All members of the Paramyxovirinae have retained the open reading frame (ORF) for either or both of the accessory proteins, V and C, within the P gene during evolution (26). This finding had suggested crucial roles of the V and C proteins in a virus life cycle, although their roles had remained an enigma for a long time. Several lines of evidence have accumulated, however, demonstrating that the accessory proteins form a group of antagonists against the host immune system (9, 15-17). The Paramyxovirinae family contains three genera: Rubulavirus, Respirovirus, and Morbillivirus. The V protein of rubulavirus simian virus 5 targets a key factor, signal transducer and activator of transcription 1 (STAT1), on interferon (IFN) signaling for proteasome-mediated degradation, thereby inhibiting IFN signal transduction (1,3,6,7,33,35,48,49). The V proteins of other rubulaviruses, including human parainfluenza virus type 2, mumps virus, and simian virus 41 inhibit IFN signaling likewise by inducing a decrease in the STAT1 or STAT2 level (8,25,30,31,34,35,47,49). In contrast, the respirovirus Sendai virus (SeV), which possesses both V and C ORFs, has evolved functions of the C protein instead of the V protein so as to block IFN signaling (12,18). The SeV C ORF produces a nested set of four C proteins, CЈ, C, Y1, and Y2, which are referred to collectively as the C proteins (5, 14). Translation of CЈ, C, Y1, and Y2 initiates at different positions ( 81 ACG, 114 AUG, 183 AUG, and 201 AUG, respectively) and terminates at the same position (UAA 728 ). In addition to the C protein, the shorter forms, Y1 and Y2, have the ability to inhibit IFN signaling (11,22). The C protein, however, does not lead to degradation of any component on the signaling pathway in most cell types (12,18,24,42,49) except for NIH 3T3 mouse embryo fibroblast (MEF) cells (10, 11). The purpose of the present study was to better understand how the SeV C protein inhibits IFN-␣ signaling without degrading cellular proteins on the signaling pathway.The main pathway of IFN-␣/ signaling consists of several components, IFN-␣/ receptor subunits (IFNAR1 and IF-NAR2), receptor associated kinases (JAK1 and TYK2), two STATs (STAT1 and STAT2), and IFN regulatory factor 9 (p48) (41). Both STAT1 and STAT2 preassociate with the cytoplasmic tail of IFNAR2 in . Binding of IFN-␣/ to IFN receptor leads to aggregation of IFNAR1 and IFNAR2, causing the cross-activation of TYK2 and JAK1 (32). TYK2 then phosphorylates IFNAR1 on Tyr 466 (4), which serves as the docking site for the SH2 domain of STAT2 (45). STAT2 binds to the docking site, followed by the phosphorylation of both STAT2 and STAT1. A current model proposed sequential activation of STAT2 and STAT1 in this order (28). The tyrosine-phosphorylated (pY) STAT2-STAT1 heterodimer then translocates into the nucleus and combines IFN regulatory factor 9 (43) to form IFN-stimulated gene factor 3 (ISGF3) and activates transcription of IFN-stimulated genes (ISGs) by binding to IFN-stimulated response elements (ISREs). Two forms o...