Twining characters and orbit Lie algebras

We associate to outer automorphisms of generalized Kac-Moody algebras generalized character-valued indices, the twining characters. A character formula for twining characters is derived which shows that they coincide with the ordinary characters of some other generalized Kac-Moody algebra, the so-called orbit Lie algebra. Some applications to problems in conformal field theory, algebraic geometry and the theory of sporadic simple groups are sketched.