Waste Management 2006 Annual Report Download - page 35

PART I
Item 1. Business.
General
The financial statements presented in this report represent the consolidation of Waste Management, Inc., a
Delaware corporation, our wholly-owned and majority-owned subsidiaries and certain variable interest entities for
which we have determined that we are the primary beneficiary. Waste Management, Inc. is a holding company and
all operations are conducted by subsidiaries. When the terms “the Company,” “we,” “us” or “our” are used in this
document, those terms refer to Waste Management, Inc., its consolidated subsidiaries and consolidated variable
interest entities. When we use the term “WMI,” we are referring only to the parent holding company.
We are the leading provider of integrated waste services in North America. Using our vast network of assets
and employees, we provide a comprehensive range of waste management services. Through our subsidiaries we
provide collection, transfer, recycling, disposal and waste-to-energy services. In providing these services, we
actively pursue projects and initiatives that we believe make a positive difference for our environment, including
recovering and processing the methane gas produced naturally by landfills into a renewable energy source. Our
customers include commercial, industrial, municipal and residential customers, other waste management compa-
nies, electric utilities and governmental entities. During 2006, none of our customers accounted for more than 1% of
our operating revenue. We employed approximately 48,000 people as of December 31, 2006.
Our Company’s goals are targeted at serving five key stakeholders: our customers, our employees, the
environment, the communities in which we work, and our shareholders. Our goals are:
• To be the waste solutions provider of choice for customers;
• To be a best place to work for employees;
• To be a leader in promoting environmental stewardship;
• To be a trusted and valued community partner; and
• To maximize shareholder value.
WMI was incorporated in Oklahoma in 1987 under the name “USA Waste Services, Inc.” and was reincor-
porated as a Delaware company in 1995. In a 1998 merger, the Illinois-based waste services company formerly
known as Waste Management, Inc., became a wholly-owned subsidiary of WMI and changed its name to Waste
Management Holdings, Inc. (“WM Holdings”). At the same time, our parent holding company changed its name
from USA Waste Services to Waste Management, Inc. Like WMI, WM Holdings is a holding company and all
operations are conducted by subsidiaries.
Our principal executive offices are located at 1001 Fannin Street, Suite 4000, Houston, Texas 77002. Our
telephone number at that address is [phone]. Our website address is http://www.wm.com. Our annual reports
on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K are all available, free of charge, on
our website as soon as practicable after we file the reports with the SEC. Our stock is traded on the New York Stock
Exchange under the symbol “WMI.”
Strategy
In 2006, we continued working on our long-term goals of improving our organization and maximizing returns
to our shareholders by concentrating on operational excellence, profitability and growing our business. Our current
strategies are based on four objectives: revenue growth through pricing; lowering operating and selling, general and
administrative costs through process standardization and productivity improvements; improving our portfolio of
business units through our “fix or seek exit” strategy; and generating strong and consistent cash flow from
operations that can be returned to shareholders.
1