In neuropathological conditions such as Alzheimer's disease, Parkinson's disease, AIDS dementia complex and multiple selerosis, activation of microglial cells and astroglial cells is evident. Under these neuropathological conditions cellular damage in the brain is considered to arise indirectly from cytotoxic substances produced by activated glial cells. One of these toxins is NO which has been demonstrated to be produced during several neuropathological conditions. High NO levels are produced by glial cells and exert neurotoxic effects. Astroglial cells and microglial cells communicate in various ways to reduce NO production by microglial cells which is essential to maintain homeostasis in the brain. The production of TGFβ by glial cells and its activation by astrocyte-derived tPA represents one mechanism by which astroglia limit NO production in the brain.