The Saccharomyces cerevisiae gene SYR2, necessary for growth inhibition by the cyclic lipodepsipeptide syringomycin E, is shown to be required for 4-hydroxylation of long chain bases in sphingolipid biosynthesis. Four lines of support for this conclusion are presented: (a) the predicted Syr2p shows sequence similarity to diiron-binding membrane enzymes involved in oxygendependent modifications of hydrocarbon substrates, (b) yeast strains carrying a disrupted SYR2 allele produced sphingoid long chain bases lacking the 4-hydroxyl group present in wild type strains, (c) 4-hydroxylase activity was increased in microsomes prepared from a SYR2 overexpression strain, and (d) the syringomycin E resistance phenotype of a syr2 mutant strain was suppressed when grown under conditions in which exogenous 4-hydroxysphingoid long chain bases were incorporated into sphingolipids. The syr2 strain produced wild type levels of sphingolipids, substantial levels of hydroxylated very long chain fatty acids, and the full complement of normal yeast sphingolipid head groups. These results show that the SYR2 gene is required for the 4-hydroxylation reaction of sphingolipid long chain bases, that this hydroxylation is not essential for growth, and that the 4-hydroxyl group of sphingolipids is necessary for syringomycin E action on yeast.Syringomycin E is a member of a family of cyclic lipodepsipeptides produced by strains of the plant bacterium Pseudomonas syringae pv. syringae (1). Traditionally regarded as a virulence factor in a variety of bacterial necrotic diseases of plants (2), syringomycin E and its analogs also possess antifungal properties, and it has been suggested that these metabolites are fungal antagonists that aid survival of the producing bacteria on plants (3, 4).How these compounds produce their toxic effects is unknown, but past physiological studies have shown that syringomycin E targets primarily the plasma membrane (1, 5, 6). To further investigate the molecular mechanisms of action of this bioactive compound, resistant mutants of Saccharomyces cerevisiae were isolated to identify genes that encode proteins necessary for growth inhibition by syringomycin E (7). Several of the mutants were deficient in sterols, and one group was complemented by the gene SYR1 (identical to ERG3), which encodes sterol C-5,6 desaturase of the ergosterol biosynthetic pathway (8). These findings, when combined with results from binding (9) and lipid bilayer (10) studies, indicate that sterols influence the interaction of syringomycin E with the target plasma membrane.Syringomycin E action in yeast was more recently shown to require a second, nonsterol biosynthetic gene, SYR2 (11). SYR2 is identical to SUR2, which was identified in a screen for mutants that suppress the impaired recovery of rvs161 strains from nutritional starvation (12). Syringomycin E-resistant syr2 mutants showed altered glycerophospholipid levels, and the SYR2 gene product was localized to the endoplasmic reticulum (11). Nevertheless, the precise function of Syr2p was ...