Genes positioned close to telomeres in yeast are silenced by a heterochromatin-like structure containing Sir proteins. To investigate whether silencing also affects DNA repair, we studied removal of UV lesions by photolyase and nucleotide excision repair (NER) in strains containing the URA3 gene inserted 2 kilobases from a telomere. URA3 was transcriptionally active in sir3⌬ mutants, partially silenced in SIR3 cells, or completely silenced by overexpression of SIR3 or deletion of RPD3. The active URA3 showed efficient repair by both pathways. Fast repair of the promoter and 3 end by photolyase reflected a non-nucleosomal structure. Partial silencing had no remarkable effect on photolyase but reduced repair by NER, indicating differential accessibility for the two repair reactions. Complete silencing inhibits NER and photolyase in the coding region as well as in the promoter and the 3 -end. Conventional nuclease footprinting analyses revealed subtle changes in the promoter proximal nucleosome under partially silenced conditions but a pronounced reorganization of chromatin extending over the whole gene in silenced chromatin. Thus, both repair systems are sensitive to chromatin changes associated with silencing and provide direct evidence for a compact structure of heterochromatin.Silencing refers to transcriptional inhibition characterized by the epigenetic formation of a repressive chromatin structure, frequently referred to as heterochromatin. In yeast Saccharomyces cerevisiae, silencing occurs at several genetic loci, including the cryptic mating-type loci (HML and HMR), the ribosomal DNA, and regions close to telomeres (1-4). Silencing of genes integrated in subtelomeric regions decreases with increasing distance from the telomere (telomere position effect) (5). In contrast to stable silencing at the HM loci, silencing of subtelomeric genes is variegated, resulting in stochastic patterns of repression of transcription (6 -9).Telomeric silencing depends on numerous proteins: three silent information regulators (Sir2, Sir3, and Sir4), histones, proteins required for chromatin assembly, proteins involved in telomere formation as well as enzymes that modify histones by deacetylation, ubiquitination, and methylation (5-7, 10 -16). Silencing is enforced by the proximity to a pool of concentrated Sir proteins, clustered telomeres, and perinuclear localization (17)(18)(19)(20). Perinuclear localization appears to be necessary, albeit not sufficient, for silencing (21). Current models propose a stepwise formation of telomeric heterochromatin (2, 4, 22). Rap1 binds to telomeric Rap1-binding sites and recruits Sir4. Sir4 recruits Sir3 and the NAD-dependent histone deacetylase Sir2. Sir2 deacetylates histone H4 at Lys-16, which allows Sir3 binding to nucleosomes. Sir3 recruits more Sir4 onto nucleosomes, and the process is repeated as the SIR complex spreads along chromatin away from the initiation site (23, 24). In addition, telomeric chromatin appears to be further stabilized by folding back of the telomere, which allow...