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Fetal mouse pancreatic isotransplantation was performed in CBA mice, previously made diabetic with streptozotocin. Either 17- or 12-day-old fetal tissue was used, either uncultured or after 14 days in organ culture. Grafts were placed under the renal capsule, and their effect on fasting blood glucose levels was assessed over a 10-week postgraft period. The grafts and the host pancreas were then examined by light microscopy. Uncultured 12- and 17-day fetal pancreases produced poorly developed grafts with small islets, numerous ducts, and copious adipose tissue. By contrast, if organ cultured for 14 days before transplantation, both 12- and 17-day tissue resulted in large grafts composed predominantly of well-stained islet cells, few ducts, and little connective and adipose tissue. The most functionally effective grafts were derived from cultured 17-day pancreas, and a single graft per recipient always ameliorated diabetes. By contrast, grafts from single or multiple uncultured 12-day pancreases did not function, but, after culture, grafts derived from three (but not from one) 12-day pancreas lowered blood glucose levels to almost normal levels. It is concluded that grafts of fetal mouse pancreas can function in experimental diabetes provided they are first cultured and are of adequate gestational age.