All good points you make and good questions as well. I don't believe its a matter of being too dry. me and my girl are pretty good gardeners and we have a regular watering schedule. now as far as the other shrubs and trees surrounding it are concerned, I suppose they could be competing for nutrients...? although there are plenty of conifers and what not here competing with out five other hydrangeas and they don't appear to be having the same problems this one is having. the white leaves are always on the inside of the plant and they're very difficult to see by just looking at it. they always grow directly off one of the main stems themselves, lower to the ground rather than from an offshoot stem higher up. and yeah, they always fall off before they get any bigger than say, 2 inches across. they're totally white. no green veins left behind or anything.