This paper presents results from a large-scale national survey of attitudes of students in Catholic schools in Australia towards Muslims and Islam. Over 2232 students completed questionnaires which were obtained from students in 42 Catholic schools throughout Australia. These schools were drawn from both rural and urban areas in New South Wales, Victoria, Tasmania, Queensland and South Western Australia. The findings include evidence of goodwill on several indicators, with a variation in response between boys and girls, religious identifiers and "others", and stereotyping of one's own mainstream/Catholic community vs. Muslims. Positive, neutral and other stereotypical attitudes were included in the analysis. A number of negative attitudes suggest that relative recent migration to Australia contributed in large measure to a poorly informed response, while the long-standing multicultural posture of educational policy suggests otherwise.