This publication provides materials on the Small Group Learning Methodology Project in Victoria, Australia. The first chapter concerns the purpose of small groups in adult literacy learning. Chapter 2 deals with types of adult literacy programs, interviews, student needs, student placement, and forming groups. Chapter 3 discusses group processes, including the tutor's role and group organization. Chapter 4 presents case studies of six groups. "Experimenting with Structure: News and Music" (Barbara Goulborn) describes a beginner literacy group, which used a new approach that emphasized reading. "Women's Group in a Neighbourhood House" (Helena Spyrou) discusses planning done on the basis of continuing student evaluation formalized by a brief survey at the end of each class session."From Reading to Writing to Reading" (Aileen Treloar) establishes a rationale for the approach and describes a session involving the share/reading of a classic story. "Developing the Writing Habit" (Kaye Elias) discusses a group that was introduced to new genres and worked on the conventions of writing. "Getting Started with a Beginner Reading Group" (Rosa McKenna) describes two cycles of lessons. "Experience and Language--Towards a Balanced Diet" (Rex Ennis) describes a first-hand experience in shopping and cooking that integrated literacy, numeracy, language, and experience. Chapter 5 is an annotated bibliography of 26 references. (YLB)