Fungal pathogens are notorious for causing chronic and latent infections, but the mechanism by which they evade the immune response is poorly understood. A major limitation in the study of chronic fungal infection has been the lack of suitable animal models where the infection is controlled and yet persists. Pulmonary Cryptococcus neoformans infection in rats results in a diffuse pneumonitis that resolves without dissemination or scarring except for the persistence of interstitial and subpleural granulomas that harbor viable cryptococci inside macrophages and epithelioid cells. Infected rats are asymptomatic but remain infected for as long as 18 months after inoculation with C. neoformans. Containment of infection is associated with granuloma formation that can be partially abrogated by glucocorticoid administration. Using this model, we identified several features associated with persistent infection in the rat lung, including (i) localization of C. neoformans to discrete, well-organized granulomas; (ii) intracellular persistence of C. neoformans within macrophages and epithelioid cells; (iii) reduced inducible nitric oxide synthase expression by granulomas harboring C. neoformans; and (iv) reduced antibody responses to cryptococcal polysaccharide. The results show that maintenance of persistent infection is associated with downregulation of both cellular and humoral immune responses.Cryptococcus neoformans is a fungal pathogen that causes meningoencephalitis in immunocompromised individuals. Infection is believed to be acquired through the respiratory tract, although the precise relationship between pulmonary and central nervous system infection is not understood. Several lines of evidence suggest that C. neoformans causes persistent, primary lung infection in immunocompetent individuals that is similar to infections caused by Mycobacterium tuberculosis and Histoplasma capsulatum. Primary cryptococcal infection is likely to be associated with few or minimal symptoms, but it may disseminate in the context of an acquired immunodeficiency, such as AIDS, or corticosteroid therapy. Persistent, pulmonary cryptococcosis has been described in humans. In one study, approximately 47% of individuals with pulmonary cryptococcosis had abnormal radiographic findings for at least 3 months before diagnosis, and an additional 17% of patients had radiographic findings for more than 18 months before diagnosis (2). Primary cryptococcal pneumonia has also been described as an incidental finding of autopsy studies of immunocompetent individuals. In these cases, infection was associated with small subpleural granulomas containing C. neoformans (16). A primary cryptococcal complex consisting of circumscribed granulomas with hilar lymphadenitis without calcifications has also been described (24).Current animal models are inadequate for studying the pathogenesis of persistent cryptococcosis. The two species that have been most extensively studied are mice and rabbits. Mice are extremely susceptible to pulmonary infection, which is inva...