A large share of mRNA processing and packaging events occurs cotranscriptionally. To explore the hypothesis that transcription defects may affect mRNA fate, we analyzed poly(A) ؉ RNA distribution in Saccharomyces cerevisiae strains harboring mutations in Rpb1p, the largest subunit of RNA polymerase II. In certain rpb1 mutants, a poly(A) ؉ RNA granule, distinct from any known structure, strongly accumulated in a confined space of the cytoplasm. RNA and protein expressed from Ty1 retrovirus-like elements colocalized with this new granule, which we have consequently named the T body. A visual screen revealed that the deletion of most genes with proposed functions in Ty1 biology unexpectedly does not alter T-body levels. In contrast, the deletion of genes encoding the Mediator transcription initiation factor subunits Srb2p and Srb5p as well as the Ty1 transcriptional regulator Spt21p greatly enhances T-body formation. Our data disclose a new cellular body putatively involved in the assembly of Ty1 particles and suggest that the cytoplasmic fate of mRNA can be affected by transcription initiation events.In eukaryotic cells, mRNA-protein particles (mRNPs) are assembled in the nucleus and are normally transported to cytoplasmic ribosomes for translation. The protein composition of mRNPs is highly dynamic and changes in both a temporal and a spatial fashion, consistent with a changing need for associated factors at different stages of the mRNP life cycle. The initial mRNA-protein association occurs as soon as the 5Ј end of the nascent RNA extrudes from the exit channel of the RNA polymerase II (RNAPII) complex (4, 63). A number of factors coat the mRNA cotranscriptionally in order to effectively process the molecule into a mature length as well as to make the new mRNP competent for nuclear export (12). Importantly, RNAPII itself is an active player in these early mRNP assembly processes. This is perhaps best illustrated by the physical interactions of mRNA processing factors with the carboxy-terminal domain (CTD) of Rpb1p (50). However, additional levels of RNAPII/mRNP intimacy exist, exemplified by the suggestion that the RNAPII subunits Rpb4p and Rpb7p, which both affect the cytoplasmic decay rate of certain mRNAs, might be integral mRNP components (35).Although mRNA ultimately functions as a template for translation, the characteristics of mRNPs made from different genes are highly variable at the levels of cellular localization, mRNA stability, and ribosome availability. Combined with a high level of mRNP maturation control, this allows for ample plasticity of gene expression at posttranscriptional stages. For example, controlling the spatial distribution of mRNPs regulates developmental processes in eukaryotes, e.g., the location of Vg1 transcripts at the vegetal pole of Xenopus oocytes (38, 64) and the asymmetric distribution of ASH1 RNA to the daughter cell during budding in Saccharomyces cerevisiae (34,59). Variability between mRNPs produced from the same gene also occurs. This may be caused by transcription or ...