We reported previously that chicken HIRA, a homolog of Saccharomyces cerevisiae transcriptional co-repressors Hir1p and Hir2p, possesses seven WD dipeptide motifs and an LXXLL motif in its N-terminal and C-terminal halves, respectively, required for transcription regulations. Here, by using the gene targeting technique, we generated the homozygous HIRA-deficient DT40 mutant ⌬HIRA. The HIRA deficiency caused slightly delayed cell growth and affected the opposite transcriptions of cell cycle-related genes, i.e. repressions for P18, CDC25B, and BCL-2, activations for P19 and cyclin A, and histones H2A, H2B, H3, and H4. These altered expressions were completely revived by the artificial stable expression of hemagglutinin-tagged HIRA in ⌬HIRA. The ability to rescue the delayed growth rate was preferentially aided by the N-terminal half instead of the C-terminal half. We cloned the chicken P18 genomic DNA, and we established that its promoter was located surrounding the sequence GCGGGCGC at positions ؊1157 to ؊1150. Chromatin immunoprecipitation assay revealed that the N-terminal half interacted directly or indirectly with the putative promoter region of the p18 gene, resulting in up-regulation of the gene. These results indicated that the N-terminal half of HIRA should contribute positively to the growth rate via up-regulation of a set of cell cycle-related genes, whereas the C-terminal half downregulated another set of them without exhibiting any effect on the cell growth.Two transcriptional co-repressors, Hir1p and Hir2p, that appear to act on the chromatin structure in Saccharomyces cerevisiae repress the transcription of one copy each of histone H2A and H2B genes located at the HTA1-HTB1 locus throughout the cell cycle and transiently recruit a SWI/SNF chromatin remodeling complex, thereby leading to transcription activation at this locus at the G 1 /S transition (1-4). A deficiency of the hir genes or cac1, -2, and -3 genes encoding S. cerevisiae homologs of p150, p60, and p48 subunits of CAF-1 (chromatin assembly factor-1) (5-11) results in a synergistic defect in silencing at both telomeres and silent mating type loci (3, 12). For such silencing, CAF-1