The transcription of Ul RNA genes was studied in isolated nuclei from mouse myeloma cells. Using a cloned Ulb gene as a probe, we showed that isolated nuclei synthesize both Ulb and Ula RNA. The Ul RNAs were initiated in vitro, as measured by incorporation of adenosine 5'-O-(2-thiotriphosphate) into Ul RNA. There was transcription of the 3'-flanking region but no transcription of regions directly 5' to the Ul genes. In addition to Ul RNAs of the correct length which were released from the nuclei, there were larger RNAs, presumably resulting from transcription into the 3'-flanking region, which were retained in the nuclei. Chase experiments showed that these longer transcripts were not precursors to mature Ul RNA, a finding consistent with the idea that 3'-end formation is coincident with transcription. During the chase, there was maturation of the 3' ends of Ula and Ulb RNAs from slightly longer precursors. In addition to accurate transcription of Ul RNA, there was also synthesis of U2 and U3 RNA. All three of these RNAs were transcribed by RNA polymerase II, as measured by their sensitivity to a-amanitin.The U series of small nuclear RNAs (snRNAs) is one of the most abundant transcripts in mammalian cells. These RNAs are encoded by multiple genes and contain an unusual 5' cap structure, 2,2,7 trimethyl guanosine (3). These RNAs are synthesized by RNA polymerase II, as measured by the sensitivity of their synthesis to low concentrations of aamanitin (8,25,33). An exception is U6 RNA, which lacks the cap structure found at the 5' ends of other U RNAs and is believed to be transcribed by RNA polymerase III (13,32). Some aspects of the synthesis of Ul, U2, and U3 RNAs differ from those of other RNAs synthesized by RNA polymerase II. While cell-free systems have been described which transcribe most other genes accurately, the cell-free systems currently available from mammalian cells do not accurately transcribe the Ul or U2 genes (28, 39). We have previously described the development of both nuclear (25) and DNA-dependent (26) systems from sea urchin embryos which transcribe the sea urchin Ul RNA gene accurately.The promoters of the vertebrate U snRNAs differ from those of other genes transcribed by polymerase II. There is a sequence about 200 nucleotides 5' to the gene which is essential for transcription in vivo (19) and on injection of the genes into Xenopus oocytes (29,33,39). When the genes are used as a template in a DNA-dependent system, there is transcription which initiates about 25 bases downstream from this upstream promoter element (as if it were functioning like a TATAA box in this system) but no transcription which initiates at the proper start site (28). The promoters of the sea urchin U RNA genes are not utilized in Xenopus oocytes (37), unlike the promoters of other sea urchin genes transcribed by RNA polymerase II.The formation of the 3' end of the U snRNAs is unusual in two respects. There is initial formation of a transcript a few nucleotides longer than the mature RNA (6,18,41 (18).Dissecting...