Bifunctional, trifunctional, and tetrafunctional epoxy (EP) resins were hardened with stoichiometric amount of 4,4'-diaminodiphenyl methane in presence and absence of benzoxazine (BOX). The EP/BOX ratio of the hybrid systems was constant, viz. 50/50 wt %. For the bifunctional EP, the EP/BOX range covered the ratios 75/25 and 25/75 wt %, as well. Epoxy-terminated liquid nitrile rubber (ETBN) was incorporated in 10 wt % in the systems with trifunctional and tetrafunctional EP, and in 10, 15, and 20 wt % in the EP/BOX with bifunctional EP to improve their toughness. Information on the structure and morphology of the hybrid systems was received from differential scanning calorimetric, dynamic-mechanical thermal analysis, atomic force microscopic, and scanning electron microscopic studies. The flexural, fracture mechanical properties, thermal degradation, and fire resistance of the EP/BOX and EP/BOX/ETBN hybrids were determined. It was found that some homopolymerized BOX was built in the EP/BOX conetwork in form of nanoscale inclusions, whereas ETBN formed micron scaled droplets of sea-island structure. Incorporation of BOX improved the charring and fire resistance, enhanced the flexural modulus and strength, reduced the glass transition (T g ), the fracture toughness, and energy. Additional modification with ETBN decreased the charring, fire resistance, flexural modulus and strength, as well as T g, however, improved the fracture toughness and especially the fracture energy.