diff --git a/.idea/runConfigurations/IDEA.xml b/.idea/runConfigurations/IDEA.xml
index 2cef2c4af8c..2ffc4c90723 100644
--- a/.idea/runConfigurations/IDEA.xml
+++ b/.idea/runConfigurations/IDEA.xml
@@ -1,5 +1,6 @@
 <component name="ProjectRunConfigurationManager">
   <configuration default="false" name="IDEA" type="Application" factoryName="Application">
+    <extension name="coverage" enabled="false" merge="false" sample_coverage="true" runner="idea" />
     <option name="MAIN_CLASS_NAME" value="com.intellij.idea.Main" />
     <option name="VM_PARAMETERS" value="-Xmx500m -XX:ReservedCodeCacheSize=64m -XX:MaxPermSize=250m -ea -Didea.is.internal=true -Didea.debug.mode=true -Didea.system.path=../system-idea -Didea.config.path=../config -Dapple.laf.useScreenMenuBar=true -Dplugin.path=$PROJECT_DIR$/out/artifacts/Kotlin" />
     <option name="PROGRAM_PARAMETERS" value="" />
diff --git a/.idea/runConfigurations/IDEA__No_ProcessCanceledException_.xml b/.idea/runConfigurations/IDEA__No_ProcessCanceledException_.xml
index 70068d677c5..139fb1a265b 100644
--- a/.idea/runConfigurations/IDEA__No_ProcessCanceledException_.xml
+++ b/.idea/runConfigurations/IDEA__No_ProcessCanceledException_.xml
@@ -2,7 +2,7 @@
   <configuration default="false" name="IDEA (No ProcessCanceledException)" type="Application" factoryName="Application">
     <extension name="coverage" enabled="false" merge="false" sample_coverage="true" runner="idea" />
     <option name="MAIN_CLASS_NAME" value="com.intellij.idea.Main" />
-    <option name="VM_PARAMETERS" value="-Xmx500m -XX:ReservedCodeCacheSize=64m -XX:MaxPermSize=250m -ea -Didea.is.internal=true -Didea.debug.mode=true -Didea.system.path=../system-idea -Didea.config.path=../config -Dapple.laf.useScreenMenuBar=true -Dplugin.path=$PROJECT_DIR$/out/artifacts/Kotlin -Didea.ProcessCanceledException=disabled" />
+    <option name="VM_PARAMETERS" value="-Xmx500m -XX:ReservedCodeCacheSize=64m -XX:MaxPermSize=250m -ea -Didea.is.internal=true -Didea.debug.mode=false -Didea.system.path=../system-idea -Didea.config.path=../config -Dapple.laf.useScreenMenuBar=true -Dplugin.path=$PROJECT_DIR$/out/artifacts/Kotlin -Didea.ProcessCanceledException=disabled" />
     <option name="PROGRAM_PARAMETERS" value="" />
     <option name="WORKING_DIRECTORY" value="file://$PROJECT_DIR$/ideaSDK/bin" />
     <option name="ALTERNATIVE_JRE_PATH_ENABLED" value="false" />
diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/resolve/ImportsResolver.java b/compiler/frontend/src/org/jetbrains/jet/lang/resolve/ImportsResolver.java
index 4dbd3fa0a65..9218d720867 100644
--- a/compiler/frontend/src/org/jetbrains/jet/lang/resolve/ImportsResolver.java
+++ b/compiler/frontend/src/org/jetbrains/jet/lang/resolve/ImportsResolver.java
@@ -363,12 +363,14 @@ public class ImportsResolver {
                 return;
             }
 
+            // Simple case of no descriptors
             if (descriptors.isEmpty()) {
                 trace.record(BindingContext.RESOLUTION_SCOPE, referenceExpression, resolutionScope);
                 trace.report(UNRESOLVED_REFERENCE.on(referenceExpression));
                 return;
             }
 
+            // Decide if expression has resolved reference
             if (descriptors.size() == 1) {
                 assert canBeImportedDescriptors.size() <= 1;
                 trace.record(BindingContext.REFERENCE_TARGET, referenceExpression, descriptors.iterator().next());
@@ -377,8 +379,11 @@ public class ImportsResolver {
             else if (canBeImportedDescriptors.size() == 1) {
                 trace.record(BindingContext.REFERENCE_TARGET, referenceExpression, canBeImportedDescriptors.iterator().next());
                 trace.record(BindingContext.RESOLUTION_SCOPE, referenceExpression, resolutionScope);
+            } else {
+                // trace.report(UNRESOLVED_REFERENCE.on(referenceExpression));
             }
 
+            // Check for more information and additional errors
             if (canBeImportedDescriptors.isEmpty()) {
                 assert descriptors.size() >= 1;
                 trace.report(CANNOT_BE_IMPORTED.on(referenceExpression, descriptors.iterator().next()));
diff --git a/idea/testData/refactoring/rename/RenameJavaClass/after/RenameJavaClass.kt b/idea/testData/refactoring/rename/RenameJavaClass/after/RenameJavaClass.kt
new file mode 100644
index 00000000000..6f574fe53c6
--- /dev/null
+++ b/idea/testData/refactoring/rename/RenameJavaClass/after/RenameJavaClass.kt
@@ -0,0 +1,11 @@
+package kotlin.testing
+
+import testing.NewName
+
+class Some : NewName() {
+    val test = NewName()
+
+    fun testFun(param : NewName) : NewName {
+        return test;
+    }
+}
\ No newline at end of file
diff --git a/idea/testData/refactoring/rename/RenameJavaClass/after/testing/NewName.java b/idea/testData/refactoring/rename/RenameJavaClass/after/testing/NewName.java
new file mode 100644
index 00000000000..f2336fa7a82
--- /dev/null
+++ b/idea/testData/refactoring/rename/RenameJavaClass/after/testing/NewName.java
@@ -0,0 +1,5 @@
+package testing;
+
+public class NewName {
+}
+
diff --git a/idea/testData/refactoring/rename/RenameJavaClass/before/RenameJavaClass.kt b/idea/testData/refactoring/rename/RenameJavaClass/before/RenameJavaClass.kt
new file mode 100644
index 00000000000..464b0abbe8a
--- /dev/null
+++ b/idea/testData/refactoring/rename/RenameJavaClass/before/RenameJavaClass.kt
@@ -0,0 +1,11 @@
+package kotlin.testing
+
+import testing.SomeClass
+
+class Some : SomeClass() {
+    val test = SomeClass()
+
+    fun testFun(param : SomeClass) : SomeClass {
+        return test;
+    }
+}
\ No newline at end of file
diff --git a/idea/testData/refactoring/rename/RenameJavaClass/before/testing/SomeClass.java b/idea/testData/refactoring/rename/RenameJavaClass/before/testing/SomeClass.java
new file mode 100644
index 00000000000..a1b502b5d46
--- /dev/null
+++ b/idea/testData/refactoring/rename/RenameJavaClass/before/testing/SomeClass.java
@@ -0,0 +1,5 @@
+package testing;
+
+public class SomeClass {
+}
+
diff --git a/idea/tests/org/jetbrains/jet/plugin/refactoring/rename/RenameInJavaTest.java b/idea/tests/org/jetbrains/jet/plugin/refactoring/rename/RenameInJavaTest.java
new file mode 100644
index 00000000000..ddb2744fec0
--- /dev/null
+++ b/idea/tests/org/jetbrains/jet/plugin/refactoring/rename/RenameInJavaTest.java
@@ -0,0 +1,83 @@
+/*
+ * Copyright 2000-2012 JetBrains s.r.o.
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ * http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+
+package org.jetbrains.jet.plugin.refactoring.rename;
+
+import com.intellij.openapi.fileEditor.FileDocumentManager;
+import com.intellij.openapi.vfs.LocalFileSystem;
+import com.intellij.openapi.vfs.VirtualFile;
+import com.intellij.psi.PsiClass;
+import com.intellij.psi.PsiDocumentManager;
+import com.intellij.psi.search.GlobalSearchScope;
+import com.intellij.refactoring.MultiFileTestCase;
+import com.intellij.refactoring.rename.RenameProcessor;
+import org.jetbrains.annotations.NonNls;
+import org.jetbrains.jet.plugin.PluginTestCaseBase;
+
+/**
+ * @author Nikolay Krasko
+ */
+public class RenameInJavaTest extends MultiFileTestCase {
+
+    @Override
+    protected void setUp() throws Exception {
+        super.setUp();
+
+        String path = getTestDataPath() + getTestRoot();
+        VirtualFile virtualFile = LocalFileSystem.getInstance().refreshAndFindFileByPath(path);
+        if (virtualFile != null) {
+            virtualFile.getChildren();
+            virtualFile.refresh(false, true);
+        }
+    }
+
+    public void testRenameJavaClass() throws Exception {
+        doTest("testing.SomeClass", "NewName");
+    }
+
+    public void todotestRenameJavaClassSamePackage() throws Exception {
+        doTest("testing.SomeClass", "NewName");
+    }
+
+
+    private void doTest(@NonNls final String qClassName, @NonNls final String newName) throws Exception {
+        doTest(new PerformAction() {
+            @Override
+            public void performAction(VirtualFile rootDir, VirtualFile rootAfter) throws Exception {
+                RenameInJavaTest.this.performAction(qClassName, newName);
+            }
+        });
+    }
+
+    private void performAction(String qClassName, String newName) throws Exception {
+        PsiClass aClass = myJavaFacade.findClass(qClassName, GlobalSearchScope.allScope(getProject()));
+        assertNotNull("Class " + qClassName + " not found", aClass);
+
+        new RenameProcessor(myProject, aClass, newName, true, true).run();
+        PsiDocumentManager.getInstance(myProject).commitAllDocuments();
+        FileDocumentManager.getInstance().saveAllDocuments();
+    }
+
+    @Override
+    protected String getTestRoot() {
+        return "/refactoring/rename/";
+    }
+
+    @Override
+    protected String getTestDataPath() {
+        return PluginTestCaseBase.getTestDataPathBase();
+    }
+}