Dissociations between reading and spelling deficits are likely to be associated with distinct deficits in orthographic word processing. To specify differences in automatic visual word recognition, the current ERP-study compared children with isolated reading fluency deficits (iRD), isolated spelling deficits (iSD), and combined reading fluency and spelling deficits (cRSD) as well as typically developing (TD) 10-year-olds while performing a variant of the Reicher-Wheeler paradigm: children had to indicate which of two letters occurred at a given position in a previously presented word, legal pseudoword, illegal pseudoword or nonword. Event-related potentials (N200 and N400) associated with sublexical orthographic and lexical orthographic processing as well as phonological word processing were analyzed. All groups showed a word superiority effect, both on the behavioral and the neurophysiological level. Group differences occurred for phonological word processing. TD and iRD groups showed a higher N400 activation for illegal pseudowords than for nonwords, while the two spelling deficit groups showed no activation differences between these two stimuli conditions. The findings suggest that differences in phonological word processing are associated with spelling problems: children with iSD showed reduced sensitivity for phonological word processing, while these deficits were not evident in children with iRD.