*** 9710613 Bryant This Small Business Innovation Research (SBIR) Phase II project will continue the Phase I effort that investigated the microencapsulation of phase change materials (PCMs) in a form stable enough to withstand the melt spinning process, with special emphasis on capsules with mean particle size less than 10 microns. Phase II will include: (a) investigating dry heat stability of capsules in air, (b) identifying the nature of effluent materials given off with heat, ( c) optimizing the microencapsulation process and investigating process scale-up; (d) demonstrating the incorporation of microcapsules into the major melt-spun fibers, and (e) evaluating spinning performance and fiber properties. Phase II is anticipated to produce micro-PCMs on a scale suitable for prototype spinning of melt spun fiber for conversion into apparel and other articles The commercial applications of melt-spun fibers and fabrics with enhanced thermal energy storage capabilities is expected in the apparel and industrial insulation markets, where controlled protection in hot or cold thermal environments is required. ***