Cycloinulooligosaccharide fructanotransferase (CFTase) converts inulin into cyclooligosaccharides consisting of six to eight molecules $eta$-($2 ightarrow1$)-linked cyclic D-fructofuranose through intramolecular transfructosylation. We have examined the regulation of CFTase synthesis in Bacillus macerans and Bacillus subtilis. Synthesis of the CFTase was induced by inulin and it was subject to carbon catabolite repression (CCR) by glucose in both microorganisms. The DNA sequence upstream of the promoter of the CFTase gene was not involved in the inulin induction and glucose repression of the CFTase gene expression in B. subtilis. This suggests that the DNA element(s) responsible for the inuline induction and glucose repression is located downstream of the promoter region. Unexpectedly, the CCR of the expression of CFTase gene was observed not to be dependent on CcpA protein in B. subtilis.