The nitration of a model 2-aminophenoxaz-3-one 2 and the bromination of a derived 2-(N, N- diacetyl) amino-3-hydroxyphenoxazine 16 are described as is a method for oxidizing the phenoxazine system back to the phenoxaz-3-one system. A novel reductive reaction of the N, N-diacetyl derivative 11 of 2 that leads to phenoxazines substituted at C-7 was observed.