Feathers, which are almost pure keratin protein, are produced in large amounts as a waste by-product at poultry-processing plants. Keratinolytic enzymes may have important uses in biotechnological processes involving keratin-containing wastes from poultry and leather processes. In this study, screening and identification of keratin-degrading bacteria were investigated. Five keratin-degrading bacterial strains (F3-1, F3-4, F7-1, C1-1, C1-2) were isolated from compost and decayed chicken feather. On the basis of morphological, physiological studies, and Biolog system, all isolates were identified as the genus Bacillus. Among them, the strain F7-1 had the highest feather-degrading activity and was selected for further taxonomical study. Phylogenetic analysis of strain F7-1 based on comparison of 165 rDNA sequences revealed that this strain is closely related to Bacillus megaterium.