The AIB1 (amplified in breast cancer 1) protein is a coactivator that potentiates the transcriptional activity of nuclear hormone receptors, and its gene is amplified in a subset of human breast cancers. Here we report a splice variant of AIB1 mRNA that lacks the exon 3 sequence. We determined that the AIB-⌬3 mRNA encoded a 130-kDa protein that lacks the NH 2 -terminal basic helix-loop-helix and a portion of the PAS (Per-Arnt-Sim homology) dimerization domain. The 130-kDa protein was detected in MCF-7 breast cancer cells at levels that were 5-10% of the full-length protein, whereas in nontransformed mammary epithelium lines, the AIB-⌬3 protein was present at significantly lower levels compared with the full-length AIB1. Consistent with this finding, the abundance of AIB1-⌬3 mRNA was increased in human breast cancer specimens relative to that in normal breast tissue. To determine whether there were phenotypic changes associated with the overexpression of the AIB-⌬3 isoform, we performed functional reporter gene assays. These revealed that the ability of AIB1-⌬3 to promote transcription mediated by the estrogen or progesterone receptors was significantly greater than that of the full-length protein. Surprisingly, the AIB1-⌬3 isoform was also more effective than AIB1 in promoting transcription induced by epidermal growth factor. Overexpression of AIB1-⌬3 may thus play an important role in sensitizing breast tumor cells to hormone or growth factor stimulation.Ligands such as estrogen and progesterone that interact with nuclear receptors regulate gene expression predominantly at the transcriptional level. The ligand-bound receptors interact specifically with DNA and activate transcription by recruiting a preinitiation complex. Although such gene activation was originally thought to be mediated by interaction of the receptors with components of the basal transcriptional machinery (1-6), a variety of screening techniques has identified a family of receptor-interacting proteins known as nuclear receptor coactivators (7-11). A common characteristic of this superfamily of proteins is that, when overexpressed in the presence of nuclear receptors, they potentiate ligand induction of transcription (12, 13). Members of the related p160 group of coactivators, which include steroid receptor coactivator 1 (SRC-1), 1 SRC-2, and SRC-3 (also known as AIB1, ACTR, RAC3, TRAM-1, and p/CIP) (14 -20), possess several similar structural features including a receptor interaction domain, a bHLH (basic helix-loop-helix)-PAS (Per-Arnt-Sim homology) dimerization domain, and a CBP interaction domain (13). Coactivators are thought to function as bridges between nuclear receptors and either other coactivators or the basal transcriptional machinery (13). However, the discovery that coactivators possess a histone acetylase domain (15,(21)(22)(23)(24) suggests that these proteins also might serve to regulate chromatin structure.A portion of human chromosome 20q that is frequently amplified in breast cancer contains the gene for the nuclear coactiva...