Siglec-5 (CD170) is a member of the recently described human CD33-related siglec subgroup of sialic acid binding Ig-like lectins and is expressed on myeloid cells of the hemopoietic system. Similar to other CD33-related siglecs, Siglec-5 contains two tyrosine-based motifs in its cytoplasmic tail implicated in signaling functions. To investigate the role of these motifs in Siglec-5-dependent signaling, we used transfected rat basophil leukemia cells as a model system. Tyrosine phosphorylation of Siglec-5 led to recruitment of the tyrosine phosphatases SHP-1 and SHP-2, as seen in both pull-down assays and microscopy. Siglec-5 could efficiently inhibit Fc⑀RI-mediated calcium fluxing and serotonin release after cocross-linking. Surprisingly, a double tyrosine to alanine mutant of Siglec-5 could still mediate strong inhibition of serotonin release in the absence of detectable tyrosine phosphorylation, whereas a double tyrosine to phenylalanine mutant lost all inhibitory activity. In comparison, suppression of Siglec-5-dependent adhesion to red blood cells was reversed by either tyrosine to alanine or tyrosine to phenylalanine mutations of the membrane proximal tyrosine-based motif. Using an in vitro phosphatase assay with synthetic and recombinant forms of the cytoplasmic tail, it was shown that a double alanine mutant of Siglec-5 had weak, but significant SHP-1 activating properties similar to those of wild type, non-phosphorylated cytoplasmic tail, whereas a double phenylalanine mutant was inactive. These findings establish that Siglec-5 can be classified as an inhibitory receptor with the potential to mediate SHP-1 and/or SHP-2-dependent signaling in the absence of tyrosine phosphorylation.Regulation of responses by cells in the hemopoietic and immune systems depends on a balance between activatory signaling and inhibitory signaling. Their relative strengths set an appropriate activation threshold that helps fine-tune the response. Inhibitory signals are typically initiated by receptors containing one or more cytoplasmic immunoreceptor tyrosinebased inhibitory motifs (ITIMs) 1 (1). The consensus sequence for ITIMs is (V/I/L)XYXX(L/V), where X is any amino acid. A recent bioinformatics study showed that the human proteome contains ϳ109 membrane proteins with cytoplasmic ITIMs, and many of these have been shown already to function as inhibitory receptors (2). The established dogma is that Src family tyrosine kinases phosphorylate the tyrosine residue in ITIMs during cellular activation and create high affinity docking sites for SH2 domain-containing phosphatases such as protein-tyrosine phosphatases SHP-1 and SHP-2 and the 5Ј inositol phosphatase, SHIP (1). The recruited and activated phosphatases can then dephosphorylate relevant substrates in the vicinity and regulate cellular activation (3). The human CD33-related siglecs are a recently described subgroup of the siglec family of sialic acid binding immunoglobulin (Ig)-like lectins (4). All eight human CD33-related siglecs are expressed by cells of the hemopoietic...