We consider one single copy of a mixed state of two qubits and investigate
how its entanglement changes under local quantum operations and classical c
ommunications (LQCC) of the type rho'similar to (A x B)rho (A x B)(dagger).
We consider a real matrix parametrization of the set of density matrices a
nd show that these LQCC operations correspond to left and right multiplicat
ion by a Lorentz matrix, followed by normalization. A constructive way of b
ringing this matrix into a normal form is derived. This allows us to calcul
ate explicitly the optimal local filtering operations for concentrating ent
anglement. Furthermore, we give a complete characterization of the mixed st
ates that can be purified arbitrarily close to a Bell state. Finally, we ob
tain a new way of calculating the entanglement of formation.