A histological study has been mado of wool folliclos in skin from the trunk of 24 shcep foetuses ranging in age from (J)) to 145 days of gestation. Fifteen of t.hese foetuses are known to be entirely Merino in origin, and the remainder are believed to be wholly or predominantly Merino. Extensive use has berm mado of serial sections parallel to the axis of the wool follicles as well as those parallel to [,he skin snrfaco. Skin from ]\lorino lambs and adults has also boen examined.