Neurochem. 69, 631 -638 (1997).N-Arachidonoylethanolamine (AEA; also called anandamide) has been isolated from brain and shown to bind and activate the brain cannabinoid receptor (Devane et al., 1992). Exogenously administered AEA mimics many of the effects of z9-tetrahydrocannabinol (z9-THC), including the production of hypothermia, decreased spontaneous activity and analgesia in rodents (Fride and Mechoulam, 1993), inhibition of adenylyl cyclase (Vogel et al., 1993), and decreased opening of voltage-operated calcium channels (Mache et al., 1993). Recent studies have demonstrated that AEA is released from neurons in primary culture in response to increased intracellular calcium (DiMarzo et al., 1994), which supports the hypothesis that AEA functions in the brain as a signaling molecule.AEA is rapidly catabolized by brain membranes to arachidonic acid and ethanolamine through the action of an amidohydrolase that is selective for fatty acyl amides (Deutsch and Chin, 1993;Desarnaud et al., 1995;Hillard et al., 1995a;Cravatt et al., 1996). Although AEA amidohydrolase activity is high in crude membrane preparations from brain, it is quite low in tissue preparations that are enriched in plasma membranes (Hillard et al., 1995a). These results suggest that AEA released into the extracellular space is not inactivated by hydrolysis to arachidonic acid. The present experiments explore an alternative mechanism for AEA inactivation, specifically, cellular reuptake of AEA. DiMarzo and coworkers (1994) have reported that cortical neurons in primary culture accumulate AEA in a saturable manner. These investigators further reported that AEA accumulationwas rapid, was temperature sensitive, and was not inhibited by either arachidonic acid or N-palmitoylethanolamine. With the studies reported here, we describe and characterize a similar transport process for AEA in cerebellar granule cells. AEA transport is saturable, temperature dependent, specific, and inhibited by phloretin. The uptake process has the characteristics of facilitated diffusion, that is, it is reversible and not dependent on cellular ATP. These results suggest, first, that AEA distribution between intracellular and extracellular compartments in cerebellar granule cells is dependent on facilitated diffusion and, second, that AEA permeability across