Heme metabolism was examined in bone marrow and hepatic cells from iron-deficient and chronically iron-overloaded rats. Results indicate that the rate limiting enzymes delta-aminolevulinic acid synthase (ALAS) and heme oxygenase were significantly elevated in the iron-overloaded hepatic and bone marrow cells and near normal levels in cells from iron-deficient rats. Conversely, delta-aminolevulinic acid dehydrase (ALAD) was depressed in iron-overloaded cells and elevated in iron-deficient cells. Erythroid colony (CFU-E) cultures demonstrated that iron-overloaded bone marrow cells were poor hemin and CFU-E responders in vitro, whereas iron-deficient marrows grew exuberant numbers of CFU-E and responded to hemin. Succinylacetone (1 mM) inhibited ALAD activity and normal CFU-E growth, and CFU-E inhibition by succinylacetone was completely overcome by the addition of hemin. Results are discussed with respect to the regulation of hepatic and bone marrow heme metabolism in abnormal iron states and the possible role of iron in the induction of heme oxygenase in chronic iron overload.