A numerical solution to the 20-moment set of transport equations has been found in order to study subauroral ionospheric outflows during periods of enhanced perpendicular ion drifts. The numerical model solves the time-dependent O+ density, momentum, and both the parallel and perpendicular energy and heat flow equations in the 200--6000 km altitude range. Assuming perpendicular drifts of 3 km/s relative to the neutral atmosphere, we have found that anisotropic heating of O+ (a result of ion-neutral collisions) leads to a temperature anisotropy, with perpendicular temperatures exceeding 8000 K and parallel temperatures greater than 5000 K (near 200 km altitude). Above approximately 2000 km, transport processes dominate the effects of collisions and wavelike oscillations in O+ velocity, temperature and heat flux were noted. ¿ American Geophysical Union 1992