This reading textbook, the second of a series, is an anthology of stories designed to relate to the natural interest of the elementary school child. On this level the number of words to memorize is increased (on the average, four per unit) while at the same time, the study of word variants is introduced to begin analysis exercises based on the configuration of each. The exercises of auditory discrimination are completed with the visual recognition of normal endings--diminutives, verbs, etc. Stress is paid to the intonation and writing of the letters. The tests which students must read increase in complexity--from the phrase to the sentence. The book contains many color illustrations. (SK)