Major histocompatibility complex (MHC) encoded antigens, absent or present at only low levels in normal brain tissue, are induced locally around axotomized motor neurons. We here report that immunoreactivity for the potent MHC-inducing factor, gamma-interferon (IFN-gamma), appears in the cytoplasm of such neurons. Rat facial nerves were interrupted (crushed or cut), and later, at various intervals, cryosections from the facial nuclei were subjected to immunohistochemistry with monoclonal antibodies reacting with IFN-gamma and MHC antigens. IFN-gamma-like immunoreactivity appeared briskly in the cytoplasm of the axotomized motor neurons. The immunoreactivity subsided after a nerve crush as the target muscles were reinnervated, but persisted when nerve regeneration was prevented after a nerve cut. These results point to a role for nerve cell-derived IFN-gamma-like molecules in eliciting the neural cell responses to axotomy.