Beginning with a brief review of the growth of the audiolingual method of foreign language instruction in the United States of America, this paper examines implications and lessons drawn from an educational experiment in language instruction known as the Pennsylvania Report. The text of a memorandum to school administrators in Pennsylvania by the Superintendent of Public Instruction discusses the project in which 104 beginning French and German classes from 66 participating school districts in the two-year educational experiment attempted to determine the effectiveness of the audiolingual method of language instruction. Achievement of students trained in the audiolingual method and the traditional method is compared and other factors bearing on achievement are commented on. Teacher qualifications, the use of the language laboratory, and commonly accepted theories of language instruction are critically examined. (RL)