Here is my hiking kit: Let me know what I might have missed.

Teacher

Description: Camelbak waistpack with hydration bladder.
Granola bars, Eddie Bauer light, mirror, spyderco knife, lighters, Kleenex, Phone

Mole foam (for blisters) 2 kitchen trash bags (white), hand sanitizer

Looks good

I'd put some water purification tablets and some cordage in

Rope, string, cordage,

A simple, but indispensable item.

M

What are the details of your hike?
What risks have you identified?
How do you want to respond to the risks?
What are your needs during the trip?

In addition to some line and water purification as was mentioned, here are a couple suggestions off the top of my head:
-Add a quality whistle
-Consider spare battery for that light
-Replace the small kitchen bags with either a bivy sack, or at least a heavy duty large garbage bag. You have the bladder in the pack for water already, you need shelter. Trash bag can also be a poncho.
-Rather than 2 lighters, maybe 1 lighter and another different type of fire starting device. A small quantity of firestarting material (you could use the tissues and hand sanitizer of course, but, I'm thinking a few vaseline cotton balls or some premade starter material, and maybe a chunk of fatwood)
-Wire or heavy fishing line or maybe a few zip ties
-You could probably put a few additional first aid supplies in the space that you have the blister kit.
-Compass, and trail map for where you are hiking
-Small bottle of insect repellent, maybe sunscreen
-Sunglasses, unless you are already wearing them
-I assume you'd wear clothing appropriate to the hike, and could layer on and off.

I'll think about it and add more later. Nice start to your kit!

Do you carry more gear on your person, like a PSK,blade or FAK?

Thanks for the input -- More info. This is for day trip hiking in the midwest. I sometimes carry another blade and almost always have a hat, sunglasses, sunscreen and jacket.

Most of what I do is hike big parks, so its quite possible to get lost.

TRO

I am curious: what are these for?

mirror
kleenex
trash bags (white)
hand sanitizer

The photo seems to have disapeared...

The mirror is for signaling or fixing my contacts
The kleenex is mutlti-purpose; TP, blow nose, tinder
Trash bags are for staying warm/ dry
Sanitizer is to keep hands clean