We present new experiments and free-swimming simulations of a pair of pitching hydrofoils interacting in a simple school. The hydrofoils have an out-of-phase synchronization and their arrangement is varied from in-line to side-by-side arrangements through a series of staggered arrangements representing the two-dimensional interaction plane. It is discovered that there is a two-dimensionally stable equilibrium point for a side-by-side arrangement. In fact, this arrangement is super-stable meaning that hydrodynamic forces will passively maintain this arrangement even under external perturbations and the school as a whole has no net forces acting on, drifting it to one side or the other. Moreover, previously discovered onedimensionally stable equilibria driven by wake vortex interactions are shown to be, in fact, two-dimensionally unstable, at least for an out-of-phase synchronization. Additionally, the stable equilibrium arrangement is verified for freely-swimming foils undergoing dynamic recoil motions. When constrained, the swimmers experience a collective thrust and efficiency increase up to 100% and 40%, respectively, in a side-by-side arrangement. However, in a staggered arrangement where there is direct vortex impingement on a follower, an even higher efficiency improvement of 87% is observed, which is coupled with a 94% increase in the thrust. For freely-swimming foils, the recoil motion attenuates the performance improvements showing a more modest speed and efficiency enhancement of up to 9% and 6%, respectively, when the swimmers are at their stable equilibrium. These newfound schooling performance and stability characteristics suggest that fluid-mediated equilibria may play a role in the control strategies of schooling fish and fish-inspired robots.collective locomotion | hydrodynamic interactions | fish schooling | pattern formation | collective performance M. K. helped design the study, gathered and processed experimental measurements, and drafted the manuscript. A. M. helped design the study, gathered and processed the numerical data, and helped revise the manuscript. K. M. helped design the study, and helped revise the manuscript.