The Pacific Northwest Laboratory is working to design, fabricate, and evaluate a real-time flaw detection and characterization system based on the synthetic aperture focusing technique for ultrasonic testing (SAFT-UT). The system is for inservice inspection of light water reactor components. Included objectives of this program for the Nuclear Regulatory Commission are to develop procedures for system calibration and field operation, to validate the system through laboratory and field inspections, and to generate an engineering data base to support ASME Code acceptance of the technology. This process report covers the programmatic work from April 1984 through September 1984. 58 figs.