The menopausal woman is in a state of estrogen deficiency that induces a variety of metabolic, structural, and symptomatic disturbances. Indications for estrogen replacement therapy include vasomotor symptoms, psychosomatic complaints, urogenital atrophy, prevention of osteoporosis, and prevention of coronary heart disease. Potential risks of therapy include development of endometrial and breast cancer. The incidence of both can be decreased with combination estrogen-progestin therapy. Future research efforts should be directed toward identifying the postmenopausal woman at increased risk for osteoporosis and/or coronary heart disease.