Ultrafiltration was used to produce a high quality, lowfat Cheddar cheese. Acidification and diafiltration were performed during UF to optimize manufacturing conditions. Treatments consisted of concentration by UF with and without acidification and diafiltration steps. Samples of concentrate and permeate were taken in Whirl Pak bags at 20-min intervals during UF. These samples were immediately refrigerated and analyzed the following day for fat, protein, moisture, pH, and curd strength. Sensory evaluation of the lowfat cheese for flavor and body and texture was performed on 0 d and after 1, 2, 3, 4, 6, and 12 mo of storage at 8°C. Analyses showed significant reductions in lactose and calcium content of the retentate. Sensory evaluation of the lowfat Cheddar cheese manufactured from acidified and diafiltered UF lowfat milk revealed a significant improvement in the flavor and body and texture of the cheese upon extended storage (12 mo) at 8°C when compared with that of UF low-fat Cheddar cheese made without these two steps. © 1990, American Dairy Science Association. All rights reserved.