The P/CAF protein has intrinsic histone acetyltransferase (HAT) activi
ty and is capable of binding the transcriptional co-activator CBP. Her
e we show that P/CAF can regulate transcription and that this function
is independent of its binding to CBP. The HAT domain of P/CAF has tra
nscriptional activation potential in yeast. In mammalian cells P/CAF c
an stimulate transcription of the RSV promoter, using the activity of
its HAT domain. We show that the adenovirus protein E1A targets P/CAF
and sequesters its transcriptional activity. Binding of E1A to P/CAF i
s direct, independent of CBP and requires residues within E1A conserve
d region 1. We find that the P/CAF binding residues in E1A are within
a motif shown to be essential for efficient disruption of myogenesis b
y E1A. The fact that E1A can directly bind and regulate the activity o
f P/CAF, independently of its regulation of CBP, highlights an importa
nt role for P/CAF in the process of cell differentiation.