This report reviews events and accomplishments of the United States Department of Defense in 2002. US troops and coalition forces made progress in the war against terror, and the US continued to transform its military for the challenges of the 21st century. In 2002, Operation Enduring Freedom drove the Taliban from power in Afghanistan and disrupted the al Qaeda network responsible for the September 11th attacks. In Afghanistan and around the world, a coalition of more than 90 nations will continue to fight terrorism and work toward global peace, security and stability. This year, the Defense Department developed a new defense strategy and replaced the old model for sizing forces with a newer approach more relevant to the 21st century. The Defense Department proposed and the President approved a significant reorganization of the worldwide command structure, known as the Unified Command Plan. In the event of terrorist attack, civil disturbance or natural disaster, NORTHCOM will coordinate a response to the crisis with other federal agencies, and state and local governments. Over the last 12 months the Department refocused its space capabilities and fashioned a new concept of strategic deterrence that increases security while reducing strategic nuclear weapons.