A matrix continued fraction is defined and used for the approximation of a
function F known as a power series in 1/z with matrix coefficients p x q, o
r equivalently by a matrix of functions holomorphic at infinity. Ht is a ge
neralization of P-fractions, and the sequence of convergents converges to t
he given function. These convergents have as denominators a matrix, the col
umns of which are orthogonal with respect to the linear matrix functional a
ssociated to F. The case where the algorithm breaks off is characterized in
terms of F. (C) 1999 Academic Press.