This dissertation is a study of error in long haul optical fiber systems and how to coupe with them. First we characterize error events occurring during transmission, then we determine lower bounds on information capacity (achievable information rates) and at the end we propose coding schemes for these systems.Existing approaches for obtaining probability density functions (PDFs) for pulse energy in long-haul optical fiber transmission systems rely on numerical simulations or analytical approximations. Numerical simulations make far tails of the PDFs difficult to obtain, while existing analytic approximations are often inaccurate, as they neglect nonlinear interaction between pulses and noise.Our approach combines the instanton method from statistical mechanics to model far tails of the PDFs, with numerical simulations to refine the middle part of the PDFs. We combine the two methods by using an orthogonal polynomial expansion constructed specifically for this problem. We demonstrate the approach on an example of a specific submarine transmission system.Once the channel is characterized estimating achievable information rates is done by a modification of a method originally proposed by Arnold and Pfitser. We give numerical results for the same optical transmission system (submarine system at transmission rate 40Gb/s).The achievable information rate varies with noise and length of the bit patterns considered (among other parameters). We report achievable numerical rates for systems with different noise levels, propagation distances and length of the bit patterns considered.We also propose two iterative decoding schemes suitable for high-speed long-haul optical transmission. One scheme is a modification of a method, originally proposed in the context of magnetic media, which incorporates the BCJR algorithm (to overcomeintersymbol interference) and Low-Density Parity-Check (LDPC) codes for additional error resilience. This is a ``soft decision scheme" -meaning that the decoding algorithm operates with probabilities(instead of binary values). The second scheme is ``hard decision" -it operates with binary values. This scheme is based on the maximum likelihood sequence detection-Viterbi algorithm and a hard decision"Gallager B" decoding algorithm for LDPC codes.