The Distar I Reading, Language and Arithmetic programs were used with two first grade classes. The Distar II programs were used with two second grade classes. One first grade Distar class appeared to make some progress in oral language. Comparison of the first grade Distar classes with a first grade control class that used a Scott-Foresman basal reader program showed initial differences in reading readiness favoring the control group but no differences in IQ or reading achievement at the end of first grade. The first grade reading test was constructed in two forms, one using Distar reading font and the other traditional type font. A second grade subgroup of nineteen Distar pupils was compared to a group of twenty non-Distar pupils on reading readiness and achievement in first grade, and IQ and achievement in reading, language, and arithmetic in second grade. A significant difference in arithmetic computation favored the Distar group. The total (n=51) second grade Distar group was found significantly below grade norms (2.9) on four of seven achievement subtests. Recommendations included supplementing the Distar program with instruction for greater transition to reading connected sentences and paragraphs, and instruction on specific comprehension skills. Changes should be made in the program to avoid the confusion about number symbols that were detected on the achievement test. (Author)