The ultrastructural changes of the cardiac ganglion and granule-containing cells in the heart of vacor-induced diabetic Mongolian gerbils were studied by electron microscopy. After one month of vacor-induced diabetes the ganglion cells showed increase in numbers of dense bodies and mitochondria compared with the normal cardiac ganglion. Most of the satellite cells were filled with numerous phagosomes containing digested debris. Both electron-dense and lucent types of degenerating axon terminals were observed. The former was characterized by clusters of agranular vesicles and numerous mitochondria. The electron lucent type of degenerating axon terminal contained a few agranular vesicles and swollen mitochondria. Degenerating unmyelinated and myelinated axons contained large numbers of dense bodies, lamellar bodies, and mitochondria. Numerous macrophages containing phagosomes were reveled in the interstitial spaces. Some of the granule-containing cells in the heart showed a variety of degenerative changes and a decreased number of dense-cored vesicles. After three months of vacor-induced diabetes the unmyelinated and myelinated axons showed degenerative changes, whereas no structure changes could be demonstrated in intraatrial ganglion and granule containing cells. The satellite cells containing engulfed debris were observed in the cardiac ganglion cells. These results suggest that the degenerative changes occur in the cardiac ganglion cells of vacor-induced diabetic Mongolian gerbils as well as atrial granule-containing cells.