The white-rot basidiomycetes, Peniophora cinerea and Trametes suaveolens, can produce ethanol from hexoses. Although T. suaveolens produced negligible amounts of ethanol under aerobic conditions, P. cinerea produced ethanol under both aerobic and semi-aerobic conditions and assimilated glucose, mannose, fructose, galactose, sucrose, maltose and cellobiose with yields of ethanol of 0.41, 0.45, 0.44, 0.19, 0.41, 0.44 and 0.45 g per g hexose, respectively. The corresponding results for T. suaveolens were 0.39, 0.3, 0.13, 0.2, 0.37, 0.35 and 0.31 g ethanol/g hexose. Furthermore, P. cinerea exhibited simultaneous saccharification and fermentation of amorphous cellulose.