In response to interferon ␥ (IFN␥), intercellular adhesion molecule-1 (ICAM-1) is expressed on human keratinocytes, a cell type that is critically involved in cutaneous inflammation. An ICAM-1 5 regulatory region palindromic response element, pI␥RE, has been shown to confer IFN␥-dependent transcription enhancement. By electrophoretic mobility shift assays (EMSA), pI␥RE forms a distinct complex with proteins from IFN␥-treated human keratinocytes, termed ␥ response factor (GRF). Binding of GRF is tyrosine phosphorylation-dependent, and mutations of pI␥RE that disrupt the palindromic sequence or alter its spatial relationship abrogate GRF binding. Supershift EMSAs using antibodies to characterized STAT proteins suggest that GRF contains a Stat1␣-like protein; however, non-ICAM-1 IFN␥-responsive elements (REs) known to bind Stat1␣ homodimers fail to compete for GRF binding in EMSA, and pI␥RE does not cross-compete with these REs that complex with homodimeric stat1␣. The pI␥RE⅐GRF complex also displays a distinctly different electrophoretic mobility compared to that of IFN␥REs complexed to homodimeric Stat1␣. These findings indicate that a distinct complex containing a Stat1␣-like protein mediates IFN␥-induced ICAM-1 gene transcription and identifies a subset of IFN␥-responsive genes that appear to be regulated by this complex.