A form of bacterial wood degradation is described. The term "cavitation bacteria" has been coined in order to describe the discrete cavities that are formed within the wood cell walls. The bacteria observed within the cavities appeared to be polymorphic with rounded as well as filamentous forms recognised. TEM studies suggest that the bacteria produce diffusable wood-degrading enzymes. Cavitation bacteria have been found to be widespread in CCA-treated pine posts in horticultural soils in New Zealand. Significant decay due to cavitation bacteria was observed in a large number of the posts.