Mycobacterium leprae, which has undergone reductive evolution leaving behind a minimal set of essential genes, has retained intervening sequences in four of its genes implicating a vital role for them in the survival of the leprosy bacillus. A single in-frame intervening sequence has been found embedded within its recA gene. Comparison of the M. leprae recA intervening sequence with the known intervening sequences indicated that it has the consensus amino acid sequence necessary for being a LAGLI-DADG-type homing endonuclease. In light of massive gene decay and function loss in the leprosy bacillus, we sought to investigate whether its recA intervening sequence encodes a catalytically active homing endonuclease. Here we show that the purified M. leprae RecA intein (PI-MleI) binds to cognate DNA and displays endonuclease activity in the presence of alternative divalent cations, Mg 2؉ or Mn 2؉ . A combination of approaches, including four complementary footprinting assays such as DNase I, copper-phenanthroline, methylation protection, and KMnO 4 , enhancement of 2-aminopurine fluorescence, and mapping of the cleavage site revealed that PI-MleI binds to cognate DNA flanking its insertion site, induces helical distortion at the cleavage site, and generates two staggered double strand breaks. Taken together, these results implicate that PI-MleI possesses a modular structure with separate domains for DNA target recognition and cleavage, each with distinct sequence preferences. From a biological standpoint, it is tempting to speculate that our findings have implications for understanding the evolution of the LAGLIDADG family of homing endonucleases.Mycobacterium leprae, a Gram-positive rod-shaped bacillus, mostly found in warm tropical countries, is the bacterium that causes leprosy in humans (1). The lack of understanding of the basic biology of M. leprae is believed to be the key factor for the failure of leprosy research to advance. The genome sequence of M. leprae contains 3.27 Mb and has an average G ϩ C content of 57.8%, values much lower than the corresponding values for Mycobacterium tuberculosis, which are ϳ4.41 Mb and 65.6% G ϩ C, respectively (2). There are some 1500 genes that are common to both M. leprae and M. tuberculosis. The comparative genome analysis suggests that both species of mycobacteria are derived from a common ancestor and, at one stage, had gene pools of similar size. The downsizing of the M. tuberculosis genome from ϳ4.41 to 3.27 Mb of M. leprae would account for the loss of some 1200 protein-coding sequences (1, 3). There is evidence that many of the genes that were present in the genome of M. leprae have truly been lost (1, 3). Comparative genomics of M. leprae with that of M. tuberculosis indicate that the former has undergone substantial downsizing, losing more than 2000 genes, thus suggesting an extreme case of reductive evolution in a microbial pathogen (1). With the availability of the M. leprae genome sequence, using functional genomics approaches, it is possible to identify the gen...