||The paper presents the result of an investigation into the high student dropout rate particularly during the summer period in the King Fahd University of Petroleum and Minerals Dhahran, Saudi Arabia. The focus of the paper was on the students' perception of the reasons for the high dropout rate. A questionnaire was administered to a random sample of 600 students. The study found the students to be generally motivated and committed to the institution. There was some level of dissatisfaction with facilities. Grade, appeal of courses and instructors were, in general, found to be the major reasons contributing to the decision to persist or to dropout. Some directions for policy action to address the problem by the university were highlighted. .