The paper presents an analytical solution capable of predicting the effect of matrix cracking in ceramic matrix composites (CMC) on damping. The cracking scenarios considered in the paper include through-the-thickness cracks and cracks terminating at the layer interfaces. The increase in damping associated with matrix cracking is mostly due to the frictional energy dissipation along the damaged fiber-matrix interfaces adjacent to the bridging cracks whose plane of propagation intersects the fiber axis. Damping increases with a higher density of matrix cracks. The loss factor is affected by the angle of the lamina relative to the direction of the applied load. The loss factor is also influenced by the frequency and magnitude of local dynamic stresses. Examples of distributions of the local loss factor along the axis of a CMC beam subject to pulsating loads of various frequencies are shown in the paper. © 2003 Elsevier Science Ltd. All rights reserved.