The disaccharide trehalose is produced in large quantities by diverse
organisms during a variety of stresses. Trehalose prevents proteins fr
om denaturing at high temperatures in vitro, but its function in stres
s tolerance in vivo is controversial. We report that trehalose stabili
zes proteins in yeast cells during heat shock. Surprisingly, trehalose
also suppresses the aggregation of denatured proteins, maintaining th
em in a partially-folded state from which they can be reactivated by m
olecular chaperones. The continued presence of trehalose, however, int
erferes with refolding, suggesting why it is rapidly hydrolyzed follow
ing heat shock. These findings reconcile conflicting reports on the ro
le of trehalose in stress tolerance, provide a novel tool for accessin
g protein folding intermediates, and define new parameters for modulat
ing stress tolerance and protein aggregation.