Improved (pugged) porous support tubes were analyzed by using a tube burst test that has been established to more reliably measure the tube strength. Stability of alternative air electrode materials and processing conditions for their preparation continued to be investigated. Initial batch preparation of air electrodes was performed. Single cell testing continued with over 2000 hours of operation logged. Three-cell testing commenced during this quarter, and the three-cell test has performed well for over 1000 hours to date. Efforts in support of cell technology advancement included: microstructural characterization of the fuel electrode and electrolyte interfaces, reactivity and diffusion studies between the air electrode and electrolyte, resistance measuring techniques to characterize cells and cell components, and preparation of a dedicated cell test facility. A computer program, to predict SOFC Nernst potential and equilibrium composition of depleted fuel gas, was written. Dual atmosphere testing techniques were devised, for evaluating the behavior of metallic containment materials and insulation materials, that are planned to be used in the submodule (and generator).