This report reviews wave-current interaction, a phenomenon which may affect wave height and wave direction in unexpected ways. Wave-current interaction has received relatively more attention from Europeans than from Americans because of the greater importance of tides to countries bordering the North Sea. A comprehensive review of the literature, much of it foreign, will increase awareness among U.S. engineers of the important aspects of wave-current interaction. An annotated bibliography on this subject is provided by Peregrine, Jonsson, and Galvin (1983). The work was carried out under the U.S. Army Coastal Engineering Research Center's (CERC) Waves at Entrances work unit. Harbor Entrances and Coastal Channels Program, Coastal Engineering Area of Civil Works Research and Development. The report was prepared by D. Howell Peregrine of the University of Bristol, England, with assistance from Ivar G.