The objectives of the current test program include validation of predictions from the Massachusetts Institute of Technology Coal AFBC System Model, and experimental studies supporting AFBC process development. This Annual Report summarizes activities and results during the period from March 1981, through February 1982. Primary activities included: hot mode testing aimed at the collection of heat transfer data; hot mode testing aimed at the collection of combustion efficiency data; hot mode testing aimed at the collection of sulfur capture data; hot mode testing aimed at the collection of fly ash reinjection data; MIT Model Validation using hot mode test results; Georgetown University solids sample analysis; and preparations for subsequent cold and hot mode testing aimed at the collection of bubble characteristics data.