The Drosophila homeodomain protein Even-skipped (Eve) is a well characteriz
ed transcriptional repressor. Here, we show that Eve's ability to function
in vitro is negatively regulated by phosphorylation. DNA-binding activity w
as unaffected by phosphorylation, but phosphorylated Eve was unable to inte
ract with the TATA-binding protein (TBP), a known target for repression. Un
expectedly, phosphorylation of the Eve N terminus, which is dispensable for
repression and TBP binding, was necessary and sufficient to inactivate Eve
. LiCl, which specifically inhibits glycogen synthase kinase-3 (GSK-3), red
uced Eve phosphorylation in nuclear extract and blocked inhibition of repre
ssion. In addition, Eve was phosphorylated and inactivated by purified GSK-
3 beta plus casein kinase II. Our results suggest a novel mechanism of tran
scriptional control involving phosphorylation-induced allosteric interferen
ce with a repressive protein-protein interaction.