Transforming growth factor /3 (TGF (3),t originally isolated from platelets as a 25-kD peptide (1, 2), has been shown to be a product of other inflammatory cells, including lymphocytes (3, 4) and macrophages (5, 6), and to have potent immunomodulatory effects (7). Although five different forms of TGFJ3 have now been characterized (1), only TGF01 and its homologue, TGF02 (8, 9), have thus far been identified in hemopoietic cells (6). Each ofthese peptides has been cloned, demonstrating that TGF01 is encoded as a 390 amino acid precursor (10), TGFs2 as a 412 amino acid precursor (11,12), and that both have a signal peptide of 20-23 amino acids at the NH2 terminus . The processed 112 amino acid chains of the two peptides share 72% sequence homology and appear to bind equally well to TGFS class III receptors (13), although TGFS1 binds with greater affinity than TGF02 to class I and II receptors (14, 15). Interestingly, lymphoid cells appear to possess only class I and II TGF,6 receptors (16), although in vitro, lymphocyte and monocyte responses to TGF01 and 02 appear comparable (6,17,18). The secretion of TGFa peptides by lymphocytes and monocytes only after activation (3-6) implicates these polypeptides in the evolution of immunologic processes, and in recent studies TGFR has been identified in chronic inflammatory tissues (19)(20)(21)(22), including the synovium of rheumatoid arthritis patients (7,22) and in experimentally induced arthritis in rodents (22). To define the role of TGFS in such lesions, we injected natural or recombinant TGF0 directly into the joint cavity of Lewis rats and monitored its effect on cellular recruitment and activation, and on its potential modulation of pathogenic effects. TGF01 and TGF02 were both found to induce synovial erythema, swelling, and leukocyte infiltration . The infiltrating mononuclear cells, activated to express growth factors, likely regulated the pronounced synovial hyperplasia that was apparent within 2-3 d. Based on these observations, it appears that TGF0, released by platelets and inflammatory cells in the arthritic synovium, may directly contribute to the events associated with inflammatory arthropathies.