In December 1997, the U.S. Department of Energy (DOE) established a Center of Excellence (Hyperspectral- Multispectral Algorithm Research Center, HyMARC) for promoting the research and development of algorithms to exploit spectral imagery. This center is located at the DOE Remote Sensing Laboratory in Las Vegas, Nevada, and is operated for the DOE by Bechtel Nevada. This paper presents the results to date of a research project begun at the center during 1998 to investigate the correction of hyperspectral data for atmospheric aerosols. Results of a project conducted by the Rochester Institute of Technology to define, implement, and test procedures for absolute calibration and correction of hyperspectral data to absolute units of high spectral resolution imagery will be presented. Hybrid techniques for atmospheric correction using image or spectral scene data coupled through radiative propagation models will be specifically addressed. Results of this effort to analyze HYDICE sensor data will be included. Preliminary results based on studying the performance of standard routines, such as Atmospheric Pre-corrected Differential Absorption and Nonlinear Least Squares Spectral Fit, in retrieving reflectance spectra show overall reflectance retrieval errors of approximately one to two reflectance units in the 0.4- to 2.5-micron-wavelength region (outside of the absorption features). The results are based on HYDICE sensor data collected from the Southern Great Plains Atmospheric Radiation Measurement site during overflights conducted in July of 1997. Results of an upgrade made in the model-based atmospheric correction techniques, which take advantage of updates made to the moderate resolution atmospheric transmittance model (MODTRAN 4.0) software, will also be presented. Data will be shown to demonstrate how the reflectance retrievals in the shorter wavelengths of the blue-green region will be improved because of enhanced modeling of multiple scattering effects.