This study investigated the relationship between letter-sound ability and general reading ability in Israeli Hebrew and explored the value of letter-sound ability as a predictor of later reading success. The subjects were 130 children in primary classes in two Israeli public schools differentiated by socioeconomic status (SES). Stimuli were 31 synthetic Hebrew words. Each child was tested individually on his reading of the list of words. One year later a standardized reading test was administered to all subjects. The results showed a significantly high correlation of letter-sound ability with later reading success for middle SES children first tested in grade 1, but insignificant correlations for middle SES children thereafter. In the lower SES school, the highest correlation was achieved in grade 2, indicating a one-year lag behind the middle SES school. Letter-sound ability appears to be a good predictor of later reading success when children have just mastered the basic mechanics of the reading process; however, when this beginning phase is ended, the predictive power of letter-sound ability decreases. (Author/WR)