[en] The research performed under this grant over the current 11-1/2 month period has concentrated on key tokamak plasma confinement and heating theory issues: extensions of neoclassical MHD; viscosity coefficients and transport; nonlinear resistive MHD simulations of Tokapole II plasmas; ICRF and edge plasma interactions; energy confinement degradation due to macroscopic phenomena; and coordination of a new transport initiative. Progress and publications in these areas are briefly summarized in this report. 21 refs