The characteristics and systems benefits of an energy efficient engine (E3) suitable for use on advanced subsonic transport aircraft were determined. Relative to a current CF6-50C engine, the following benefits were estimated: 14.4% reduction in installed cruise specific fuel consumption, and a reduction in direct operating cost of more than 5%. The advanced technology E3 system would also permit: compliance with FAR 36 (1977) noise limits, and compliance with 1981 EPA emission standards