The nonsense-mediated mRNA decay (NMD) pathway has historically been thought of as an RNA surveillance system that degrades mRNAs with premature translation termination codons, but the NMD pathway of Saccharomyces cerevisiae has a second role regulating the decay of some wild-type mRNAs. In S. cerevisiae, a significant number of wild-type mRNAs are affected when NMD is inactivated. These mRNAs are either wild-type NMD substrates or mRNAs whose abundance increases as an indirect consequence of NMD. A current challenge is to sort the mRNAs that accumulate when NMD is inactivated into direct and indirect targets. We have developed a bioinformatics-based approach to address this challenge. Our approach involves using existing genomic and function databases to identify transcription factors whose mRNAs are elevated in NMD-deficient cells and the genes that they regulate. Using this strategy, we have investigated a coregulated set of genes. We have shown that NMD regulates accumulation of ADR1 and GAL4 mRNAs, which encode transcription activators, and that Adr1 is probably a transcription activator of ATS1. This regulation is physiologically significant because overexpression of ADR1 causes a respiratory defect that mimics the defect seen in strains with an inactive NMD pathway. This strategy is significant because it allows us to classify the genes regulated by NMD into functionally related sets, an important step toward understanding the role NMD plays in the normal functioning of yeast cells.Nonsense-mediated mRNA decay (NMD) is a highly conserved mRNA degradation pathway. Historically, NMD has been thought of as an RNA surveillance system whose role is to identify and rid cells of mRNA with premature termination codons and thus prevents accumulation of potentially harmful truncated proteins. However, more recently, it has become apparent that the NMD pathway of Saccharomyces cerevisiae has a second role regulating the decay of wild-type mRNAs.Genome-wide transcription profiling has revealed that a significant number (estimated to be between 5 and 10%) of wildtype transcripts accumulate in yeast cells when the NMD pathway is inactivated (15, 28). These mRNAs that accumulate can be direct NMD substrates or could accumulate as an indirect consequence of inactivation of NMD. PPR1 and URA3 mRNAs represent examples of mRNAs that are directly and indirectly affected by inactivation of the NMD pathway, respectively. PPR1 mRNA is an NMD substrate because it is degraded more rapidly in cells with an active NMD pathway than those in which the NMD pathway has been inactivated (20). It encodes a transcription activator, and the genes activated by Ppr1 are up-regulated in cells with an inactive NMD pathway (18,27). For example, URA3 is regulated by Ppr1. URA3 mRNA accumulates in cells with an inactive NMD pathway; however, URA3 mRNA has the same half-life in cells with active and inactive NMD pathways (27). Thus, accumulation of URA3 mRNA is due to increased transcription activation by Ppr1 as an indirect consequence of inactiv...