This paper reviews basic performance characteristics of "exterior insulation finish systems"(EIFS) that inEurope are called "external thermal insulation composite system"(ETICS).The latter name is now proposed for international use because a next generation of systems that would be considered as stucco on insulation if they were using a metal reinforcement is a hybrid of those two systems..We will use the name of ETICS because these systems have non-metal reinforcement and lamina formed from multi-layered, composite materials.The concept was first introduced inChina to address the exterior applications on concrete highrise buildings.New technical solutions are now being developed in the USA as they allow using of foams and other fibrous materials for high performance applications with controlled cracking and improved fire performance.