Although considerable information is currently available about the fac
tors involved in constitutive vertebrate polyadenylation, the factors
and mechanisms involved in facilitating communication between polyaden
ylation and splicing are largely unknown. Even less is known about the
regulation of polyadenylation in genes in which 3'-terminal exons are
alternatively recognized. Here we demonstrate that an SR protein, SRp
20, affects recognition of an alternative 3'-terminal exon via an effe
ct on the efficiency of binding of a polyadenylation factor to an alte
rnative polyadenylation site. The gene under study codes for the pepti
des calcitonin and calcitonin gene-related peptide. Its pre-mRNA is al
ternatively processed by the tissue-specific inclusion or exclusion of
an embedded 3'-terminal exon, exon 4, via factors binding to an intro
nic enhancer element that contains both 3' and 5' splice site consensu
s sequence elements. In cell types that preferentially exclude exon 4,
addition of wild-type SRp20 enhances exon 4 inclusion via recognition
of the intronic enhancer. In contrast, in cell types that preferentia
lly include exon 4, addition of a mutant form of SRp20 containing the
RNA-binding domain but missing the SR domain inhibits exon 4 inclusion
. Inhibition is likely at the level of polyadenylation, because the mu
tant SRp20 inhibits binding of CstF to the exon 4 poly(A) site. This i
s the first demonstration that an SR protein can influence alternative
polyadenylation and suggests that this family of proteins may play a
role in recognition of 3'-terminal exons and perhaps in the communicat
ion between polyadenylation and splicing.