Abstract INTRODUCTION: Pancreatic ductal adenocarcinoma (PDAC) is a lethal malignancy characterized by stromal inflammation and T-cell dysfunction. Neutrophilic/granulocytic myeloid-derived suppressor cells (gMDSC) infiltrate early in PDAC development and contribute to a highly immunosuppressive tumor microenvironment (TME). We have previously shown that gMDSC-derived tumor necrosis factor (TNF) is a novel regulator of therapeutic resistance in the PDAC TME, and pharmacological targeting of transmembrane (tm)TNF-TNFR2 signaling can reprogram the TME to improve chemosensitivity. Here we dissect the functional consequences of gMDSC-derived tmTnf on cancer-associated fibroblast (CAF) skewness and CD8+ T-cell function. METHODS: To assess global effects of tmTNF in orthotopically and subcutaneously injected KPC models of PDAC, we compared T-cell/CAF phenotypes in littermate vs transgenic mice overexpressing exclusively tmTnf (tmTnfOE)—in which site-directed mutagenesis of TNF cleavage sites renders tmTNF uncleavable, resulting in systemically overexpressed tmTNF signaling. To investigate effects of gMDSC-derived tmTnf in vitro, J774M cells that phenocopy gMDSCs were engineered to overexpress exclusively tmTnf (J-tmTnfOE) or wild-type Tnf (J-TnfWT) following CRISPR/cas9 silencing of endogenous Tnf (J-TnfKO). These cells were co-cultured with dual reporter CAFs (Il6GFP=inflammatory iCAF; Acta2dsRed=myofibroblastic myCAF) and CD8+ T-cells followed by cell trace violet proliferation assay, flow cytometry phenotyping, and IFNγ ELISA. RESULTS: Compared to littermate controls, flank and orthotopic KPC tumor-bearing tmTnfOE mice displayed accelerated tumor kinetics and volume, respectively, as well as increase in stromal fibrosis and collagen deposition (Trichrome/Sirius Red). Flow cytometric phenotyping revealed increased proportion of iCAF (PDPN+Ly6C+) vs myCAF (PDPN+Ly6C-) in tmTNFOE vs littermate mice. Moreover, intratumoral gMDSCs isolated from tmTNFOE mice augmented CAF-Il6GFP:Acta2dsRed ratios ex vivo. CD8+ T-cell phenotyping revealed higher proportions of CD39+Ly108- dysfunctional and KLRG1+CD127- short-lived effector T-cells (SLEC), with concurrent reduction in CD127+KLRG1- memory progenitor effector T-cells (MPEC), in tmTnfOE compared with littermate tumors. Using confocal microscopy in vitro, we confirmed that transmembrane sequestration of Tnf was more pronounced in J-tmTNFOE vs J-TnfWT, with complete loss of subcellular Tnf in J-TnfKO cells. To define the precise contribution of gMDSC-tmTNF on CAF/T-cell skewness, co-culture of J-tmTnfOE with dual-reporter CAFs resulted in striking induction in CAF-Il6GFP compared with J-TnfKO-CAF co-cultures. Moreover, J-tmTnfOE significantly restrained CD8+ T-cell proliferation, MPEC differentiation, and IFN-γ release relative to J-TnfKO. CONCLUSIONS: gMDSC-tmTnf is a central regulator of inflammatory CAF polarization and CD8+ T-cell dysfunction in PDAC. Selective pharmacologic or genetic strategies to disrupt gMDSC-tmTNF derived signaling in the TME may improve chemoimmunotherapy sensitivity in PDAC. Citation Format: Andrew M Adams, Haleh Amirian, Christine I Rafie, Karthik Rajkumar, Erin Dickey, Harper M Marsh, Manan Patel, Siddharth Mehra, Nagaraj Nagathihalli, Nipun Merchant, Yoon S Yap, Luisa Cimmino, Erietta Stelekati, Anna Bianchi, Jashodeep Datta. MDSC-derived transmembrane TNF is a central regulator of stromal inflammation and T-cell dysfunction in pancreatic cancer [abstract]. In: Proceedings of the AACR Special Conference in Cancer Research: Advances in Pancreatic Cancer Research; 2024 Sep 15-18; Boston, MA. Philadelphia (PA): AACR; Cancer Res 2024;84(17 Suppl_2):Abstract nr A050.