Peroxiredoxins are ubiquitous enzymes which protect cells against oxidative stress. The first step of catalysis is common to all peroxiredoxins and results in oxidation of a conserved peroxidatic cysteine residue to sulfenic acid. This forms an intermolecular disulfide bridge in the case of 2-Cys peroxiredoxins, which is a substrate for the thioredoxin system. 1-Cys Prx's contain a peroxidatic cysteine but do not contain a second conserved cysteine residue, and hence the identity of the in vivo reduction system has been unclear. Here, we show that the yeast mitochondrial 1-Cys Prx1 is reactivated by glutathionylation of the catalytic cysteine residue and subsequent reduction by thioredoxin reductase (Trr2) coupled with glutathione (GSH). This novel mechanism does not require the usual thioredoxin (Trx3) redox partner of Trr2 for antioxidant activity, although in vitro assays show that the Trr2/Trx3 and Trr2/GSH systems exhibit similar capacities for supporting Prx1 catalysis. Our data also indicate that mitochondria are a main target of cadmium-induced oxidative stress and that Prx1 is particularly required to protect against mitochondrial oxidation. This study demonstrates a physiological reaction mechanism for 1-Cys peroxiredoxins and reveals a new role in protection against mitochondrial heavy metal toxicity.All aerobic organisms are exposed to reactive oxygen species (ROS) during the course of normal aerobic metabolism or following exposure to radical-generating compounds. ROS cause wide-ranging damage to macromolecules, which can result in genetic degeneration, physiological dysfunction, and eventual cell death (18,19). Sulfhydryls play a key role in the response to oxidative stress, regulated primarily by the glutathione (GSH)/glutaredoxin and thioredoxin systems (9,19,42,44). These redox systems were originally identified as hydrogen donors for ribonucleotide reductase, but they also act upon metabolic enzymes that form a disulfide as part of their catalytic cycle. They have proposed roles in diverse processes, including protein folding and regulation, reduction of dehydroascorbate, repair of oxidatively damaged proteins, and sulfur metabolism (20,42). Glutaredoxins and thioredoxins are structurally and functionally conserved. Despite this considerable functional overlap, they are differentially regulated. The oxidized disulfide form of thioredoxin is reduced directly by NADPH and thioredoxin reductase, whereas glutaredoxin is reduced by GSH using electrons donated by NADPH via GSH reductase. The two systems are therefore thermodynamically linked, as each uses NADPH as a source of reducing equivalents.During respiration, mitochondria are the primary source of ROS in the cell, and complex III of the respiratory chain is responsible for approximately 80% of ROS production (4, 5). Mitochondrial ROS cause wide-ranging damage to various cellular organelles and tissues and have been implicated in a number of disease processes. Not surprisingly, therefore, mitochondrial thiols are major ROS targets, a fact which...