The overall objective of this proposal is to evaluate the effectiveness of a comprehensive intervention program to improve the peer-related social competence of young children with developmental (cognitive) delays. Previous work has identified a peer interaction deficit exhibited by the vast majority of young children with developmental delays. Based on a model that incorporates both information-processing and emotional regulation components within a developmental and social task framework, individual child characteristics and family influences are assessed and linked to specific intervention protocols. Children and families are randomly assigned to either an intervention or control condition, with intervention taking place in both home and school settings across a two-year period. Laboratory observations of children interacting with unfamiliar as well as familiar peers at each evaluation period will provide a stringent test of the generality of intervention effects. A series of models using structural equation approaches will be used to determine the extent to which specific family factors directly or indirectly influence children's peer-related social competence. The degree to which family risk and child risk constructs moderate the relationship between family factors and child social competence also will be examined.