Rho GTPases cycle between inactive and active states based upon conformational alterations imposed by the state of bound guanine nucleotide. Rho GTPases bound to GDP are inactive in downstream signaling, while GTP-bound versions modulate a plethora of downstream effectors typically associated with morphological alterations of the cytoskeleton and activation of stress response genes (1-5). Consistent with their central role in regulating cellular differentiation and proliferation, constitutively active Rho GTPases are sufficient to promote cellular transformation. Similarly, Ras-induced transformation is dependent on Rac1, a Rho GTPase (6 -9). Since the proper control of a multitude of signaling cascades by G proteins depends critically upon the state of bound nucleotide, G proteins have evolved several, tightly controlled processes for regulating the binding and hydrolysis of guanine nucleotides. For Rho GTPases, the exchange of bound GDP for GTP is catalyzed by a large class of guanine nucleotide exchange factors (GEFs) 1 related to the gene product for Dbl (diffuse B-cell lymphoma) (10). Similarly to constitutively active forms of Rho GTPases, the unregulated activation of Dbl family members is generally associated with cellular transformation, and many Dbl family members are proto-oncogenic (7, 11).Dbl family proteins invariantly contain an ϳ300-amino acid span composed of a Dbl homology (DH) domain in tandem with a pleckstrin homology (PH) domain (12, 13). DH domains are sufficient to catalyze nucleotide exchange; however, exchange activity is often enhanced by inclusion of the adjacent PH domain (14). While DH domains serve as the major docking site for Rho GTPases, roles for the adjacent, conserved PH domains remain unclear. The invariant DH/PH domain architecture in all Dbl family members strongly suggests that associated PH domains have a unique and highly conserved role in regulating nucleotide exchange. Simple structural stabilization of the DH domain by the adjacent PH domain as suggested by the Tiam1-DH/PH⅐Rac1 crystal structure (15) is an unsatisfactory explanation for the universal pairing of DH and PH domains. A multitude of other domains could easily be imagined to serve this purpose.In many other proteins, PH domains bind phosphoinositides to function as regulated tethers to cellular membranes (16 -20). Although PH domains typically share very low sequence identity, all possess a common -sandwich fold capped at one end with a C-terminal helix. Numerous studies indicate that PH domains generally bind phosphoinositides with a wide degree of affinity and specificity via clusters of basic residues located within the highly variable loops between strands  1 / 2 and  3 / 4 (21-23). Several reports present conflicting data describ-* The costs of publication of this article were defrayed in part by the payment of page charges. This article must therefore be hereby marked "advertisement" in accordance with 18 U.S.C. Section 1734 solely to indicate this fact.¶ Supported by an NIH Molecular and Cellul...