research is summarized on biological approaches to the utilization of lignin degradation to raw material for the manufacture of chemicals and materials. this investigation studied the possible involvement of reduced oxygen species produced by the white-rot fungus, c. versicolor, in the initial breakdown of the lignin macromolecule during its biodegradation. this fungus was shown to be capable of exporting superoxide radical. while the degree to which this organism was responsible for actual lignin degradation is not clear, there were indications that a correlation may exist between the concentration of extracellular superoxide radical in the medium and the extent of lignin degradation. two different fermentation schemes were compared and several control fermentation experiments were made. research dealing with improvements in lignin structure analysis, liquefaction of lignin preparations by reaction with propylene oxide, and solidification of liquified kraft lignin by crosslinking with diisocyanate compounds was explored. the use of scanning electron microscopy for revealing interaction between fiber and binder is noted