Over the last quarter, we continued to optimize procedures for producing free-standing, defect free films using rigid silicon and glass substrates. A strong correlation was observed between sputter power and formation of defects (pinholes) in the film; i.e., lower power, and correspondingly lower deposition rate, results in a lower defect density. Films less than 1 um-thick have been successfully released from both silicon and glass substrates although the minimum thickness for pinhole-free films over a 4-inch diameter disc is still on the order of 3-4um. Results from hydrogen permeation testing over the last quarter have shown a marked increase in membrane performance primarily due to proper alloy composition and pre-treatment procedures.