The complete nucleotide sequence of a mouse retro-element is presented. The cloned element is composed of 4,834 base pairs (bp) with long terminal repeats of 568 bp separated by an internal region of 3,698 bp. The element did not appear to have any open reading frames that would be capable of encoding the functional proteins that are normally produced by retro-elements. However, some regions of the genome showed some homology to retroviral gag and pol open reading frames. There was no region in VL30 corresponding to a retroviral env gene. This implies that VL30 is related to retrotransposons rather than to retroviruses. The sequence also contained regions that were homologous to known reverse transcriptase priming sites and viral packaging sites. These observations, combined with the known transcriptional capacity of the VL30 promoter, suggest that VL30 relies on protein functions of other retro-elements, such as murine leukemia virus, while maintaining highly conserved cis-active promoter, packaging, and priming sites necessary for its replication and cell-to-cell transmission.The mouse VL30 elements are a family of dispersed retroviruslike DNA sequences that are present at about 200 copies per genome (24,25). A typical element is 5.0 to 6.0 kilobases (kb) in length (8, 19) with long terminal repeats (LTRs) of about 570 nucleotides (Fig. 1) that resemble the LTRs of retroviruses (4,22,33). VL30 elements fall into a broader class of murine sequences that constitutes a significant proportion of the mouse genome and includes the genomes of intracisternal A-type particles (1APs) (1,000 copies per genome) (29, 34) and the "early" transposons (300 to 500 copies per genome) (23). Structurally, these resemble eucaryotic retroviral proviruses and the retrotransposons of other eucaryotes, such as the Ty elements of yeasts (1, 16) and the copia-like elements of Drosophila spp. (31). Recent sequence information (29, 34) has shown that IAPs are most properly regarded as defective retroviruses. The status of VL30 elements is currently unknown.The major VL30 transcript is a characteristic 30S RNA which is expressed at relatively high levels and in a variety of cell types (2,7,21,26). This RNA varies between different elements but starts in the 5' LTR and terminates in the 3' LTR, so that it has a retroviruslike terminal redundancy (33). Recently, a number of VL30 LTRs were sequenced and shown to possess a typical retrovirus U3-R-U5 structure. Upstream of the RNA start site is a potential enhancer region that has homology with the murine sarcoma virus (MSV) enhancer (19) or the simian virus 40 (SV40) enhancer (33). Different LTRs have been shown to be transcriptionally active, although the efficiency varies between elements (41), possibly -reflecting differences in LTR structure. No VL30