Pepperlandgirl,
I just went over that rejection letter again and again. There's not a whole lot there to draw a lot of clues from, but I do know how editors think sometimes, since I've received over 300 rejections in 15 years.
The key words for rejection here were "premise" and "Characters." Now, premise by itself could mean plot, but I doubt it in this context. But when premise is coupled with Characters (Not characterization, mind you), I have the distinct feeling that there is something askew with the MOTIVATION. Of course, if the plot is weak, your characters are weak in providing solutions. Ask yourself what is the major obstacle or dialema in the story, and how badly the characters want to resolve the problem. Also, what clever devices can your characters use to solve this problem sans cliche' solutions.
Present a major crisis or hurdle
Install interesting characters who have the ability and desire to solve the crisis.
Make the characters suffer while trying to solve the crisis
Resolve the crisis by intelligent or believable means via the characters who've suffered so terribly trying to solve the problem.
Dang it! We should have a thread or workshop that interprets rejection slips.
Hope it helps a little
Triceratops
However, if you mean hope in general terms, of course there is. Even if not for this book, it seems they took the time to give you at least some info that might be helpful when re-examining your writing. Accessible plot and well-paced narrative are nothing to sneer at. And now you know that your premise and characters might have been a bit lackluster. So, while you continue to shop this one (because of course you won't trunk a piece after only one rejection!), you have a workable goal for your next ms. And best of luck to you on both.
