The inoculation of newborn W/F, Lew, AS and DA rats with Gross murine leukemia virus (G-MuLV) resulted in the prompt appearance of cells with viral protein antigens (VPA) on their surfaces. These were first found in the bone marrow and spleen and later in the thymus gland. As the animals developed, the VPA-positive population expanded and the intensity of the fluorescence increased. In the spleen, the cells with the strongest fluorescence had the properties of T-cells, but in both spleen and bone marrow low levels of VPA were found on non-T-cells. The VPA-positive population expanded long before malignant cells could be detected and, in most animals, the entire T-cell compartment became antigen-positive. These animals were unable to respond to G-MuLV antigens and many eventually developed leukemia. However, some animals apparently broke the tolerance that followed neonatal infection and eliminated VPA-positive cells from their tissues