Perforating injuries were produced in the posterior segment of rabbit eyes. We studied the inhibitory effect of a slowly water-soluble corticosteroid, dexamethasone alcohol, on fibroblast growth. The treated group received a single intravitreal injection of 1 mg of the corticosteroid. The eyes were observed for four weeks. Transvitreal proliferation was significantly decreased and wound healing was delayed as compared to a control group. Inhibition of intraocular proliferation by high doses of intravitreally injected corticosteroid may be useful in the treatment of eyes with penetrating and perforating injuries.