Dpc4 (Smad4) is implicated in mediation of signals from transforming g
rowth factor (TGF) beta and related ligands, and wild-type Dpc4 mediat
es TGF-beta-stimulated gene transcription at specific DNA sequences bo
und by Dpc4 [Smad binding element (SBE)]. We characterized panels of D
PC4 tumor mutations and cancer cell lines. Amino acid substitutions wi
thin the NH2-terminal third of Dpc4 weakened or ablated SBE-mediated g
ene regulation by a disruption of DNA binding. An interaction of the C
OOH-terminal end with the DNA-binding domain of Dpc4 was evident but w
as not required to explain the functional impairment produced by NH2-t
erminal DPC4 mutations, Both substitution and truncation mutations of
the COOH-terminal half of DPC4 lacked the ability to regulate transcri
ption while retaining the sequence-specific DNA-binding function, but
through differing mechanisms. A modular domain to redistribute Dpc4 to
the nuclear compartment allowed SBE-mediated transcriptional activati
on in a cell line having a TGF-beta receptor defect and was sufficient
to restore SBE-mediated transactivation ability to COOH-terminal DPC4
missense mutants. Cells harboring DPC4 alterations had a universal im
pairment of the TGF-beta-stimulated SBE transcriptional response. Thes
e studies identify the loss of SBE-mediated gene regulation as a unifo
rm outcome of the selection for DPC4 alterations during tumorigenesis.
They raise the possibility of restoration of some Dpc4-associated tra
nscriptional events in cancer cells through the targeted redistributio
n of wild-type and some missense mutant forms of Dpc4 to the nucleus.