A study was done of the Lilly Endowment Educational Awards (LEEAs), one type of gift-aid for fulltime undergraduate Indiana residents. In particular the study addressed: (1) who receives LEEAs; (2) how Pell, State of Indiana, and LEEA formulas interact; (3) what happens when LEEAs are combined with all of the other types of gift-aid for a total package; and (4) whether the LEEA program increases college participation, affects school choice, or reduces loan burden. Most of the analysis relied on two data sources: the State Student Assistance Commission of Indiana and the State of Indiana Commission for Higher Education Student Information System. The study found that recipients of Pell and state awards come from families whose income level is well below the median for the state. LEEA recipients tend to come from families whose income is near the median. All three gift-aid formulas interact with each other and with external factors, and in ways that are often not immediately obvious. Due to the common practice of "equity packaging," LEEA and state awards may be viewed as block grants to a school's general scholarship fund. The major effect of the program was reduction of student loan burden. Extensive tables and technical appendixes are included. (Contains 71 references.) (JB)