Atypical protein kinase C isoforms (aPKCs) transmit regulatory signals to effector proteins located in the cytoplasm, nucleus, cytoskeleton, and membranes. Mechanisms by which aPKCs encounter and control effector proteins in various microenvironments are poorly understood. By using a protein interaction screen, we discovered two novel proteins that adapt a Caenorhabditis elegans aPKC (PKC3) for specialized (localized) functions; protein kinase C adapter 1 (CKA1, 593 amino acids) and CKA1S (549 amino acids) are derived from a unique mRNA by alternative utilization of two translation initiation codons. CKA1S and CKA1 are routed to the cell periphery by exceptionally basic N-terminal regions that include classical phosphorylation site domains (PSDs). Many hormones and growth factors elicit activation of phospholipases that produce diacylglycerol (DAG) 1 (1, 2). Protein kinase C (PKC) isoenzymes disseminate signals carried by DAG. Amplification and routing of signals are achieved because classical (␣, I, II, ␥) and novel (␦, ⑀, , , ) PKC isoforms (cPKCs and nPKCs, respectively) are DAG-dependent Ser/Thr phosphotransferases that translocate from cytoplasm to sites in membranes where DAG accumulates in response to hormones (1-4). Activated PKCs phosphorylate proteins that control secretion, mitogenesis, cytoskeleton organization, gene transcription, and many other physiological processes (1-3, 5-9).Atypical PKCs (aPKCs), which include vertebrate PKC and PKC isoforms and Caenorhabditis elegans PKC3 (1, 4, 8), also regulate critical cell functions. PKC and/or PKC activate the Ras-mitogen-activated protein kinase cascade, stimulate gene transcription, inhibit apoptosis, modulate ion channel activities, phosphorylate nucleolin in the nucleus, and mediate translocation of a glucose transporter between internal and plasma membranes (9 -16). C. elegans PKC3 is required for polarized accumulation of several regulatory proteins along portions of the periphery of 1-cell embryos (17, 18). Thus, aPKCs apparently regulate effector proteins at multiple intracellular locations.Mechanisms by which aPKCs are activated and targeted to specific microenvironments are poorly understood. All PKCs have C-terminal catalytic domains and N-terminal pseudosubstrate sites and Cys-rich regions (C1 domains) (1, 2, 4); phosphatidylserine stimulates catalytic activity of all PKCs. However, aPKCs do not bind Ca 2ϩ , DAG, or phorbol esters (which mimic DAG) and are not activated or translocated by these molecules (19 -21). aPKCs also lack transmembrane domains, cytoskeleton attachment sites, and organelle targeting motifs. Unlike other PKC isoforms, aPKCs escape endosome-mediated degradation when cells are incubated chronically with hormones, DAG analogs, or phorbol esters (19 -21). Thus, the paradigm of DAG-mediated membrane translocation/activation and subsequent degradation cannot explain targeting and regulation of aPKCs.Recent evidence suggests a "recruitment model" for incorporation of aPKCs into signaling pathways. aPKCs exhibit sub-* This wo...