The CCAAT-binding factor (CBF) is an evolutionarily conserved multimeric transcriptional activator in eukaryotes. In Saccharomyces cerevisiae, the CCAAT-binding factor is composed of four subunits, termed Hap2p, Hap3p, Hap4p, and Hap5p. The Hap2p/Hap3p/Hap5p heterotrimer is the DNA-binding component of the complex that binds to the consensus 5-CCAAT-3 sequence in the promoter of target genes. The Hap4p subunit contains the transcriptional activation domain necessary for stimulating transcription after interacting with Hap2p/Hap3p/Hap5p. In this report, we demonstrate that Hap2p, Hap3p, and Hap5p assemble via a one-step pathway requiring all three subunits simultaneously, as opposed to the mammalian CCAAT-binding factor which has been shown to assemble via a two-step pathway with CBF-A (Hap3p homolog) and CBF-C (Hap5p homolog) forming a stable dimer before CBF-B (Hap2p homolog) can interact. We have also found that the interaction of Hap4p with Hap2p/Hap3p/Hap5p requires DNA binding as a prerequisite. To further understand the protein-protein and protein-DNA interactions of this transcription factor, we identified the minimal domain of Hap4p necessary for interaction with the Hap2p/Hap3p/Hap5p-DNA complex, and we demonstrate that this domain is sufficient to complement the respiratory deficiency of a hap4⌬ mutant and activate transcription when fused with the VP16 activation domain. These studies provide a further understanding of the assembly of the yeast CCAAT-binding factor at target promoters and raise a number of questions concerning the protein-protein and protein-DNA interactions of this multisubunit transcription factor.Saccharomyces cerevisiae is a respirofermentative yeast that represses respiratory metabolism when growing in medium containing glucose as the sole carbon source, even in an oxygenated environment (14, 53). Following glucose depletion, cells undergo a major reprogramming of gene expression, known as the diauxic shift, to activate the genes that encode proteins needed for respiration and gluconeogenesis (12,16,30,45). Thus, the organism can utilize the ethanol that was generated during the fermentative metabolism. The CCAAT-binding factor (CBF; the Hap2p/ Hap3p/Hap4p/Hap5p complex) is one of the transcriptional activators responsible for the activation of many of the genes involved in respiratory metabolism (12,16,45,57), as well as other genes needed for other metabolic functions, such as ammonia assimilation (10, 11, 41).The CCAAT-binding factor is a multisubunit transcriptional activator that binds to the 5Ј-CCAAT-3Ј consensus elements within promoters (6, 36). This activator is unique among DNAbinding proteins in that it requires three heterologous subunits, termed Hap2p, Hap3p, and Hap5p, for DNA-binding activity (35,38). The Hap2p/Hap3p/Hap5p trimer has been shown to be sufficient for CCAAT-specific binding at target promoters (38); however, this complex lacks the ability to activate transcription. A fourth subunit of the complex, termed Hap4p, is necessary for transcriptional activat...