Despite increased immigration and families living in poverty, as well as relatively low teacher salaries, New Zealand has produced some of the highest literacy rates in the industrialized world. Its reputation as a nation of readers has intrigued North American theorists and educators alike. This led a group of 50 U.S. educators to visit New Zealand during the summer of 2000 to observe firsthand the literacy practices used in its primary classrooms. This paper offers some observations of literacy education in New Zealand. The paper describes the "literacy block," a mandated uninterrupted period of time in which students are focused on literacy development. It discusses the larger context of the primary classroom and notes that for those children who do not start out as successful readers, Reading Recovery is available. The paper proceeds through a Reading Recovery lesson and provides the history of the Reading Recovery Program, developed in the 1970s in New Zealand by Marie Clay. It points out that there are a number of other programs currently being implemented, including: the New Zealand Literacy (and Numeracy) Strategy which was established with the aim of improving literacy; programs funded through the reading, writing, and mathematics proposals pool (RWMP); and the Literacy Leadership Program for Primary Schools, developed by Learning Media along with a team of recognized literacy experts and practitioners. The paper also cites "Feed the Mind," a multi-media public campaign offering ideas on how to help young children learn. It discusses assessment and future challenges in New Zealand literacy education. Includes 6 notes. (NKA)