N's and such

My daughter got her interim report yesterday. "Did I get all 'S's'?" she asked hopefully. An S means 'satisfactory'. "No", I had to tell her she got two N's. She's in Kindergarten and they don't grade the way I was graded as a child. N means you need improvement. She got N's for 'Adjusting well to new activities' and for 'Staying on Task'. I felt bad for her because she really seemed to want all S's. And that would've been nice, but she can't change who she is either. I don't understand the report. It is as if they are grading, or evaluating your child's nature, disposition, their personality. Straight S's isn't important to me, but I am not handling the critique of her temperament very well either. I've worried about her all her short life. She is shy, I was once painfully shy, worse than her even! So I can relate and I'm fairly confident she will grow out of it at an even earlier age than I did. This is because she does a lot better than I did at that age. It just seems somehow unfair to grade someone on that criteria.
Anyway I'm not the kind of mom to put the pressure on, about straight A's and such. I just want my kids to be happy. That's all I want out of life really. I want them to know that I support and love them, and I want them to be happy. Teacher conferences are going to be tough.