The interaction of underwater explosions with naval structures is an extremely difficult subject. Because it needs both solid/ structure (Lagrangian approach) and fluid (Eulerian approach) to work together. The current state of the art analysis code, however, can handle only either solid/structure dynamics part or fluid dynamics part entirely but not both. The purpose of this proposal is based on the state of the art Lagrangian finite element code DYNA3D, developed by Dr. John O. Hallquist to handle short duration impact and penetration problems. Eulerian capability and its coupling with Lagrangian code will be added to DYNA3D to be well suited for fluid-structure interaction problems.