org

KOREA

DOYOSAE-KFEMwww.kfem.or.kr

NORWAY

J.W. Cappelens Forlagwww.cappelen.no

POLAND

Earth Conservationwww.earth-conservation.org

ROMANIA

Editura Technicawww.edituratechnica.ro

English

English

English

English

English

Indonesian

Vietnamese

KoreanJapanese

Chinese

Chinese

Tamil

Arabic

Hebrew PersianTurkish

Russian

Estonian

PolishCzechSlovakianSlovenianHungarianUkranianRomanianBulgarian

Finnish

NorwegianDanish

Dutch

English

BasqueItalian

Greek

Spanish

Portuguese

Portuguese

CatalanFrench

FrenchGerman

Swedish

Georgian

Arabic

Kannada

Countries and languages where Worldwatch products have been published and distributed.

Worldwatch I n st i tu t e Annua l Re port 2004 1 1

RUSSIA

International Independent University ofEnvironmental and Political Scienceswww.iiueps.ru

SPAIN

Bakeazwww.bakeaz.org

Centro Unesco De Catalunyawww.unescocat.org

Fundacion Hogar del Empleadowww.fuhem.es

GAIA-Proyecto 2050www.nodo50.org/worldwatch

SWITZERLAND

L’Etat de la Planete Magazinewww.delaplanete.org

TAIWAN

Taiwan Watch Institutewww.taiwanwatch.org.tw

TURKEY

TEMA www.tema.org.tr

UNITED KINGDOM

Earthscan Publications Ltd.www.earthscan.co.uk

UKRAINE

Intelsphera Ltd.

UNITED STATES

W.W. Norton & Co., Inc.www.wwnorton.com

2004 F inanc i a l Statement

Worldwatch InstituteCondensed Statement of Activities and Changes in Net AssetsFor the Year Ended December 31, 2004

Revenues and Additions to Net Assets

Contributions and Grants:Unrestricted $1,493,113Restricted 739,332

Total Contributions and Grants $2,232,445

Total Publications, Magazine and Subscription $739,253

Investment and Other Income $77,541

Total Revenues and Additions $3,049,239

Expenses and Reductions to Net Assets

Program Services $2,202,882

Support Services:Management and General $247,888Fundraising $487,929

Total Support Services $735,817

Total Expenses and Reductions $2,938,699

Increase in Net Assets $110,540

The condensed consolidated financial information for the year ended December 31, 2004 hasbeen derived from the Worldwatch Institute’s financial statements, audited by Walpert &Wolpoff, LLP, independent auditors. The condensed financial information should be read inconjunction with the 2004 audited financial statements and related notes.

Worldwatch Institute’s complete audited financial statements may be obtained by writing to theDirector of Finance and Administration, Worldwatch Institute, 1776 Massachusetts Avenue, NW,Washington, DC 20036.

1 2 Worldwatch I n st i tu t e Annua l Re port 2004

Worldwatch Institute Condensed Statement of Financial PositionDecember 31, 2004

Assets

Cash and Cash Equivalents $1,152,155Receivables, Unconditional Promises 331,147Receivables, World Watch Magazine

and SOW Library 7,194Accounts Receivable, Other 100,946Publication Inventory 105,360Prepaid Expenses 91,020Charitable Unitrust, Investments Receivable 139,015Property and Equipment Net 83,786

TOTAL ASSETS $2,010,623

Liabilities

Accounts Payable and Accrued Expense $130,598Deferred Revenue, Subscriptions and Publications 488,002Deferred Lease Discount 181,780Capital Lease 55,970

TOTAL LIABILITIES $856,350

Net Assets

Unrestricted $425,149Temporarily Restricted 677,188Permanently Restricted 51,935

TOTAL NET ASSETS $1,154,272

TOTAL NET ASSETS AND LIABILITIES $2,010,623

The condensed financial information as of and for the year ended December 31, 2004 has been derived from the Worldwatch Institute’s financial statements, audited by Walpert & Wolpoff, LLP, independent auditors. The condensed financial information should be read in conjunction with the 2004 audited financial statements and related notes.

Worldwatch I n st i tu t e Annua l Re port 2004 1 3

Worldwatch Board of D irectors

Worldwatch Staf fAdministration

Christopher Flavin - President Barbara Fallin - Director of Finance and Administration Joseph Gravely - Mail and Publication Fulfillment

Research

Gary Gardner – Senior Researcher & Director of Research Hilary French – Senior Researcher & Director of the

Globalization and Governance Project Lori A. Brown - Research Librarian Christopher Flavin – Senior Researcher & President Brian Halweil - Senior Researcher Michael Renner - Senior ResearcherJanet Sawin - Senior Researcher & Director of the

Energy and Climate ProgramMolly O’Meara Sheehan - Senior Researcher Danielle Nierenberg - Research Associate Erik Assadourian - Staff Researcher Zoe Chafe - Staff ResearcherMolly Aeck - Renewable Energy Program ManagerSuzanne Hunt – Biofuels Project Manager

Adjunct Associates

Christopher Bright - Senior Fellow Seth Dunn - Senior Fellow

David Hales – Sustainability CounselMia MacDonald - Senior Fellow Eric Martinot – Senior FellowSandra Postel - Senior Fellow Payal Sampat - Senior Fellow Viktor Vovk - Senior Fellow

World Watch Magazine

Tom Prugh - Editor Lisa Mastny - Senior Editor Lyle Rosbotham - Art Director

Communications

Leanne Mitchell - Director of Communications Darcey Rakestraw - Communications Manager Courtney Berner - Communications Assistant,

Assistant to the President

Development

John Holman - Director of Development Mary C. Redfern - Manager of Foundation Relations Mairead Hartmann - Development Associate

Business Development

Patricia Shyne - Director of Publications and Marketing Stephen Conklin - Webmaster

Øystein Dahle (Chairman) Chairman, Touring Association of NorwaySlependen, Norway

Tom Crain (Vice-Chairman, Treasurer) Managing Director (Retired),Scudder Stevens and ClarkCincinnati, OH

Larry Minear (Secretary)Director, Humanitarianism & WarProject, Feinstein InternationalFamine Center, Tufts UniversityMedford, MA

Christopher Flavin (President)Worldwatch InstituteWashington, DC

Geeta B. AiyerPresident, Boston Common Asset Management LLCBoston, MA

Adam AlbrightPresident, Aria FoundationRichmond, MA

Cathy CrainVice President/Senior PortfolioManager (Retired), ScudderStevens and ClarkCincinnati, OH

James DehlsenChairman, CEO, Clipper Windpower, Inc.Goleta, CA

Robin Chandler DukeDirector, US Committee for UNFPA;former US Ambassador to NorwayNew York, NY

Lynne GallagherPresident, Telecom/Telematique, Inc.Washington, DC

Satu HassiMember of the EuropeanParliamentHelsinki, Finland

John McBrideCEO, Aspen Airport Business CenterAspen, CO

Akio MorishimaChairman, Institute for GlobalEnvironmental StrategiesKanagawa, Japan

Izaak van Melle Former President, Van Melle OrganizationBreda, The Netherlands

Wren WirthPresident, The Winslow FoundationWashington, DC

Emeritus:

Abderrahman KheneEl-Biar, Alger Algeria

Andrew E. RiceWashington, DC

1 4 Worldwatch I n st i tu t e Annua l Re port 2004

I n st i tut iona l SupportSupport for the Institute in 2004 was provided by the following foundations, institutions, and governments:

Fr i ends of Worldwatch

Blue Moon FundFanwood Foundation/WestGoldman Environmental PrizeGTZ (German Society of Technical

Co-operation)The William and Flora Hewlett

FoundationThe W. K. Kellogg FoundationThe Frances Lear Foundation

Steven C. Leuthold FamilyFoundation

Massachusetts TechnologyCollaborative

Merck Family FundRoyal Norwegian Ministry of

Foreign AffairsThe Overbrook FoundationV. Kann Rasmussen Foundation

Rockefeller Brothers FundThe Shared Earth FoundationThe Shenandoah FoundationTurner Foundation, IncUN Population Fund (UNFPA)Wallace Genetic FoundationWallace Global FundThe Johanette Wallerstein InstituteThe Winslow Foundation

Council of Sponsors Adam and Rachel Albright AnonymousEstate of Louise Chubb Tom and Cathy Crain

Worldwatch President’sCircle Anonymous Russell Bennett Mr. & Mrs. David Blittersdorf Gilbert ButlerOystein Dahle Caroline D. Gabel Sara and Ed Groark Dr. & Mrs. William Layson John and Laurie McBride Kate McBride Puckett F. Peter Seidel

Worldwatch Leadership Circle Geeta B. AiyerAnonymous Mr. & Mrs. Myron Arms Douglas and Debra BakerJohn Bermingham Mr. & Mrs. Eric Bischoff Walter BransonSky J. BrooksDwight E. Collins, Ph.D.Lincoln and Alice Day Stanley and Anita Eisenberg Mr. & Mrs. David Forsberg Karl Fossum, M.D. Alan French Jared and Cindi Gellert Pamela and Thomas Green Renate Haeckler Dr. & Mrs. Ron Halweil Irina Herzon David Hitz Jerre and Nancy Hitz

Bruce Hodge and Elizabeth Weal

Carol HosfordEugene KahnMr. & Mrs. Ronald Kuntz Philip Kurjan William Leighty Monika Lesch Kurt Leuthold Lawrence Linden Robert Lonon Leigh Merinoff George A. Miller James Moore Paul E. Myers and

Welthy Soni Prof. Joel T. Nigg John Osberg Dr. Bob Pettapiece Dr. William Priester William and Eleanor Revelle Andrew E. Rice Anthony and Florence Rodale Bill Rogers Contee Seely Robert Shaw, Jr. Curt Snyder, M.D.Albert H. Staton, Jr. Hope and Bob Stevens Greg Studen William Laney Thornton John E. and

Anna Marie Thron Thomas Tuxill, M.D. James Ulvestad, Ph.D.Rosemary Wakeham Gary Waldron Randall and Jackie Wallace Christopher Watson Peter Wege Mr. & Mrs. Lawrence WheatEckart Wintzen Jim Woodfin

Worldwatch SustainersDr. Ernst Abelin Anonymous Asier Arteaga Craig AufenkampWilliam and Carol Beale Erik and Edith Bergstrom Minx Boren Dr. Jesse Boyce Phyllis Bronson, Ph.D.Judd and Mary Ann BrownJohn H. Buchanan James Burke Dane Chapin Lillian CorleyLeslie Cronin Jan Crunican Annie C. Davis Eugene M. Decker, III Dr. & Mrs. Strachan

Donnelley Karan English and Rob Elliott Kristin Fein Edward GibsonDr. Leo Haaf Millard Hall William K HarrisJohn HirschiGrace M. Holden Evelyn Howe Geoffrey Hunt Hilda Jones Thomas B. KinraideSandra KurtzMary Alice Lausell Marta Jo LawrenceEdwin Lee Jim Loving Dr. Cortlandt MackenzieR. Allan Martin Wayne Mastinson David McCargoTim Meyer

Larry Minear Pascale Morand, Ph.D.Hans Morsbach Mr. & Mrs. Lincoln Moses Vernon Oi Bonnie PhillipsJim and Carol Pienovi Richard and Laura Pratt Dr. Franz Rader Mr. & Mrs. Bruce Roberts Larry Rockefeller and

Wendy Gordon Juan Vicente L. Rufino Matthew J. Runkle Kevin J. Scarr Bronwyn and Brian Scott Mr. & Mrs. William Shore John SillersStephen Smaha Mr. & Mrs. K. Martin

Stevenson William and Grace

Strickhouser Stephen Taylor Laurie Volk Bob VollingerLinda WagnerProf. Arthur Young Roberto Zambrano, Jr.

Worldwatch I n st i tu t e Annua l Re port 2004 1 5

How You Can Help

The Worldwatch Institute is a 501(c)(3) nonprofit organization. We rely on gifts from individuals and foundations to underwrite our efforts to provide the information andanalysis needed to foster an environmentally sustainable society. You can help us in ourefforts to lead the way in identifying threats to people and the planet, and in recom-mending strategies for ensuring that the earth our children inherit will be a healthy one.

We welcome your gifts to support our work. Contributions will be used to helpWorldwatch produce its pathbreaking publications, broaden its outreach programs todecisionmakers, build relationships with international partners, and disseminate itsvital information to as many people as possible through the Institute’s website andpublications.

To join our family of supporters, please call the Worldwatch DevelopmentOffice at (202) 452-1999, or send your tax-deductible donation to us in the mail to:

1776 Massachusetts Avenue NW, Washington, D.C. 20036. You can also donate online atwww.worldwatch.org/donate.

Legacy for Susta inab i l i ty

You can make a lasting contribution to a better future by remembering Worldwatch inyour will, trust, or insurance policy.

When you write or review your will, please consider leaving a charitable bequest. Ask your attorney to include such words as these:

“I give, devise or bequeath to the Worldwatch Institute, for its general purposes all (or state fraction) of the rest, residue or remainder of my estate, whether real or personal.”

OR

“I give to the Worldwatch Institute the sum of ___________ dollars to be used for the general purposes of the Institute.”

If you have already named the Institute in your will or have additional questions, please contact John Holman or Mairead Hartmann at (202) 452-1999, or e-mail todonate@worldwatch.org.

1 6 Worldwatch I n st i tu t e Annua l Re port 2004

For More In format ionThe Worldwatch website provides immediate access to the Institute’s latest publications, information about researchers, allpress releases since January 1996, description of major research areas, and a bookstore. Please visit us at www.worldwatch.org.

To sign up for regular e-mail updates on the latest developments at Worldwatch, please visit www.worldwatch.org/register.

Members of the press can also stay abreast of Institute work by subscribing to the Worldwatch press list. It carries announcements of upcoming events, press releases, and special briefings on breaking news. To subscribe, please visitwww.worldwatch.org/press/presslist.