Available public and proprietary databases on piping system failures were searched for relevant information. Using a relational database to identify groupings of piping failure modes and failure mechanisms, together with insights from published PSAs, the project team determined why, how and where piping systems fail. This report represents a compendium of technical issues important to the analysis of pipe failure events, and statistical estimation of failure rates. Inadequacies of traditional PSA methodology are addressed, with directions for PSA methodology enhancements. A `data driven and systems oriented` analysis approach is proposed to enable assignment of unique identities to risk-significant piping system component failure. Sufficient operating experience does exist to generate quality data on piping failures. Passive component failures should be addressed by today`s PSAs to allow for aging analysis and effective, on-line risk management. 42 refs, 25 figs.