A B737-200 FLC FAILS TO FOLLOW THE PROCS FOR A COUPLED CAT 2 APCH PROC AND EXPERIENCES AN ALT HDG DEV 3 MI W OF ANC; AK.

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THIS WAS MY FIST FLT AFTER IOE SIGN OFF. I WAS PAIRED WITH A NEW FO. HE HAS BEEN ON-LINE FOR 8 MONTHS AND ON RESERVE (BUT HAD ABOVE 75 HRS). HE ONLY FLIES ABOUT 2-5 LEGS A MONTH. WE FLEW THE FIRST LEG TO SNU AND THEN RETURNED TO ANC. THE FIRST LEG WAS GOOD AND WENT SMOOTHLY. ON THE RETURN FLT IT WAS MY LEG. APCHING ANC THE WX WAS 300 FT OVCST AND 1 MI AND SLOWLY DECLINING. I BRIEFED A CAT 2 PROC TO TAKE ADVANTAGE OF THE OP SPEC EXEMPTION OF ALLOWING A HIGH MINIMUMS CAPT TO FLY TO CAT 1 MINIMUMS USING CAT 2 PROCS. I XFERRED CTLS OF FLYING AT 10000 FT. WE WERE VECTORED TO FINAL APCH. DURING BASE LEG I WAS ON THE RADIO WITH A QUICK XMISSION TO DISPATCH TO ADVISE OF WX AND TO CHK AN ALTERNATE CLOSER THAN OUR DISPATCHED ALTERNATE. THEIR RADIO CALL CAME BACK DURING BASE AND I DID NOT HAVE MY NAV RADIO TUNED TO THE ILS. I HAD IT TUNED FOR THE VOR WHICH IS ALMOST IN LINE WITH THE APCH COURSE. HE; FO; COUPLED THE AUTOPLT TO THE VOR/LOC AND IT CAPTURED THE VOR COURSE WHICH CAUSED AN EARLY TURN. HE HAD THE ILS ON HIS SIDE (HSI) WITH HIS FLT DIRECTOR ARMED FOR THE ILS. IN HIS CONFUSION OF THE AUTOPLT TURNING; NOT AGREEING WITH HIS HSI AND FLT DIRECTOR DISPLAY HE DSNDED A FEW HUNDRED FT (300 FT); BELOW GS INTERCEPT ALT. I WAS RETURNING MY NAV WHEN THIS HAPPENED AND THEN CALLED OUT THE ALTDEV AND CORRECTED TO ASSIGNED ALT. APCH CTL ALSO CALLED OUT THE DEV AND REVECTORED US OVER TO THE LOC CORRIDOR. AT THAT POINT I TOOK CTL BACK AND FLEW THE APCH AS A CAT 1 TO MY HIGH MINIMUMS SINCE THE WX WAS STILL ABOVE THESE MINIMUMS. THE ACFT MADE A LNDG WITHOUT FURTHER INCIDENT. THE FACTORS AND SCENARIO WAS DEBRIEFED BTWN US AND SAFETY WAS NOT COMPROMISED BUT A LESSON WELL LEARNED FOR BOTH OF US. WE WERE VMC (THE WX OBSCURATION WAS AT THE APCH END AND ONLY 150 FT THICK) WHEN THE ALTDEV OCCURRED AND OBSTACLES WERE IN SIGHT. BACK TO THE BASICS -- PROPER RADIO TUNING AND IDENT; AND ONLY THE ABSOLUTE; NECESSARY RADIO COM BELOW 10000 FT.