This study investigated the production of triacylglycerols in cells of the wild type of Escherichia coli and of a strain with a deleted diacylglycerol kinase gene (dgkA). By overexpression of atfA from Acinetobacter baylyi ADP1 and fadD from E. coli in the dgkA deletion mutant, cellular contents of up to 4.9%(w/w) triacylglycerols could be achieved in batch cultivation. Furthermore, heterologous expression of atfA relieves the negative effects of dgkA deletion on growth. Process optimization and fed-batch fermentation resulted in the production of 530 mg l(-1) triacylglycerols and a maximal content of 8.5 % (w/w) triacylglycerols of the cell dry mass. This clearly exceeded all previous results concerning triacylglycerol production in E. coli. Furthermore, the production of extracellular free fatty acids and fatty acid ethyl esters was investigated. Like triacylglycerols, both products are potential biofuels, and we show their continuous production in a repeated batch process, with recovery of the production cells.