This study aimed at investigating the implementations and challenges in using literary texts in English textbook with reference to grade 10 Woldia General Secondary School and Woldia Millennium General Secondary School students. To achieve this objective, descriptive survey research design with mixed (qualitative and quantitative) methods was employed. Textbook analysis, classroom observation, interview and questionnaire were employed to scrutinize various themes of the study. The data were collected and analyzed to find out implementations and challenges in using literary text in English textbook. Participants were five teachers for classroom observation and interview, twelve students for interview, and 302 students were selected for questionnaire using simple random sampling technique through lottery system. Literary texts analysis showed that texts lack activities to equip students‟ language awareness. Classroom observation revealed that teachers teach vocabulary before or after reading texts. They read texts in various voices and ask students to read loudly. Then they do comprehension exercises. As a result of interview a number new words, poetic structures, socio cultural unfamiliarity and lack of horizontal relation affect learners and teachers. Based on the findings, recommendation was given as stakeholders should take challenges in to consideration and add more explanations on teachers‟ guide. Teaching - learning resources including audio-video should be in school library.