This book constitutes the refereed proceedings of the IFIP WG10.5 Advanced Research Working Conference on Correct Hardware Design Methodologies, CHARME '95, held in Frankfurt, Germany, in October 1995. The 20 revised full papers presented were carefully selected by the program committee and address all current aspects of research and advanced applications in the field of formal verification of hardware. Among the topics covered are model checking, theorem proving, formally verified synthesis, process algebras, finite state systems, verification environments, language containment, and VHDL.