diff --git a/.idea/libraries/coverage_plugin.xml b/.idea/libraries/coverage_plugin.xml
new file mode 100644
index 00000000000..91df8c11739
--- /dev/null
+++ b/.idea/libraries/coverage_plugin.xml
@@ -0,0 +1,11 @@
+<component name="libraryTable">
+  <library name="coverage-plugin">
+    <CLASSES>
+      <root url="jar://$PROJECT_DIR$/ideaSDK/plugins/coverage/lib/coverage.jar!/" />
+    </CLASSES>
+    <JAVADOC />
+    <SOURCES>
+      <root url="jar://$PROJECT_DIR$/ideaSDK/sources/sources.zip!/plugins/coverage/src" />
+    </SOURCES>
+  </library>
+</component>
\ No newline at end of file
diff --git a/idea/idea.iml b/idea/idea.iml
index 21412d50803..ea77e4c848e 100644
--- a/idea/idea.iml
+++ b/idea/idea.iml
@@ -44,5 +44,6 @@
     <orderEntry type="module" module-name="idea-analysis" exported="" />
     <orderEntry type="module" module-name="kotlin-android-plugin" />
     <orderEntry type="module" module-name="js.frontend" />
+    <orderEntry type="library" scope="PROVIDED" name="coverage-plugin" level="project" />
   </component>
 </module>
\ No newline at end of file
diff --git a/idea/src/META-INF/coverage.xml b/idea/src/META-INF/coverage.xml
new file mode 100644
index 00000000000..ce1756d8453
--- /dev/null
+++ b/idea/src/META-INF/coverage.xml
@@ -0,0 +1,5 @@
+<idea-plugin>
+    <extensions defaultExtensionNs="com.intellij">
+        <javaCoverageEngineExtension implementation="org.jetbrains.jet.plugin.coverage.KotlinCoverageExtension"/>
+    </extensions>
+</idea-plugin>
\ No newline at end of file
diff --git a/idea/src/META-INF/plugin.xml b/idea/src/META-INF/plugin.xml
index 2f695c90203..c34aef03115 100644
--- a/idea/src/META-INF/plugin.xml
+++ b/idea/src/META-INF/plugin.xml
@@ -15,6 +15,7 @@
   <depends optional="true" config-file="kotlin-copyright.xml">com.intellij.copyright</depends>
   <depends optional="true" config-file="javaScriptDebug.xml">JavaScriptDebugger</depends>
   <depends optional="true" config-file="android.xml">org.jetbrains.android</depends>
+  <depends optional="true" config-file="coverage.xml">Coverage</depends>
 
   <project-components>
     <component>
diff --git a/idea/src/org/jetbrains/jet/plugin/coverage/KotlinCoverageExtension.kt b/idea/src/org/jetbrains/jet/plugin/coverage/KotlinCoverageExtension.kt
new file mode 100644
index 00000000000..3e29c7bf705
--- /dev/null
+++ b/idea/src/org/jetbrains/jet/plugin/coverage/KotlinCoverageExtension.kt
@@ -0,0 +1,85 @@
+/*
+ * Copyright 2010-2014 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.coverage
+
+import com.intellij.coverage.JavaCoverageEngineExtension
+import com.intellij.execution.configurations.RunConfigurationBase
+import org.jetbrains.jet.plugin.run.JetRunConfiguration
+import com.intellij.psi.PsiFile
+import com.intellij.openapi.vfs.VirtualFile
+import com.intellij.coverage.CoverageSuitesBundle
+import java.io.File
+import org.jetbrains.jet.lang.psi.JetFile
+import org.jetbrains.jet.plugin.debugger.JetPositionManager
+import org.jetbrains.jet.plugin.caches.resolve.getModuleInfo
+import java.util.HashSet
+import org.jetbrains.jet.lang.psi.JetTreeVisitor
+import org.jetbrains.jet.lang.psi.JetDeclaration
+import com.intellij.openapi.roots.ProjectRootManager
+import org.jetbrains.jet.lang.psi.JetTreeVisitorVoid
+import org.jetbrains.annotations.TestOnly
+import com.intellij.openapi.application.ApplicationManager
+
+public class KotlinCoverageExtension(): JavaCoverageEngineExtension() {
+    override fun isApplicableTo(conf: RunConfigurationBase?): Boolean = conf is JetRunConfiguration
+
+    override fun collectOutputFiles(srcFile: PsiFile,
+                                    output: VirtualFile?,
+                                    testoutput: VirtualFile?,
+                                    suite: CoverageSuitesBundle,
+                                    classFiles: MutableSet<File>): Boolean {
+        if (srcFile is JetFile) {
+            val fileIndex = ProjectRootManager.getInstance(srcFile.getProject()).getFileIndex()
+            if (fileIndex.isInLibraryClasses(srcFile.getVirtualFile()) ||
+                fileIndex.isInLibrarySource(srcFile.getVirtualFile())) {
+                return false
+            }
+
+            val classNames = ApplicationManager.getApplication().runReadAction<Set<String>> { collectOutputClassNames(srcFile) }
+
+            fun findUnder(name: String, root: VirtualFile?): File? {
+                if (root != null) {
+                    val outputFile = File(root.getPath(), name + ".class")
+                    if (outputFile.exists()) {
+                        return outputFile
+                    }
+                }
+                return null
+            }
+
+            classNames.map { findUnder(it, output) ?: findUnder(it, testoutput) }.filterNotNullTo(classFiles)
+            return true
+        }
+        return false
+    }
+
+    class object {
+        TestOnly public fun collectOutputClassNames(srcFile: JetFile): Set<String> {
+            val typeMapper = JetPositionManager.createTypeMapper(srcFile, srcFile.getModuleInfo())
+            val classNames = HashSet<String>()
+            srcFile.acceptChildren(object: JetTreeVisitorVoid() {
+                override fun visitDeclaration(dcl: JetDeclaration) {
+                    val className = JetPositionManager.getClassNameForElement(dcl.getFirstChild(), typeMapper, srcFile, false)
+                    if (className != null) {
+                        classNames.add(className)
+                    }
+                }
+            })
+            return classNames
+        }
+    }
+}
\ No newline at end of file