The formation of mature synaptic connections involves the targeted transport and aggregation of synaptic vesicles, the gathering of presynaptic release sites and the clustering of postsynaptic neurotransmitter receptors and ion channels. Positional cues are required to orient the cytoskeleton in the direction of neuronal outgrowth, and also to direct the juxtaposition of synaptic protein complexes at the pre-and postsynaptic membranes. Both anterograde and retrograde factors are thought to contribute positional information during synaptic differentiation, and recent studies in vertebrates and invertebrates have begun to uncover a new role in this process for proteins that are essential for pattern formation in the early embryo.Cells use distinct mechanisms for transmitting information to their neighbours, depending on their tissue type and environment. This intercellular communication is vital during the early stages of development, when nascent cells acquire their identities to organize the body plan, and later as mature cells work together to maintain function and lifestyle. Not surprisingly, disruption of intercellular communication leads to various diseases, ranging from cancer to mental retardation, so understanding the fundamental nature of cell-talk remains one of the most important areas of biology.In the nervous system, the elemental means of communication between cells is synaptic transmission. Chemical synapses are asymmetrical cellular junctions that are involved in the directional transmission of electrical signals. Essential to the high speed and efficiency at which neurons communicate is the exquisite molecular organization of the pre-and postsynaptic apparatus. In the presynaptic compartment, neurotransmitter-laden vesicles are poised at ACTIVE ZONES, ready for immediate release, and the calcium channels that are required to trigger exocytosis are spatially linked to the secretory machinery. At the postsynaptic membrane, neurotransmitter receptors form high-density clusters that are directly apposed to the active zones. The proper development and functioning of synaptic Correspondence to V.B. vbudnik@ bio.umass.edu. DATABASES The following terms in this article are linked online to: Entrez: http://www.ncbi.nlm.nih.gov/Entrez/Tbl1 FlyBase: http://flybase.bio.indiana.edu/ Arm | Arr Once synapses are formed, the strengthening and weakening of synaptic connections is believed to be central to the processes of learning and memory, and also to the regeneration of synaptic connectivity after a traumatic injury. This synaptic plasticity also depends on communication between pre-and postsynaptic compartments 1 , and it includes both anterograde and retrograde signals. The existence of a retrograde signal has been postulated to account for the adjustment of presynaptic outputs that result from changes in postsynaptic responses. For example, at the fly neuromuscular junction (NMJ), decreased muscle responses to neuronal stimuli can be brought about by manipulation of glutamate receptor (GluR) levels...