The strengths and fracture toughness values were measured for alumina powder compacts containing two different binder systems. Diametral compression was used to measure both the tensile strength and the fracture toughness (through-thickness notch). This methodology was very useful in linking processing parameters, such as binder choice and compaction stress, to the quality of the green bodies. Observations of the compact structure before and after fracture showed that the binders segregated to the region between the spray-dried granules. The presence of the excess binder in this region was linked to both the failure mode and the creation of secondary cracks.