We demonstrate that individual cells infected with and expressing a recombinant retrovirus carrying the Escherichia coli fi-galactosidase gene (lacZ) can be viably stained, analyzed, sorted, and cloned by fluorescenceactivated cell sorting based on the levels of lacZ expressed. To accomplish this we have devised a method to enzymatically generate and maintain fluorescence in live mammalian cells. Accumulation of fluorescent products in cells is linear with time, with a direct correlation of fluorescence to enzymatic activity. This technology for 13-galactosidase detection is more sensitive than other available cytochemical or biochemical methods. We have used this procedure to show that the expression of f-2-MMuLVSVnlsLacZ in the T-cell lymphoma BW5147 and the B-cell hybridoma SP2/0 is not completely stable and that subclones selected by the fluorescenceactivated cell sorter for low lacZ activity demonstrate distinctly lower average expression of LacZ. These findings indicate the utility of (3-galactosidase as a reporter molecule at the single-cell level for studies of gene regulation, including studies of promoter efficacy, enhancer activity, trans-acting factors, and other regulatory elements.The Escherichia coli lacZ gene has previously been adapted for use in mammalian cells and has shown utility as a marker for the expression of chimeric genes (1, 2). In these previous studies, the chromogenic f3-galactoside analog o-nitrophenyl /3-D-galactopyranoside (ONPG) was used as an alternative to the chloramphenicol acetyltransferase assay (3) to quantitate gene expression from heterologous promoters fused 5' proximal to the lacZ structural gene. However, in both the chromogenic LacZ and radioactive chloramphenicol acetyltransferase assays, extracts of bulk populations of cells are used to quantitate an average promoter strength/enzyme activity and, thus, do not give any indication of the heterogeneous expression patterns that could exist within complex cell populations. These other assays also do not provide one with a means to select viable cells expressing known quantities of gene product.lacZ has also proven effective as a marker in the genetic tagging of cell lineage founders and subsequent tracing of progeny in tissue sections using a cytochemical stain for expression of LacZ (4, 5). Using recombinant, replicationdefective Moloney murine leukemia viruses (Mo-MuLV) in which the expression of lacZ is permitted from an internal simian virus 40 (SV40) promoter, Sanes et al. (4) Here, we use the f3-galactoside analog fluorescein di-,B-Dgalactopyranoside (FDG) (11) in a protocol, termed " 'ACS-FDG," that sensitively distinguishes LacZ' cells from LacZ-cells and allows time-dependent fluorescenceactivated cell analysis and sorting. FDG is cleaved by 03-galactosidase in LacZ' cells to yield fluorescein, which can be detected by FACS. We find that the kinetics of fluorescence accumulation within LacZ' cells, after FDG substrate loading, shows a linear dependence over time until maxima are approached because of...