This report covers the activities of the Appalachia Educational Laboratory (AEL) Regional Exchange (Rx) from October 1976 to November 1977, the first 14 months of the Rx existence. Four different activities are described and are briefly evaluated: (1) the Advisory Committee; (2) the subcontracts with eight state departments of education to improve the dissemination capacity of those states; (3) state workshops and regional conferences on linkage training, performance based education, and minimum graduation requirements; and (4) the Resource and Referral Centers which provide literature and answer local requests for information. Much of the report consists of tables and quoted responses to questionnaires designed to indicate the effectiveness of the various activities in achieving the goals of the Research and Development Exchange. (Author/CTM)