A preliminary version of a workbook for SAMICS, a uniform costing methodology for manufacturing processes, was published. Continued experimentation with the fluidized bed reactor for production of Si by Zn reduction of SiCl/sub 4/ showed that 78 percent of theoretical conversion efficiency from SiCl/sub 4/ to Si was attainable using a hemispherical bed support, versus 68 percent when using the concise bed support. The EFG process is now producing 2-inch wide ribbon at 2 to 3 inches per minute; however, conversion efficiencies remain low at 2 percent to 3 percent. Work on the CAST process has stopped pending contract negotiation. Materials other than SiO/sub 2/ are being evaluated for the die used in the inverted Stepanov process. Development of low-cost encapsulation materials and systems is continuing. Production process emphasis was shifted to the cost-effectiveness of processes still being considered, and to the sensitivity of these processes to commercially realistic tolerances. Engineering work centered in two primary areas: the finalizing of a substantially updated module design specification, and expanded activity in the development of environmental design requirements. (MHR)