Retrovirus packaging cell lines expressing the Moloney murine leukemia virus gag and pol genes but lacking virus envelope genes produce virus-like particles constitutively, whether or not they express a transcript from an integrated retroviral provirus. In the absence of a proviral transcript, the assembled particles contain processed gag and reverse transcriptase, and particles made by cells expressing an integrated lacZ provirus also contain viral RNA. The virus-like particles from both cell types are enveloped and are secreted͞budded into the extracellular space but are noninfectious. Their physicochemical properties are similar to those of mature retroviral particles. The noninfectious gag pol RNA particles can readily be made infectious by the addition of lipofection reagents to produce preparations with titers of up to 10 5 colony-forming units per ml.The role in assembly of two retrovirus-encoded proteins, gag and env, have been extensively studied and are reasonably well understood. The retrovirus gag protein is central to the mechanisms of virus assembly because of its ability to interact with both the viral RNA and with the virus envelope proteins. In the case of the C-type retroviruses, as represented by Moloney murine leukemia virus (MoMLV), virion assembly and maturation include intracellular oligomerization of gag, its association with viral RNA via a recognition of the packaging signal ⌿ on the RNA, and the subsequent specific interaction of the resulting complex with plasma membrane-embedded env protein. In addition to viral RNA, env, and gag, a number of other viral components, including the virus-encoded pol gene products protease, reverse transcriptase (RT), and integrase, participate in the full assembly of mature fully packaged and infectious virus particles. The assembly of virus-like particles, however, does not require the presence of all these components. Retroviral gag protein alone can oligomerize and assemble into virus-like particles, both in vitro and in vivo (1-9), even in the absence of genomic RNA, RT, viral protease, or envelope (10-20). Similarly, gag particle assembly can occur not only intracellularly but even in an in vitro translation system (2). In addition, expression of HIV gag and pol genes results in the production of virus-like particles that contain gag protein and RT activity and that associate with virus RNA molecules, even in the absence of virus env (4). The role, if any, that these particles play in the final assembly of mature virus particles is unknown.In addition to virus assembly, the env protein performs at least two other important viral functions: a receptor recognition function that allows the specific binding of the virus to a cell surface receptor required for uptake into an endosome and a fusion function that permits the release of the uncoated virus core and the viral RNA from the endosome into the cytoplasm. Through its interaction with specific cellular receptors, the env glycoprotein of each retrovirus defines the tropism of the virus. Rec...