Previous studies in our laboratory have demonstrated the mammary-specific expression of the entire rat j-casein gene with 3.5 kilobases (kb) of 5' and 3.0 kb of 3' DNA in transgenic mice (Lee et al., Nucleic Acids Res. 16:1027-1041. In an attempt to localize sequences that dictate this specificity, lines of transgenic mice carrying two different rat I8-casein promoter-bacterial chloramphenicol acetyltransferase (cat) fusion genes have been established. Twenty and eight lines of transgenic mice carrying two fusion genes containing either 2.3 or 0.5 kb, respectively, of 5'-flanking DNA of the rat 0-casein gene along with noncoding exon I and 0.5 kb of intron A were identified, most of which transmitted the transgenes to their offspring in a Mendelian pattern. CAT activity was detected predominantly in the lactating mammary gland of female transgenic mice but not in the male mammary fat pad. A several-hundred-fold variation in the level of cat expression was observed in the mammary gland of different lines of mice, presumably due to the site of integration of the transgenes. CAT activity was increased in the mammary gland during development from virgin to midpregnancy and lactation. Unexpectedly, the casein-cat transgenes were also expressed in the thymus of different lines of both male and female mice, in some cases at levels equivalent to those observed in the mammary gland, and in contrast to the mammary gland, CAT activity was decreased during pregnancy and lactation in the thymus. Thus, 0.5 kb of 5'-flanking DNA of the rat ,l-casein gene along with noncoding exon I and 0.5 kb of intron A are sufficient to target bacterial cat gene expression to the mammary gland of lactating mice.Development of the fetal mammary gland is characteristically sexually dimorphic (35). The ultimate function of the female mammary epithelium is to synthesize and secrete milk. Milk protein gene expression is regulated by a variety of factors, including peptide and steroid hormones and cell-cell and cell-substratum interactions (7,15,36). Caseins are the predominant milk proteins encoded by a small gene family, whose expression exhibits both tissue and stage specificity. The rat 1-casein gene encodes the principal murine casein and displays a several-hundred-fold increase in expression during adult mammary development from virgin to midlactation (12). Thus, it should provide an excellent model to elucidate the molecular mechanisms by which milk protein gene expression is regulated.The ability to introduce cloned or manipulated genes into mice via microinjection into fertilized eggs provides a novel approach to studying the regulation of gene expression (24), especially for those genes whose regulation requires cell-cell and cell-substratum interactions. An increasing number of cellular genes have been introduced into mice, and most of them resembling their mouse counterparts have been expressed and regulated correctly (25).We have previously generated several lines of transgenic mice, bearing the entire rat p-casein gene along with 3....