This is the seventh report in a series prepared in response to a legislative mandate that directed the California Postsecondary Education Commission to publish a report each year on significant indicators of performance. The report contains background information on the development and recent review of these performance indicators and describes the scope of each category of indicators, including a brief summary of current trends. The report shows that California high school graduates continue to increase in number and diversity, and that completion of a college preparatory course increased for nearly all groups. More Californians than ever took college admission tests and scored at or above the national average. The percentage of 12th graders taking Advanced Placement tests has more than doubled since 1986 to 16.3%, with increases registered regardless of gender and among most racial/ethnic groups. Community college transfers increased at both public university systems, and there was a slight increase in enrollments at the graduate level. An increase was also recorded in gender and racial/ethnic diversity of faculty members. The educational indicators are grouped into these categories: (1) population context; (2) fiscal context; (3) student preparation; (4) student access; and (5) student outcomes. An appendix contains the Assembly Bill that mandates this report. (SLD)