Careful functional dissection of mouse neuromuscular junctions (NMJs) formed in the absence of NCAM reveal that in spite of relatively normal morphology and ultrastructure, the presynaptic terminals have profound alterations in the mechanisms of recycling of synaptic vesicles. These alterations, including the appearance of a brefeldin-sensitive pathway, leave synaptic transmission impaired for certain types of activity. NCAMs thus appear to play a critical role in the molecular organization and function of synaptic terminals.