Policymakers and education leaders in Southern Regional Education Board (SREB) states have been working since 2002 to meet all 12 "Challenge to Lead" Goals for Education. At the same time, SREB states have had to struggle with the toughest economic challenges in decades. Even so, SREB states have succeeded in achieving many of the goals -- and gaining ground on others. The SREB Commission on the goals specified indicators of progress for each of them. This report tells a story of progress on these indicators in each state to help policymakers make better public education policy decisions. It also provides analysis and recommendations that can be used to improve education policies and practices for all students -- from the youngest child to older adults returning to school. The information presented is labeled to reflect the associated "Challenge to Lead" goal. The beginning pages profile state demographic trends including school enrollment, income disparities, and racial and ethnic diversity. The commentary examines what has happened since the "Challenge to Lead" goals were adopted. For more than 50 years, SREB states have found it important to know where they stand to ensure that their students can measure up to their peers across the nation and the region. This report provides that essential update. [This report was developed by a team of SREB staff members led by Crystal Collins and Jeff Gagne. Key team members included Jenny Hite, Michaela Corrente, Joan M. Lord, and Gene Bottoms.]