In an attempt to understand the molecular mechanism of microglial activation in response to neuronal death or degeneration, we have employed cerebellar cell cultures prepared from P7 rats and grown in normal K + (5.4 mM) medium. Under this condition, glial cells respond to degeneration and cell death of granule neurons that begins to occur at 4 days in vitro (DIV). Here we describe a novel gene, granule cell death-10 (gcd-10) that is expressed in microglia and up-regulated in an early period of granule cell death. gcd-10 is homologous to the mouse lysosomal-associated multispanning membrane protein (LAPTm5) with hematopoietic origin. Immunocytochemistry and vital staining with acridine orange revealed that GCD-10 was localized at the perinuclear area of cultured microglia and COS 1 cells infected with a GCD-10-expressing adenoviral vector. In cerebellar cell cultures, however, GCD-10 was markedly up-regulated and widely distributed to the cytoplasm, which paralleled the localization of the ED1 antigen, the lysosomal marker. In vivo, gcd-10 is expressed mainly in the brain and the spleen, and was up-regulated upon nerve injury in retina 7 days after optic nerve transection. These findings suggest that gcd-10 is involved in the dynamics of lysosomal membranes associated with microglial activation both in vitro and in vivo.