INFORMATION RELEVANT TO THE PROBLEM OF EARLY SCHOOL LEARNING WAS PRESENTED. A MAJORITY OF THE 89 SCHOOLS IN THE HOLDING POWER PROJECT OF THE BUREAU OF GUIDANCE IN THE NEW YORK STATE EDUCATION DEPARTMENT WERE RURAL. HOLDING POWER WAS DEFINED AS THE RATIO OF THE NUMBER OF GRADUATES IN A SECONDARY SCHOOL CLASS TO THE POTENTIAL NUMBER OF GRADUATES IN THAT CLASS. POTENTIAL DROPOUTS WERE IDENTIFIED AND ASSISTED TO STAY IN SCHOOL, 15,000 STUDENTS WERE STUDIED FROM SEVENTH GRADE THROUGH GRADUATION. SMALL SCHOOLS AND RURAL SCHOOLS RETAINED FEWER STUDENTS, PROPORTIONATELY, THROUGH GRADUATION THAN DID SUBURBAN SCHOOLS, BUT RETAINED THE SAME PERCENTAGE AS LARGE CITY SCHOOLS. THERE WAS A HIGH CORRELATION BETWEEN THE PARENTS' SOCIOECONOMIC STATUS AND THE SCHOOL'S HOLDING POWER, AND THERE WAS A LINK BETWEEN STATUS, COMMUNITY TYPE, AND SCHOOL SIZE. A TECHNIQUE PREDICTED EARLY SCHOOL LEAVERS BY REQUIRING THE ANNUAL RATING OF ALL PUPILS ON A SCALE WHOSE ITEMS WERE ASSOCIATED WITH EARLY SCHOOL LEAVING. EFFORTS TO IMPROVE SCHOOL HOLDING POWER INVOLVED ENHANCING THE VALUES OF EDUCATION FOR BOTH STUDENTS AND THEIR PARENTS. RECOMMENDATIONS TO FIGURE THE RETENTION RATE OF RECENT GRADUATING CLASSES AND TO STUDY THE REASONS FOR DROPPING OUT INCLUDED--DEVELOPING AND KEEPING A RECORD OF PERTINENT INFORMATION FOR EACH STUDENT, IDENTIFYING POTENTIAL DROPOUTS, PINPOINTING DROPOUTS' POTENTIALITIES IN NONPROMOTED STUDENTS AND THOSE WHOSE MARKS DROPPED, ARRANGING AND COORDINATING STAFF EFFORTS TO AID RETENTION, INVOLVING POTENTIAL DROPOUTS' PARENTS IN RETENTION EFFORTS, AND CONSIDERING FOR POTENTIAL DROPOUTS SCHOOL PROGRAM ADJUSTMENT, WORK-STUDY PROGRAMS, COUNSELING, SUMMER CONTACTS BY SCHOOL PERSONNEL, AND EXTRACURRICULAR ACTIVITIES.