The study of a number of parameters of placental function indicated that the perfused human placental lobe maintained its structural and functional integrity when PO2 levels in buffer perfusate were near physiological values, despite low O2 consumption. High O2 content in the perfusate may reduce placental transfer either through a direct vasoconstrictor effect or in combination with the destruction of vascular cyclo-oxygenase, resulting in the reduced synthesis of the vasodilator prostacyclin. A similar mechanism may be involved in the reduction of placental transfer observed in the presence of phenol red. These studies suggest that aspects of in vitro methodologies which may relate to prostaglandin production deserve careful consideration and further study.