Drosophila Armadillo and its vertebrate homolog beta-catenin are key effect
ors of Wingless/Wnt signaling. In the current model, Wingless/Wnt signal st
abilizes Armadillo/beta-catenin, which then accumulates in nuclei and binds
TCF/LEF family proteins, forming bipartite transcription factors which act
ivate transcription of Wingless/Wnt responsive genes. This model was recent
ly challenged. Overexpression in Xenopus of membrane-tethered beta-catenin
or its paralog plakoglobin activates Wnt signaling, suggesting that nuclear
localization of Armadillo/beta-catenin is not essential for signaling. Tet
hered plakoglobin or beta-catenin might signal on their own or might act in
directly by elevating levels of endogenous beta-catenin, We tested these hy
potheses in Drosophila by removing endogenous Armadillo. We generated a ser
ies of mutant Armadillo proteins with altered intracellular localizations,
and expressed these in wild-type and armadillo mutant backgrounds. We found
that membrane-tethered Armadillo cannot signal on its own; however it can
function in adherens junctions. We also created mutant forms of Armadillo c
arrying heterologous nuclear localization or nuclear export signals, Althou
gh these signals alter the subcellular localization of Arm when overexpress
ed in Xenopus, in Drosophila they have little effect on localization and on
ly subtle effects on signaling. This supports a model in which Armadillo's
nuclear localization is key for signaling, but in which Armadillo intracell
ular localization is controlled by the availability and affinity of its bin
ding partners.