In the last step of polypeptide chain initiation in eukaryotes, the interaction of the 40S preinitiation complex eIF-2 GTP Met-tRNAj 4OS [the complex between the 40S ribosomal subunit and the ternary complex containing equimolar amounts of eukaryotic initiation factor 2 (eIF-2), GTP, and eukaryotic initiator methionyl tRNA (Met-tRNA;)] with a 60S ribosomal subunit in the presence of mRNA, cap binding protein (with "capped" messengers), ATP, and the initiation factors eIF-3, eIF-4a, -4b, -4c, and eIF-5, results in the formation of an 80S initiation complex (MettRNAj'80S'mRNA) with concomitant hydrolysis of GTP and liberation of eIF-2 for recycling in subsequent initiation events. However, at physiological Mg2+ concentrations, GDP is known to have '100-fold greater affinity than GTP for eIF-2 and eIF-2 is believed to be released in the form of an eIF-2'GDP complex. Previously, we have shown that initiation factor SP (for eIF-2-stimulating protein) promotes the exchange of eIF-2-bound GDP for GTP and catalyzes ternary complex formation in the presence of Met-tRNA;. Binding of GDP by eIF-2 is indeed so tight that, as we now show, homogeneous preparations of eIF-2 contain upward of 0.5 mol of GDP/mol of eIF-2. We further show that, in the presence of Mg2+ and catalytic amounts of SP, ternary complex formation conforms to the overall reversible reaction eIF-2'GDP + GTP + Met-tRNA, = eIF-2 GTP'Met-tRNA; + GDP.The first step of polypeptide chain initiation in eukaryotes is the formation of a ternary complex containing equimolar amounts of eukaryotic initiation factor 2 (eIF-2), GTP, and eukaryotic initiator methionyl tRNA (Met-tRNAi). This complex binds to a 40S ribosomal subunit, giving rise to a 40S preinitiation complex. In the presence of a 60S ribosomal subunit, mRNA, additional factors, and ATP, an 80S initiation complex is formed, setting the stage for chain elongation. Formation of the 80S complex is accompanied by GTP hydrolysis and eIF-2 release (see the diagram in ref. 1). Ternary complex formation is inhibited by Mg2+ (2), which, however, is required for the ensuing steps (3). In the presence of Mg2+, eIF-2 has at least 100-fold higher affinity for GDP than for GTP (4), suggesting that the factor is released as an eIF-2-GDP complex on completion of each initiation round. In the presence of Mg2+, formation of a ternary complex (which contains GTP) requires, therefore, a mechanism for exchange of eIF-2-bound GDP for GTP (5, 6). This exchange is catalyzed by a factor termed SP [for eIF-2-stimulating protein (6)] or GEF [for GDP exchange (7)]. The strong similarity of ternary complex formation in eukaryotic chain initiation and prokaryotic chain elongation has been pointed out (6). It is now apparent that eIF-2 and SP are the counterparts of the chain elongation factors EF-Tu and EF-Ts, respectively (6). GDP (unpublished data), providing direct evidence for reversal of reaction a. In this paper, we show that, unlike eIF-2'SP, eIF-2 is isolated in the form of an eIF-2-GDP complex and present evidence for...