Factors potentially contributing to dropout rates that were examined included median reading scores, racial enrollment, socioeconomic level, race and years of experience of the faculty, school size, school organizational structure, and pattern of high school enrollment. Of students leaving the eighth grade in 1978, 43 percent eventually dropped out without graduating. Only 70 of the 381 schools had dropout rates at or below the national average; 311 had rates above average; and in 10 schools, more than 70 percent of students dropped out. Factors associated with dropout rates were percent of students reading below normal in he eighth grade, percent of over-age students, percent of students from low-income families, and racial composition (higher dropout rates were associated with higher percentages of black and Hispanic students). 4 tables and 2 references.