This handbook offers a guide to identifying curriculum activities which will enable the observation of significant literacy behaviors, recording these observations, and assessing and reporting student development in literacy. The handbook presents carefully considered descriptions of literacy learning behaviors noted by teachers in a wide variety of schools, and descriptions of classroom contexts in which these behaviors are commonly observable. The literacy profiles discussed in the handbook help the principal and staff develop a systematic and consistent approach to the assessment and reporting practices within schools; offer a recording instrument which can be used from year to year, enabling cumulative reporting on student progress which can assist communication with parents and others in the school community; and can also be used to facilitate student transition from one school to another. Sections of the handbook are: (1) "About Literacy Profiles"; (2) "The Reading and Writing Bands"; and (3) "Literacy Profiles in Use." Discussion of the reading and writing bands, classroom tasks and contexts for observing reading and writing, and a list of participating schools are attached. (RS)