This study examined the effects of stria terminalis (ST) lesions on glucocorticoid-induced modulation of memory formation for inhibitory avoidance training and spatial learning in a water maze. Systemic (s.c.) posttraining injections of the glucocorticoid receptor agonist dexamethasone (0.3 or 1.0 mg/kg) enhanced memory for inhibitory avoidance training in rats with sham ST lesions. Removal of the adrenal glands (adrenalectomy; ADX) significantly impaired spatial memory in a water maze, and immediate posttraining injections of dexamethasone (0.3 mg/kg) attenuated the memory impairment. Bilateral lesions of the ST did not significantly affect retention of these two tasks. However, ST lesions did block the effects of short-term ADX and dexamethasone administration on memory for both tasks. These results are similar to those of previous experiments examining the effects of lesions of the basolateral nucleus of the amygdala on the glucocorticoid-induced modulation of memory for both tasks. These findings suggest that the integrity of the ST, which connects the amygdala with other brain structures, is essential for the modulating effects of glucocorticoids on memory storage.