Abstract: A multilayered, breathable, waterproof fabric and a process for manufacturing this fabric have been disclosed. The invention consists of a fabric substrate first coated with an adhesive foam formed from a fully reacted polymer such as polyvinyl chloride, polyurethane, acrylic, polystyrene or mixtures thereof. A microporous membrane structure is formed upon the adhesive foam from thermoplastic polymers. The microporous membrane provides the coated fabric with the properties of waterproofness and breathability. A continuous film formed from acrylic, polyvinyl chloride or polyurethane latexes, is coated on the surface of the microporous layer. The function of this continuous film is to protect the delicate microporous membrane. The process of manufacturing the waterproof and breathable fabric utilizes economical coating technology rather than costly laminating techniques used in the prior art of manufacture of breathable fabrics.