Growth hormone controls many facets of a cell's biology through the transcription factors Stat5a and Stat5b (Stat5). However, whole body deletion of these genes from the mouse does not provide portentous information on cell-specific cytokine signaling. To explore liver-specific functions of Stat5, the entire Stat5 locus was deleted in hepatocytes using Cre-mediated recombination. Notably, Stat5-mutant mice developed fatty livers and displayed impaired proliferation of hepatocytes upon partial hepatectomy (PHx). Loss of Stat5 led to molecular consequences beyond the reduced expression of Stat5 target genes, such as those encoding suppressor of cytokine signaling 2 (SOCS2), Cish, and insulin-like growth factor 1 (IGF-1). In particular, circulating growth hormone levels were increased and correlated with insulin resistance and increased insulin levels. Aberrant growth hormone (GH)-induced activation of the transcription factors Stat1 and Stat3 was observed in mutant livers. To test whether some of the defects observed in liver-specific Stat5 deficient mice were due to aberrant Stat1 expression and activation, we generated Stat1 ؊/؊ mice with a hepatocyte-specific deletion of Stat5. Mouse genetics has been employed to dissect the degree to which GH signals through its downstream mediators Stat5 and IGF-1. Inactivation of the GHR gene results in severe postnatal growth retardation, greatly decreased levels of IGF-1, and elevated levels of circulating GH. 1,2 The transcription factors Stat5a and Stat5b are highly conserved and serve overlapping and mostly redundant roles. However, pubertal growth of Stat5b Ϫ/Ϫ males, but not females, is reduced. 3,4 In contrast, normal body growth was observed in both Stat5a Ϫ/Ϫ males and females. 4,5 The complete deletion of the entire Stat5a/b locus resulted in perinatal lethality, 6 suggesting that Stat5 has a more important role than previously considered.It can be hypothesized that the loss of Stat5 will alter the physiology of a cell, because it also controls the transcription of genes encoding suppressor of cytokine signaling 2 (SOCS2) and SOCS3, which are negative regulators of cytokine signaling. Moreover, loss of Stat5 would result in vacant recruitment sites on receptors, which could lead to the activation of other STATs and their downstream targets. To further explore the complexity of the GHStat5 regulatory network in liver, we deleted the Stat5 locus specifically in hepatocytes using Cre-mediated re-