A new, synthetic procedure is described in which poly(amide-ols) can be formed from diiodoaromatics and bis(o-aminophenols) through a palladium-catalyzed carbonylation and coupling sequence. Optimum conditions found for this procedure were Pd(II) catalyst levels of 0.2-0.02 % and associated phosphine ligands of twice this level, DMAc, NMP, or DMF as the solvent, a reaction temperature of 120 degrees C, 95 psig CO, and the use of DBU as the neutralizing agent. The poly(amide-ols) were characterized by inherent viscosity measurements, absolute molecular weight determinations, FT-LR, neutron activation analysis, and TGA. These intermediates were then subjected to cyclization temperatures of 325 degrees C to effect complete conversion to the desired benzoxazole polymers that were also characterized by TGA and FT-IR.