The interaction of various lipopolysaccharides (LPS) with sheep erythrocytes was studied. When subjected to mild alkaline hydrolysis, the affinity of LPS for the red cell surface was greatly increased, as others have reported. In addition, excessive quantities of alkali-treated LPS (but not parent or heated products) were found to cause hemolysis of red cells. Experiments indicated that the hemolysis was caused by the LPS particles themselves and not by liberated free fatty acids.