A method is described for the isolation of radioactively labeled coenzymeA from yeast which was grown on [l-14C]pantothenic acid. From about 800 g of wet cells 38 pmoles of chromatographically pure S-ben~oyl-[~~C]coenzyme A were obtained.It was shown that purified yeast fatty acid synthetase catalyzes a fatty acyl transfer reaction between labeled and unlabeled coenzyme A. All saturated fatty acids with chain lengths between 6 and 18 C-atoms were transferred a t about equal rates. Malonate was transferred about three times faster, acetate, propionate and butyrate about ten times slower than palmitate. Almost no transfer of crotonate and 8-hydroxybutyrate was observed. The transferase was resistant to N-ethylmaleimide and iodoacetamide inhibition. It is suggested that the binding sites involved in the acyl transfer reactions are the non-thiol substrate binding sites of the fatty acid synthetase complex, and not the "central" or "peripheral" SH-groups.Both transferase and total fatty acid synthetase are inhibited by long chain fatty scyl &A compounds. This inhibition increases with concentration and chain length of the acyl CoA derivative. It is assumed that there is a barrier for the transfer of fatty acids other than acetate from the outer transferase binding site to the active center of the fatty acid synthetase complex, and vice versa. By a local conformational change induced by the end products palmitate and stearate, bound to the "central" SH-group, this block is released to allow the acids to be transferred from the enzyme to external coenzyme A. Simultaneously, this conformational change is assumed to block further chain elongation.During the process of fatty acid biosynthesis substrates as well as end products have to be transfered between the fatty acid synthetase complex and coenzyme A. Previous investigations in this laboratory with the highly purified multienzyme complex from yeast had shown that the substrates acetate and malonate as well as all intermediates were covalently bound to the enzyme protein during the reaction process [l, 21. No intermediates are released until the end products palmitate and stearate are formed. Therefore, at least three different transfer reactions are involved in the over-all process of fatty acid synthesis. (2)