A comparison was made between the results obtained in the day and residential treatment programs of the Henry Ittleson Center. Schizophrenic children who, on admission, were unscorable on the WISC and had the most gross ego impairments showed no significant improvement in either treatment setting. Those schizophrenic children with recognizable organic brain damage showed similar lack of progress in both settings. Finally, the non-organic children in residence showed greater improvement over those in day treatment. Implications and possible explanations for the findings are discussed.