The barium releases in the magnetotail during the Active Magnetospheric Particle Tracer Explorers (AMPTE) operation were monitored by ground-based imagers and by instruments on the Ion Release Module. After each release, the data show the formation of a structured diamagnetic cavity. The cavity grows until the dynamic pressure of the expanding ions balances the magnetic pressure on its surface. The magnetic field inside the cavity is zero. The barium ions collect on the surface of the cavity, producing a shell. Plasma irregularities form along magnetic field lines draped over the surface of the cavity. The scale size of the irregularities is nearly equal to the thickness of the shell. The evolution and structuring of the diamagnetic cavity are modeled using magnetohydrodynamics theory. ¿American Geophysical Union 1987