This paper considers a dual-hop amplify-and-forward (AF) relaying system where the relay is equipped with multiple antennas, while the source and the destination are equipped with a single antenna. Assuming that the relay is subjected to co-channel interference (CCI) and additive white Gaussian noise (AWGN) while the destination is corrupted by AWGN only, we propose three heuristic relay precoding schemes to combat the CCI, namely, 1) Maximum ratio combining/maximal ratio transmission (MRC/MRT), 2) Zero-forcing/MRT (ZF/MRT), 3) Minimum mean-square error/MRT (MMSE/MRT). We derive new exact outage expressions as well as simple high signal-to-noise ratio (SNR) outage approximations for all three schemes. Our findings suggest that both the MRC/MRT and the MMSE/MRT schemes achieve a full diversity of N, while the ZF/MRT scheme achieves a diversity order of N-M, where N is the number of relay antennas and M is the number of interferers. In addition, we show that the MMSE/MRT scheme always achieves the best outage performance, and the ZF/MRT scheme outperforms the MRC/MRT scheme in the low SNR regime, while becomes inferior to the MRC/MRT scheme in the high SNR regime. Finally, in the large N regime, we show that both the ZF/MRT and MMSE/MRT schemes are capable of completely eliminating the CCI, while perfect interference cancelation is not possible with the MRC/MRT scheme.