These results indicate that two distinct enzymes are necessary for phosphatidic acid synthesis in lipid particles: the first step, acylation of glycerol-3-phosphate, is catalyzed by a putative Gat1p; the second step, acylation of lysophosphatidic acid, requires Slc1p. Surprisingly, YMN5 and TTA1 mutants grow like the corresponding wild types because the endoplasmic reticulum of both mutants has the capacity to form a reduced but significant amount of phosphatidic acid. As a consequence, an slc1 gat1 double mutant is also viable. Lipid particles from this double mutant fail completely to acylate glycerol-3-phosphate, whereas endoplasmic reticulum membranes harbor residual enzyme activities to synthesize phosphatidic acid. Thus, yeast contains at least two independent systems of phosphatidic acid biosynthesis.Phosphatidic acid is a key intermediate in the formation of glycerophospholipids and triacylglycerols. Two pathways of phosphatidic acid biosynthesis using either glycerol-3-phosphate or dihydroxyacetone phosphate as a substrate are being discussed (3). In the first pathway, glycerol-3-phosphate is stepwise acylated to lysophosphatidic acid and then to phosphatidic acid. In the second pathway, dihydroxyacetone phosphate is first acylated to acyl dihydroxyacetone phosphate, which is subsequently reduced in an NADPH-dependent reaction to lysophosphatidic acid (1, 16) and further converted to phosphatidic acid in a second acylation step. At present it is not known which of these two pathways is followed in vivo and whether enzymes that catalyze the acylation of glycerol-3-phosphate also accept dihydroxyacetone phosphate as a substrate and vice versa (16,22,23).In mammalian cells, phosphatidic acid is synthesized from glycerol-3-phosphate by two acyltransferase reactions catalyzed sequentially by glycerol-3-phosphate acyltransferase and 1-acylglycerol-3-phosphate acyltransferase. Two isoforms of glycerol-3-phosphate acyltransferases are postulated to exist in mammalian cells-one in mitochondria and the other in the endoplasmic reticulum (2). The mitochondrial glycerol-3-phosphate acyltransferase with a molecular mass of 85 kDa has been purified (28), and its cDNA has been cloned (26). The mitochondrial enzyme prefers palmitoyl coenzyme A (palmitoyl-CoA) over oleoyl-CoA as a substrate. The glycerol-3-phosphate acyltransferase of the endoplasmic reticulum has no preference for saturated or unsaturated acyl-CoAs. The activity of the second acyltransferase, 1-acylglycerol-3-phosphate acyltransferase, is ϳ10 times higher in the endoplasmic reticulum than in mitochondria (2, 9).