How to set java_home on Windows 7?

I went to the Environment Variables in ‘System’ in the control panel and made two new variables, one for user variables and one for system variables. Both were named JAVA_HOME and both pointing to

C:\Sun\SDK\jdk\bin

But for some reason, I still get the below error when running a Java command…

BUILD FAILED
C:\Users\Derek\Desktop\eclipse\eclipse\glassfish\setup.xml:161: The following error  occurred while executing this line:
C:\Users\Derek\Desktop\eclipse\eclipse\glassfish\setup.xml:141: The following error occurred while executing this line:
C:\Users\Derek\Desktop\eclipse\eclipse\glassfish\setup.xml:137: Please set java.home to a JDK installation

Total time: 1 second
C:\Users\Derek\Desktop\eclipse\eclipse\glassfish>lib\ant\bin\ant -f setup.xml
Unable to locate tools.jar. Expected to find it in C:\Program Files\Java\jre6\lib\tools.jar
Buildfile: setup.xml

How can I fix this problem?

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