The Pax genes encode a set of transcriptional regulators involved in s
everal developmental processes. They are characterized by the presence
of the paired domain (PD), a DNA binding domain composed of two Helix
-Turn-Helix (HTH) motifs, the PAI and RED domains. Some Pax proteins c
ontain a third HTH DNA binding motif, the homeodomain (HD). Since all
PDs recognize highly related DNA sites, and since all HDs recognize a
common TAAT sequence, it has been difficult to understand how these pr
oteins achieve their functional specificity. Here, we describe how dif
ferent Pax proteins use multiple combinations of their DNA binding mot
ifs to target different promoters. In vitro, the Drosophila paired pro
tein can bind either through its PAI domain, through its HD via cooper
ative dimerization, or through both domains. In vivo, using a transgen
ic rescue assay, we show that prd function requires the synergistic ac
tion of both the PAI domain and the HD on abutted PD and HD sites. Sur
prisingly, the RED domain, although conserved, can be deleted without
loss of viability. This is in contrast to other Pax proteins that requ
ire both PAI and RED domains. Furthermore, specific isoforms of Pax6 a
s well as a ne iv Pax protein, Lune, may rely on the RED domain alone.
Finally, we propose that Pax6 may also act through its HD alone on a
series of highly conserved palindromic TAAT sites found in all rhodops
in promoters. This may represent the ancient function of this master r
egulator of eye development before it acquired a PD.