A strain of E. coli deficient in adenyl cyclase activity has been isolated. This strain neither ferments nor grows on lactose, maltose, arabinose, mannitol or glycerol, and ferments weakly and grows slowly on glucose, fructose and galactose. Cyclic AMP restores the normal utilization of all of these carbon sources. The mutant makes very little β-galactosidase in the absence of cyclic AMP. It is concluded that cyclic AMP is necessary for the normal utilization of a number of carbon sources by E. coli, because it is required for the synthesis of enzymes involved in their metabolism. © 1969.