An entomopathogenic bacterium, Xenorhabdus sp., symbiotic to Steinernema monticolum was investigated in its insecticidal activity. The bacteria induced septicemia of two lepidopteran insects (Plutella xylostella, Spodoptera exigua), a coleopteran insect (Tribolium castaneum), and a hemipteran insect (Riptortus clavatus) when they were injected into hemocoel. The bacterial culture broth contained immunosuppressive factor(s) that inhibited hemocyte nodulation in response to heat-killed bacteria. The immunosuppressive activity appeared to be caused by inhibition of two main immune-associated enzymes, phospholipase A2 (PLA2) and phenoloxidase (PO). HPLC analysis of the bacterial culture broth contained several PLA2 inhibitors. The bacterial culture broth significantly enhanced Bt pathogenicity. There results support a novel insect pest control strategy using eicosanoid-biosynthesis inhibitors.