It has always been ESO's aim to operate the VLT in an interferometric mode (VLTI) which allows the coherent combination of stellar light beams col lected by the four 8-m telescopes and by several smaller auxiliary telescopes. In December 1993, in response to financial difficulties, the ESO Council de cided to postpone implement at ion of the VLTI, Coude trains and associated adaptive optics for all the UTs but included provisions for continuing tech nological and development programmes devoted to the aim of reintroducing these capabilities at the earliest possible date. The desirability of...