Streptomyces strain 1043 was isolated from a soil sample collected in Hangzhou. The strain may produce two antibiotics--Actinospectacin and Streptovaricin. Its aerial mycelia are apricot orange to carnelian red on most media. An outstanding characteristic of 1043 strain is the development of pigment granules in both vegetative and aerial mycelia. Its culture and physiological characteristicus were found to resemble those of Streptomyces spectabilis. Streptomyces strain 1043 was named Streptomyces spectabilis 1043.