* The continuing global terrorist threat, but also the setbacks the violent extremist networks are experiencing;
* The significant gains in Iraqi security since this time last year and the developing political and economic improvements;
* The continuing challenges facing us in Afghanistan and in Pakistan, where many of our most important interests intersect;
* The persistent threat of WMD-related proliferation:
o Despite halting progress towards denuclearization, North Korea continues to maintain nuclear weapons;
o Despite the halt through at least mid-2007 to Iran’s nuclear weapons design and covert uranium conversion and enrichment-related work, Iran continues to pursue fissile material and nuclear-capable missile delivery systems.
* The vulnerabilities of the US information infrastructure to increasing cyber attacks by foreign governments, nonstate actors and criminal elements;
* The growing foreign interest in counterspace programs that could threaten critical US military and intelligence capabilities;
* Issues of political stability and of national and regional conflict in Europe, the Horn of Africa, the Middle East, and Eurasia;
* Growing humanitarian concerns stemming from the rise in food and energy prices for poorer states;
* Concerns about the financial capabilities of Russia, China, and OPEC countries and the potential use of their market access to exert financial leverage to achieve political ends.