Loteprednol is thought to act by the induction of phospholipase A2 inhibitory proteins, collectively called lipocortins. It is postulated that these proteins control the biosynthesis of potent mediators of inflammation such as prostaglandins and leukotrienes by inhibiting release of their common precursor arachidonic acid. Arachidonic acid is released from membrane phospholipids by phospholipase A2. Loteprednol is structurally similar to other corticosteroids. However, the 20 position ketone group is absent. It is highly lipid soluble which enhances its penetration into cells. Loteprednol is synthesized through structural modifications of prednisolone-related compounds. Benzalkonium Chloride 0.01% is used as preservative. Povidone 2% is used as vehicle.