Regulation of the terminal stage of viral DNA development, DNA packaging, is poorly understood. A new phage T4 in vitro DNA packaging assay employed purified proheads, terminase (gp17 ؉ gp16), and ATP to encapsidate DNA resistant to nuclease. Mature phage T4 DNA and linearized plasmid DNAs containing or lacking a cloned T4 gene were packaged with high (ϳ10%) efficiency. Supercoiled, relaxed covalently closed, and nicked circular plasmid DNAs were packaged inefficiently, if at all, by these components. However, efficient packaging is achieved for nicked circular plasmid DNA, but not covalently closed plasmid DNA, upon addition to packaging mixtures of the purified T4 late transcription-replication machinery proteins: gp45 (sliding clamp), gp44/gp62 (clamp loader complex), gp55 (late -factor), and gp33 (transcriptional co-activator). The small terminase subunit (gp16) is inhibitory for packaging linear DNAs, but enhances the transcription-replication protein packaging of nicked plasmid DNA. Taken together with genetic and biochemical evidence of a requirement for gp55 for concatemer packaging to assemble active wild-type phage particles (1), the plasmid packaging results show that initiation of phage T4 packaging on "endless" concatemeric DNA in vivo by terminase depends upon interaction with the DNA loaded gp45 coupled late transcription-replication machinery. The results suggest a close mechanistic connection in vivo between DNA packaging and developmentally concurrent replication-dependent late transcription.Phage T4 replicates its DNA autonomously with a full set of phage-encoded replication proteins (2). Replication culminates in many fold amplification of injected linear ϳ170-kb mature phage DNA to form concatemeric DNA. This "endless" DNA is the product of multiple replication and recombination pathways (3). Concatemeric DNA is the in vivo substrate for DNA packaging into proheads and for the generation of mature phage DNA by terminase (4).Phage T4 employs Escherichia coli RNA polymerase to carry out a complex program of early, middle and late transcription by synthesizing numerous proteins that modify RNA polymerase (RNAP) 2 promoter recognition. In the late stage of its development, concurrent T4 phage DNA replication and late transcription are intimately connected (5). A unique mechanism accounts for the following interesting features of late phage T4 development: phage T4 late transcription depends upon: (i) concurrent DNA replication; (ii) activation of RNAP by late transcription proteins (gp55, late -factor; gp33, transcription co-activator); and (iii) direct action of the DNA polymerase processivity factor gp45. The mechanism of late transcription at short (Ϫ10 TATAAATA, no Ϫ35) late T4 promoters has been shown to require tracking along the DNA of the gp45 sliding clamp to which gp55 and gp33 attach and through which contact is made with RNAP (6). In fact, these two transcription factors and DNA polymerase (gp43) share similar C-terminal peptide sequences that account for gp45 binding (7). In additio...