This study used data from the National Longitudinal Transition Study of Special Education Students to examine whether social activities had an impact on the academic performance of 832 youth with learning disabilities. More than one-third of the high-school youth were reported to see friends outside of school 6 or 7 days a week. These students had higher absenteeism from school and were more likely to have received a failing grade than did students who were less actively involved with friends outside of school. High absenteeism and grade failure were among the strongest predictors of youth dropping out of school. In contrast, students who were engaged in school or community groups had significantly lower school absenteeism and better grade performance. Findings suggest that students who bonded with school, whose friendships did not overly compete with the time needed to meet school responsibilities, were better students. Schools are encouraged to provide opportunities for students with varying interests to find social memberships and help parents set guidelines for appropriate out-of-school social activities. (DB)