Reactive processing of binary blends of poly (ethylene-co-acrylic acid) (PEA) and epoxidized natural rubber (ENR) in a Brabender Plasticorder at an elevated temperature led to miscibility beyond 50 wt% of PEA forming PEA-g-ENR. The blends were then neutralized with zinc oxide to form zinc ionomers which have been analysed by i.r. spectroscopy. The effect of zinc stearate on the ionomers has also been investigated.