A simple multimachine test system has been employed to demonstrate a new approach to the co-ordination and selection of power-system stabiliser gain settings to achieve a specified level of overall damping performance on a multimachine power system. For a given operating condition the well established characteristic gain loci (CGL) method is used to determine (i) the range of gain settings for stable operation; and (ii) the gain settings to achieve, when possible, a specified level of damping. The results of (i) are compared with the more conservative results derived using the inverse Nyquist array method and described in an earlier paper. From the results of (ii), for a wide spectrum of operating conditions, a set of fixed gain settings is selected which provide a best compromise of damping performance over the spectrum. Some advantages and shortcomings of this application of the CGL method are highlighted. The paper is an extension of work described in the earlier paper.