A study compared the organizational form and functional activities of the U.S. Cooperative Extension Service with agricultural extension activities in Sri Lanka and recommended ways of improving such programs in developing countries. Distinctive differences were found in the organizational set-up, subject-matter coverage, approach to clients, program planning process, staff recruitment and development, and participation of youth in the extension programs in each of the two countries. Policy recommendations formulated as a result of the study included the following: (1) a formal functional relationship should be established between agricultural extension and the higher education institutions; (2) policy decisions should be made by appropriate government agencies to free extension personnel from performing nonextension activities; (3) the number of subject-matter specialists should be increased; (4) advisory committees should be organized at each hierarchy level of the organizational structure of the agricultural extension; (5) an evaluation unit should be organized as a part of the agricultural extension organization; (6) extension programs should be carried out through organized farmer groups; (7) personnel competency levels should be improved through systematic staff recruitment and development; (8) promotion criteria should be established for all extension personnel; and (9) adequate working relationships should be established and maintained at local levels between agricultural extension and other public and private institutions. (MN)