An unextendible product basis (UPB) for a multipartite quantum system is an
incomplete orthogonal product basis whose complementary subspace contains
no product state. We give examples of UPBs, and show that the uniform mixed
state over the subspace complementary to any UPB is a bound entangled stat
e. We exhibit a tripartite 2 x 2 x 2 UPB whose complementary mixed state ha
s tripartite entanglement but no bipartite entanglement, i.e., all three co
rresponding 2 x 4 bipartite mixed states are unentangled. We show that memb
ers of a UPB are not perfectly distinguishable by local positive operator v
alued measurements and classical communication.