Until recently, the benzodiazepines were believed to be ineffective in the treatment of panic disorder, with and without agoraphobic avoidance. Recent trials have shown, however, that panic disorder patients respond to benzodiazepines as well as to tricyclic antidepressants and monoamine oxidase (MAO) inhibitor antidepressants. Most of the controlled-trial investigations of benzodiazepines in panic disorder patients have evaluated the effects of alprazolam. However, early uncontrolled trials using other benzodiazepines have documented their effectiveness in panic disorder as well. This article reviews the evidence of the efficacy of alprazolam and other benzodiazepines in the treatment of panic disorder and their clinical use.