U.S. government officials working overseas are at risk from terrorist threats. Since 1968, 32 embassy officials have been attacked -- 23 fatally -- by terrorists outside the embassy. As the State Dept. continues to improve security at U.S. embassies, terrorist groups are likely to focus on softÓ targets -- such as homes, schools, & places of worship. This report determines: whether the State Dept. has a strategy for soft target protection; assesses State's efforts to protect U.S. officials & their families while traveling to & from work; assesses State's efforts overseas to improve security at schools attended by the children of U.S. officials; & describe issues related to protection at their residences. Includes recommendations. Illustrations.