Although many of the aspects of the CCM2 simulation represent improvements, a number of important systematic deficiencies remain, particularly in the context of coupling the CCM2 to land and ocean component models. These include a large warm bias in simulated July surface temperature over the Northern Hemisphere, a systematic overprediction of precipitation maxima, primarily over warm land areas, excessive ridging over the North Pacific and an anomalous reduction in the height field over Western North America in January, and cold polar tropopause temperatures. Our current understanding of the sources of these simulation deficiencies are in various stages of development, as are the associated solution strategies. We will report on the reduction of many of these systematic errors in the latest version of the NCAR CCM which has been developed as the atmospheric component for the NCAR Climate Systems Modelling initiative. We will illustrate the improvements in the simulation, both regionally and globally, and discuss the physical reasons for the response. We will also describe ongoing activities aimed at further improving the suitability of the CCM as an atmospheric component in future community coupled modeling initiatives.