The inositol moiety of mammalian glycosylphosphatidylinositol (GPI) is acylated at an early step in GPI biosynthesis. The inositol acylation is essential for the generation of mature GPI capable of attachment to proteins. However, the acyl group is usually absent from GPI-anchored proteins (GPI-APs) on the cell surface due to inositol deacylation that occurs in the endoplasmic reticulum (ER) soon after GPI-anchor attachment. Mammalian GPI inositol-deacylase has not been cloned, and the biological significance of the deacylation has been unclear. Here we report a GPI inositol-deacylase-deficient Chinese hamster ovary cell line established by taking advantage of resistance to phosphatidylinositolspecific phospholipase C and the gene responsible, which was termed PGAP1 for Post GPI Attachment to Proteins 1. PGAP1 encoded an ER-associated, 922-amino acid membrane protein bearing a lipase consensus motif. Substitution of a conserved putative catalytic serine with alanine resulted in a complete loss of function, indicating that PGAP1 is the GPI inositol-deacylase. The mutant cells showed a clear delay in the maturation of GPI-APs in the Golgi and accumulation of GPI-APs in the ER. Thus, the GPI inositol deacylation is important for efficient transport of GPI-APs from the ER to the Golgi.Many eukaryotic cell surface proteins with various functions are anchored to the membrane via glycosylphosphatidylinositol (GPI) 1 (1-3). GPI-anchored proteins (GPI-APs) on mammalian cells are usually sensitive to bacterial phosphatidylinositolspecific phospholipase C (PI-PLC), leading to the release of the protein portions. Therefore, PI-PLC is often used as a tool to determine whether proteins are GPI-anchored. In contrast, precursors of the GPI-anchor present in the endoplasmic reticulum (ER) are resistant to PI-PLC due to an acyl chain linked to the 2-position of inositol (4). The inositol ring of GPI is acylated at an early step in GPI biosynthesis by the action of PIG-W protein, an acyltransferase that adds a palmitoyl chain to the inositol of glucosaminyl-phosphatidylinositol, the second intermediate in the pathway (5). The inositol acylation is critical for the attachment of GPI to proteins, because mutant cells defective in PIG-W express only very low levels of GPI-APs (5). It is very likely that the acyl group is required for a later step in the pathway when "bridging" ethanolamine phosphate, which links GPI to the protein, is added to the third mannose to generate mature GPI. Soon after the attachment of GPI to proteins, the inositol is usually deacylated in the ER and becomes sensitive to PI-PLC (6). Human erythrocytes represent an exception, in which the inositol remains acylated, and all the GPI-APs are resistant to PI-PLC (7-9). A possible reason for the lack of deacylation in human erythrocytes is that GPIAPs bearing three acyl chains are more stably associated with the membrane than those bearing two acyl chains, and thus the maintenance of GPI-APs during the long life of erythrocytes is ensured.The enzyme involved in ...