During March--April 1987, 101 hydrographic stations were occupied on three sections spanning a triangle between the Azores (Faial), the southern tip of the Grand Banks of Newfoundland, and Bermuda. Information on the near-surface processes in the interior of the triangle were obtained from 32 satellite-tracked buoys deployed during the cruise and a composite infrared image based on cloud-free NOAA 9 data during April 1987. The data were combined to analyze the eddy field and the branching of the Gulf Stream into the North Atlantic Current and the Azores Current. Calculations of mass transports through the legs of the triangle gave a total of 46 Sv supplied by the Gulf Stream, 31 Sv of which left the area as the North Atlantic Current and westwind drift north of the Azores. The remaining 14 Sv continued towards east-southeast as the Azores Current and southern recirculation. Additional conductivity-temperature-depth stations from a cruise in April 1986 into the same area allowed also study of the large-scale circulation within that triangle in deeper layers. The Azores Current appears as a baroclinic stream which reaches down to approximately 1000 m. Intensive mixing was observed at the continental slope of Newfoundland between water of the Labrador Current and the Gulf Stream (mixed water). Owing to cabbeling and consecutive convective mixing, this water penetrates down to 2000 m depth and creates horizontal density gradients to the surrounding Gulf Stream water, which intensifies the North Atlantic Current. This process is considered to be an important energy source for this current. ¿ American Geophysical Union 1990