The involvement of the serotonergic system in spatial learning and a possible correlation between serotonergic modulation of hippocampal electrical activity and spatial learning were studied in rats. Control, partial septal-lesioned (SL), 5,7-dihydroxytryptamine (5,7-DHT)-injected (DHT), doublelesioned (5,7-DHT and SL; DL), and DL rats that were transplanted with embryonic raphe grafts into the hippocampus (RG) were tested in a spatial task in a water maze and in an active avoidance shuttle-box task. The responses of the dentate gyrus (DG) to perforant-path (PP) stimulation were examined in the same rats, under the following conditions: (1) priming stimulation of the PP (testing feedback inhibition), (2) priming stimulation of the commissural pathway (testing feedforward inhibition), (3) during repeated stimulation of the PP at 7 Hz (frequency potentiation), and (4) following tetanic stimulation [long-term potentiation (LTP)]. DL, but not DHT or SL, treatment severely impaired the performance of rats in both reference-and working-memory tasks in the water maze.This effect was not seen in the shuttle box. The ability of the DG to exhibit LTP, which was reduced in the DHT and SL rats, was apparently similar to controls in the DL group. DL, but not DHT or SL alone, resulted in a reduction of inhibition in the DG. Roth the behavioral deficits and the reduction in hippocampal inhibition were ameliorated by intrahippocampal raphe grafts. These results indicate that the serotonergic innervation of the hippocampus plays a role in spatial learning when the septohippocampal neurotransmission systems are disrupted. Furthermore, these results suggest that restoration of modulation of hippocampal inhibition, by raphe grafts, underlies the behavioral recovery observed in these rats.The hippocampus is involved in learning and memory processes and, in particular, in spatial learning (O'Keefe and Nadel, 1978;Morris et al., 1982;Barnes, 1988;Squire and Zola-Morgan, 1988). Serotonergic fibers, arising from the midbrain raphe (MR) nuclei, densely innervate the hippocampal formation and the dentate gyrus (DG, Azmitia and Segal, 1978; Moore, 198 l), suggesting a role for 5-HT in hippocampal functions. Depletion of forebrain 5-HT, however, has little effect on spatial performance in rats (Asin et al., 1985;Altman et al., 1989; RichterReceived Sept. 26, 1990; revised Dec. 26, 1990; accepted Dec. 28, 1990. We wish to thank H. Markram and M. Wain for valuable comments on the manuscript and Ms. V. Greenberger for help in AChE staining and 'H-imipramine binding. This research was supported by a grant from MINERVA Foundation, Munich, Germany.Correspondence should be addressed to Menahem Segal at the above address. Copyright 0 1991 Society for Neuroscience 0270-6474/91/l 11585-12$03.00/O Levin and Segal, 1989). Recent studies have indicated that, under conditions in which other neurotransmission systems are disrupted, the serotonergic system becomes crucial for correct spatial performance (Vanderwolf, 1987;Nilsson et al., 1988;Richter-Levi...