A new capability for solving postbuckling problems in shell structures is described. The matrix theory to adapt Newton's method to nonlinear finite element shell analysis is outlined first. The matrix theory is directed at writing consistent linear algebratic equations for problems where the tangent stiffness matrix is singular or nearly singular. The matrix theory suggests a change of variables as part of the usual iterative procedure in Newton's method. The change of variables is shown to be feasible for introduction into the algorithm programmed in general purpose codes for finite element analysis of structures. Numerical results from a new option that has been programmed in an existing general purpose code are presented. The analysis of shell structures for collapse and for branching at bifurcation loads is illustrated by the numerical examples.