We present measurements, in good agreement with theory, of the noise p
ower spectral density at the outputs of a coherence-multiplexed system
employing a low-coherence source. We investigate correlations in the
noise between outputs and confirm that differential detection can be u
sed to improve the signal-to-noise ratio of sensor and communication s
ystems based on coherence multiplexing. (C) 1997 Optical Society of Am
erica.