Thin films of two poly (acrylonitrile-butadiene-styrene) [ABS] resins have been strained in tension, and the ensuing deformation has been characterized by transmission electron microscopy. To enhance contrast of the rubber particles, some of the specimens were stained with OsO4. Films containing only solid rubber particles 0.1 μm in diameter show little tendency for crazing. Instead, cavitation of the rubber particles occurs, together with localized shear deformation between the particles along a direction nearly normal to the tensile axis. For specimens containing a mixture of the same small particles plus larger (1.5μm diameter) particles containing glassy occlusions, some crazing does occur. Crazes tend to nucleate at the larger particles only. When crazes encounter the smaller particles these cavitate without appearing to impede or otherwise affect the craze growth. The occluded particles also show significant cavitation, with voids forming at their centres at sufficiently high levels of strain. These voids do not seem to lead to rapid craze break-down and crack propagation. In commercial ABS, which typically has both large and small rubber particles, both crazing, nucleated by the large particles, and shear deformation, encouraged by the cavitation of small rubber particles, can be expected to make important contributions to the toughness of the polymer.