Liver transplantation continues to be refined in terms of indications, technique, immunosuppression, and the diagnosis of allograft rejection. Alcoholic cirrhosis, chronic hepatitis B, and hepatocellular carcinoma remain controversial indications for liver transplantation; recent papers provide opinions and shed some light on these indications. Descriptions of liver biopsy abnormalities after liver transplantation, including findings attributed to rejection and to preservation injury, were well described this past year. Finally, literature regarding the new immunosuppressive agent, FK506, is just begining to appear; controlled trials of its efficacy in liver transplantation should be published in the near future.