Technical Abstract: This is a long term research project designed to result in the development of peanut cultivars with resistance to preharvest aflatoxin contamination (PAC). The initial objectives were to develop large-scale screening techniques and to identify sources of resistance to PAC in peanut germplasm. Screening techniques were developed, and fifteen sources of resistance were identified. These sources of resistance were then used in a hybridization program to combine this resistance with acceptable agronomic performance. Several hundred F4:5 breeding lines were created and tested for resistance. Six breeding lines were identified that have relatively low aflatoxin contamination and relatively high yield when subjected to late season drought stress. We also documented an association between drought tolerance and reduced aflatoxin contamination, and are using drought tolerance as an indirect selection technique for resistance to aflatoxin contamination. We evaluated other breeding lines that were not developed specifically for reduced aflatoxin contamination and/or improved drought tolerance. Three of these advanced breeding lines have exhibited significantly higher yield and significantly lower aflatoxin contamination in comparison to the standard check cultivar, Georgia Green.