Pseudomonas aeruginosa strain K03 and a mixed aerobic enrichment culture, isolated from sewage sludge lagoon water, were found to aerobically transform the chlorinated insecticide Kepone, yielding monohydro-Kepone. Identification of the product was confirmed by gas chromatography and electron impact mass spectrometry. The mixed culture and P. aeruginosa strain K03 produced about 4 and 16%, respectively, dihydro-Kepone, determined by cochromatography using authentic standards. Reduced amounts of monohydro-Kepone, compared with the mixed and pure cultures, were produced by James River sediment microorganisms. Kepone was not utilized as a sole carbon or energy source by any of the bacteria or mixed cultures examined in this study. Wastewater discharges resulting from the production of Kepone have contaminated the James River from Hopewell, Va., the primary impact site, to the mouth of the Chesapeake Bay, and Kepone has been detected in the food chain of this area (3, 5, 9, 14). The recalcitrant nature of Kepone has led to many severe environmental problems. Thus, Kepone degradation in the aquatic environment assumes unusual significance. Borsetti and Roach (7) and Harless et al. (14) reported the identification of monohydro-Kepone and dihydro-Kepone extracted from soil samples collected in the vicinity of the Kepone production plant. In addition, they detected monohydro-Kepone in mullet caught in the James River. Carver et al. (9), using gasliquid chromatography (GLC) detected monohydro-Kepone in finfish, shellfish, and crustaceans. Blanke et al. (6) and Harless et al. (14) reported an alcohol derivative of Kepone, tentatively named "chlordecol" or "kepol," detected in stool samples of chemical workers exposed to high concentrations of Kepone during plant operation. These reports suggest a potential pathway(s) for environmental transformation of Kepone, but do not identify the agent(s) responsible for the generation of the transformation products. The study reported here provides results showing alteration of Kepone by mixed microbial cultures and also by a pure culture of Pseudomonas aeruginosa. Transformation of Kepone by James River sediment bacteria was observed, and results are reported.