Fusion of the 5Ј half of the Ewing's sarcoma (ES) gene EWS with the DNA-binding domain of several transcription factors has been detected in many human tumors. The t(11;22)(q24;q12) chromosomal translocation is specifically linked to ES and primitive neuroectodermal tumors and results, in the majority of cases, in the fusion of the amino terminus of the EWS gene to the carboxyl-terminal DNA-binding domain of the FLI1 gene. The chimeric protein has been shown to be oncogenic, a potent transcriptional activator, and necessary for the maintenance of the Ewing's phenotype, making it an attractive target for gene therapy. In this study, we demonstrate that the ES transformed phenotype can be suppressed by chimeric transcriptional repressors containing the DNA-binding domain of FLI1 and the regulatory and repressor domain of ERF, a transcription suppressor and member of the ets gene family. The hybrid repressor is expressed at levels comparable with EWS/FLI1, does not affect EWS/FLI1 expression, and exhibits similar DNA-binding specificity but suppresses transcriptional activity. The FLI1/ERF repressor, like the wild-type ERF, is regulated by mitogen-activated protein kinase-dependent subcellular localization. Our data suggest that transformation by EWS/FLI1 may partially be due to activation of specific EWS/FLI1-regulated genes involved in cell proliferation. A berrant expression and/or structural alteration of transcription factors have been suggested to be critical events in tumorigenic transformation. 1,2 The t(11;22)(q24;q12) chromosomal translocation, detected in the majority of Ewing's sarcoma (ES) and primitive neuroectodermal tumors, fuses the amino terminus of the EWS gene to the carboxyl terminus of the ets transcription factor family member FLI1. 3 In other ES and primitive neuroectodermal tumors, analogous translocations fuse the EWS gene to other members of the ets family, including ERG, 4 ETV-1, 5 E1AF, 6 and FEV, 7 members of the ERG and PEA3 subclasses of the family. 8,9 In all of these fusions, the transactivating domain of the EWS gene is fused to the DNA-binding domain of an ets gene. It has been shown that the EWS/FLI1 fusion protein is a more potent transcriptional activator than FLI1 10,11 and, in contrast to FLI1, is a transforming gene. 10 Both the transactivation domain of EWS and the ets-DNA-binding domain are required for transformation, 10 and the transactivation efficiency of different classes of EWS-FLI1 fusions has been reported to correlate with the behavior of tumors in vivo. 12 Furthermore, the transforming phenotype can be suppressed by blocking EWS-FLI1 production. [13][14][15] The parental EWS protein contains an RNA-binding domain and a transactivation domain and is similar to the TLS/FUS and hTAF II 68 members of the TET family of proteins that are able to interact with both TFIID and RNA polymerase II. 16 The EWS-FLI1 hybrid, however, does not appear to be capable of similar functions, 17 suggesting that different mechanisms may be involved in EWS-FLI1-induced tumorigenesis.The...