Endotoxin [lipopolysaccharide (LPS)] is a cell wall polymer derived from Gram-negative bacteria that stimulates macrophages to produce a variety of inflammatory mediators. In these studies, we examined LPS-stimulated formation of tumor necrosis factor-alpha (TNF-alpha) by cultured rat Kupffer cells. Cytochalasin B and methylpalmitate, blockers of endocytosis, decreased LPS-stimulated TNF-alpha release by > 92%. Bafilomycin A, monensin, and chloroquine, which prevent endosomal acidification, also blocked LPS-stimulated release of TNF-alpha by > 90%. Cytochalasin B and bafilomycin A decreased TNF-alpha mRNA levels by > 90% after LPS stimulation. Consistent with the requirement for LPS uptake and processing was the observation that Kupffer cells required 30 min of contact with LPS for maximal TNF-alpha release. LPS-stimulated TNF-alpha release was unaltered by incubation in Ca(2+)-free ethylene glycol-bis(beta-aminoethyl ether)-N,N,N',N'-tetraacetic acid medium, and A-23187, a Ca2+ ionophore, failed to stimulate TNF-alpha release in the absence of LPS. However, nisoldipine, a Ca2+ channel blocker, suppressed LPS-stimulated TNF-alpha release in cells cultured both in Ca(2+)-containing and Ca(2+)-free media. Although thapsigargin did not block TNF-alpha release, this depleter of intracellular Ca2+ stores blocked LPS-stimulated TNF-alpha synthesis in Ca(2+)-free medium and decreased TNF-alpha mRNA levels by 80%. Furthermore, LPS induced a late rise in intracellular free Ca2+ demonstrated by video microscopy of fura 2-loaded Kupffer cells. De novo protein and RNA synthesis were required, since cycloheximide and actinomycin D also inhibited LPS-stimulated TNF-alpha release. We compared free TNF-alpha secreted into culture supernatants with cell-associated TNF-alpha and found that cytochalasin B, bafilomycin A, chloroquine, monensin, and nisoldipine did not increase bound, cell-associated TNF-alpha. We conclude that endocytosis and endocytic processing may be necessary for LPS-stimulated TNF-alpha release from Kupffer cells. Ca2+ release, regulated by dihydropyridine-sensitive Ca2+ channels, also appears to be necessary for LPS-induced signaling and may arise from intracellular stores associated with the endosome/lysosome compartment.