Domain Decomposition with Subdomain CCG for Material Jump Elliptic Problems Konstantin Lipnikov Institute of Numerical Mathematics Russian Academy of Sciences Gubkina st, 8 Moscow 117333 Russia Peter Deuflhard Konrad-Zuse-Zentrum für Imformationstechnic Berlin Takstrasse 7 D-14195 Berlin-Dahlem Germany Abstract A combination of the cascadic conjugate gradient (CCG) method for homogeneous problems wih non-overlapping domain decomposition (DD) method is studied. Mortar finite elementson interfaces are applied to permit non-matching grids in neighboring subdomains. For material jump problems, the method is designed as an alternative to the cascadic methods.