[en] The first observations of internal tilt instabilities in field-reversed configurations (FRCs) are reported. Detailed comparisons with theory establish that data from an array of external magnetic probes are signatures of these destructive plasma instabilities. This work reconciles theory and experiments and suggests that grossly stable FRCs are restricted to very kinetic and elongated plasmas. Self-consistent three-dimensional numerical simulations demonstrate tilt stabilization by the addition of a beam ion component. High-power compression heating experiments with stable equilibrium FRCs are also reported. Plasmas formed in a tapered theta-pinch coil have been translated along a guide magnetic field into a new single-turn compression coil where the external field is increased up to 7 times the initial value in 55 μs. Substantial heating is observed accompanied by a decrease in confinement time. 17 refs