Palladium-Catalyzed C( sp3)- H Activation: A Facile Method for the Synthesis of 3,4-Dihydroquinolinone Derivatives**

3,4-Dihydroquinolinones were synthesized by the palladium-catalyzed, oxidative-addition-initiated activation and arylation of inert C(sp(3))H bonds. Pd(OAc)(2) and P(o-tol)(3) were used as the catalyst and ligand, respectively, to improve the efficiency of the reaction. A further advantage of this reaction is that it could be performed in air. A relatively rare seven-membered palladacycle was proposed as a key intermediate of the catalytic cycle.