The linear, double-stranded DNA genome of vaccinia virus contains covalently closed hairpin termini. These hairpin termini comprise a terminal loop and an A؉T-rich duplex stem that has 12 extrahelical bases. DeMasi et al. have shown previously that proteins present in infected cells and in virions form distinct complexes with the telomeric hairpins and that these interactions require the extrahelical bases. The vaccinia virus I6 protein was identified as the protein showing the greatest specificity and affinity for interaction with the viral hairpins (J. DeMasi, S. Du, D. Lennon, and P. Traktman, J. Virol. 75:10090-10105, 2001). To gain insight into the role of I6 in vivo, we generated eight recombinant viruses bearing altered alleles of I6 in which clusters of charged amino acids were changed to alanine residues. One allele (temperature-sensitive I6-12 [tsI6-12]) conferred a tight ts phenotype and was used to examine the stage(s) of the viral life cycle that was affected at the nonpermissive temperature. Gene expression, DNA replication, and genome resolution proceeded normally in this mutant. However, proteolytic processing of structural proteins, which accompanies virus maturation, was incomplete. Electron microscopic studies confirmed a severe block in morphogenesis in which immature, but no mature, virions were observed. Instead, aberrant spherical virions and large crystalloids were seen. When purified, these aberrant virions were found to have normal protein content but to be devoid of viral DNA. We propose that the binding of I6 to viral telomeres directs genome encapsidation into the virus particle.Vaccinia virus, the prototypic member of the Poxvirus family, contains a 192-kb double-stranded DNA genome encoding approximately 200 proteins involved in DNA replication, gene expression, morphogenesis, and virus-host interaction (reviewed in reference 27). The genome is a linear duplex with covalently closed hairpin termini. These termini exist in two 104-nucleotide (nt) isoforms (termed flip and flop) which are inverted complements of one another (2, 3). The hairpin comprises a 4-nt terminal loop and a 44-bp highly AϩT-rich duplex stem with 12 extrahelical bases, 10 on one strand and 2 on the other. Extrahelical bases in the termini are maintained during the viral life cycle in all poxviruses, although the positions and numbers of extrahelical bases differ.We have hypothesized that the viral telomeres play a role in DNA replication. The current replication model proposes that a nick proximal to the terminus is introduced, exposing a 3Ј hydroxyl group that serves as the primer terminus for the initiation of DNA synthesis (reviewed in reference 35). Evidence supporting this model was obtained by labeling synchronized infections with [ 3 H]thymidine; radiolabel was first incorporated within 200 bp of the telomere region (30, 31). Additional evidence was provided by studies in our laboratory that used a minichromosome replication assay (8). Minichromosomes contain a plasmid-derived stuffer sequence flanked by ...