Organelles of the yeast Saccharomyces cerevisiae were isolated and analyzed for sterol composition and the activity of three enzymes involved in sterol metabolism. The plasma membrane and secretory vesicles, the fractions with the highest sterol contents, contain ergosterol as the major sterol. In other subcellular membranes, which exhibit lower sterol contents, intermediates of the sterol biosynthetic pathway were found at higher percentages. Lipid particles contain, in addition to ergosterol, large amounts of zymosterol, fecosterol, and episterol. These sterols are present esterified with long-chain fatty acids in this subcellular compartment, which also harbors practically all of the triacylglycerols present in the cell but very little phospholipids and proteins. Sterol A4-methyltransferase, an enzyme that catalyzes one of the late steps in sterol biosynthesis, was localized almost exclusively in lipid particles. Steryl ester formation is a microsomal process, whereas steryl ester hydrolysis occurs in the plasma membrane and in secretory vesicles. The fact that synthesis, storage, and hydrolysis of steryl esters occur in different subcellular compartments gives rise to the view that ergosteryl esters of lipid particles might serve as intermediates for the supply of ergosterol from internal membranes to the plasma membrane.Lipid transport in eukaryotic cells is an essential process, because synthesis of lipids is restricted to certain organelles, whereas lipids are required as constitutive components of all subcellular membranes (3, 37). Lipid migration must be efficiently regulated, because lipids are not randomly distributed among subcellular membranes. In fact, certain lipids are characteristic for specific membranes, e.g., cardiolipin for the inner mitochondrial membrane (6) and sterols (15, 41) and sphingolipids (15, 24) for the plasma membrane. Possible mechanisms of lipid transport are spontaneous or proteincatalyzed transfer of lipid monomers between membranes, vesicle flow, and membrane contact and fusion (3).Sterols are essential components of the eukaryotic plasma membrane. The mechanism of their transport from internal membranes, where they are synthesized, to the periphery of the cell is still obscure. Vesicle flow as a possible mechanism seems very likely, but the vesicles involved need not be identical to protein secretory vesicles (36). Sterol carrier proteins, which have been shown to stimulate translocation of sterols in vitro, have not been proven to catalyze this process in vivo (1).We have chosen the yeast Saccharomyces cerevisiae as a model cell to study intracellular transport of sterols. The yeast-specific sterol ergosterol is structurally and functionally related to sterols found in higher eukaryotes. Under conditions in which yeast cells cannot produce their own ergosterol, e.g., under anaerobiosis, in auxotrophic mutants, or in the presence of inhibitors of sterol biosynthesis, addition of ergosterol to the growth medium and uptake into cells are essential for cellular growth and pro...