In vivo effects of milrinone, a selective phosphodiesterase 3 (PDE-3) inhibitor, on plasma free fatty acids (FFA), glucose, and insulin levels were examined in alert rats. In dose response studies, intravenous injection of 1, 5 or 25 μmol/kg of milrinone provoked an immediate increase in plasma concentrations of FFA and insulin, while glucose levels rose only in response to the 5- and 25-μmol/kg doses. During euglycemic-hyperinsulinemic (∼450 pmol/L) clamps, intravenous injection of milrinone (25 μmol/kg) completely inhibited insulin suppression of lipolysis and of endogenous glucose production, while having no effect on insulin-stimulated glucose uptake (ISGU). To explore the reason why ISGU was not affected, we performed reverse-transcriptase polymerase chain reaction (RT-PCR) with RNA from skeletal muscle, fat, and liver. The results showed that PDE-3B mRNA was expressed in adipose tissue and liver, but it was not detected in skeletal muscle. We conclude that PDE-3 plays a major role in the inhibitory action of insulin on lipolysis in fat and on glucose production in liver and, in addition, seems to be involved in insulin secretion in pancreatic β cells.