1. DepED Order No. 79, s. 2003 moves the student evaluation process away from the misleading effects of the transmutation tables towards a performance-based grading system that provides a more reliable measure of what the students are actually learning in their classes.
2. The changes introduced to implement this new, performance-based grading system are as follows:
   1. Ending the use of transmutation tables to arrive at the grades of students;
   2. The redesign of test-based assessment instruments (periodic examinations, long tests, quizzes) to give appropriate weights to the basic competencies covered in the classes; and
   3. Basing the final, year-end mark on the average of the grades obtained by the students in the four grading periods.
3. After obtaining feedback on the third grading period results from the field, the Department has deemed it necessary to introduce additional guidelines to ease the transition into the new, performance-based grading system. These will enable teachers and students to adjust to the new system. Rather than immediately imposing higher norms, the guidelines will allow the gradual raising of academic standards to the desired levels.
4. The transitional guidelines are as follows:
   1. For the fourth grading period, the tests will be designed so that 70% of the items will be easy, 20% moderately difficult, and 10% items difficult.
   2. The passing mark this year will be 70 instead of 75.
   3. The lowest rating to be indicated in the card remains 65.
5. Any issuance inconsistent with this order is hereby rescinded.
6. Immediate dissemination and compliance with this Order is directed.

Reference: DepED Order (Nos. 79, s. 2003; and 82 s. 2003)
Allotment: 1– (D.0.50-97)

To be indicated in the Perpetual Index Under the following subjects:
CHANGE
POLICY
PUPILS
RATING
STUDENTS