------------------------<snip>-------------------

Well, just for the sport of it, I think this requires even less
(not tested):

        LHI   R1,8
        IC    R2,BYTE
STC      STC   R2,RESULT-1(R1)
        SRL   R2,1
        BCT   R1,STC
        NC    RESULT,=8X'01'
        OC    RESULT,=8X'F0'
*
BYTE     DC    B'01110101'        Sample input
RESULT   DS    CL8                Output

  32  Instructions
  16  Literals
   1  Input Area
   8  Output Area

  57  Total Bytes
   7  Total Instructions

BTW, John, your second instruction below refers to WORK8, which
doesn't seem to be defined.
-------------------------<snip>---------------------------
Why not:

               LA   R1,8
instead of
               LHI  R1,8

Inquiring minds want to know....... <G>

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