diff --git a/ant/src/org/jetbrains/kotlin/ant/KotlinCompilerAdapter.java b/ant/src/org/jetbrains/kotlin/ant/KotlinCompilerAdapter.java
index e3b941b1cc6..46afaa32e2c 100644
--- a/ant/src/org/jetbrains/kotlin/ant/KotlinCompilerAdapter.java
+++ b/ant/src/org/jetbrains/kotlin/ant/KotlinCompilerAdapter.java
@@ -56,6 +56,7 @@ public class KotlinCompilerAdapter extends Javac13 {
         Javac javac = getJavac();
 
         Kotlin2JvmTask kotlinc = new Kotlin2JvmTask();
+        kotlinc.setFailOnError(javac.getFailonerror());
         kotlinc.setOutput(javac.getDestdir());
 
         Path classpath = javac.getClasspath();
@@ -70,6 +71,10 @@ public class KotlinCompilerAdapter extends Javac13 {
         kotlinc.setExternalAnnotations(externalAnnotations);
 
         kotlinc.execute();
+        if (!Integer.valueOf(0).equals(kotlinc.getExitCode())) {
+            // Don't run javac if failOnError = false and there were errors on Kotlin sources
+            return false;
+        }
 
         javac.log("Running javac...");
 
diff --git a/ant/src/org/jetbrains/kotlin/ant/KotlinCompilerBaseTask.kt b/ant/src/org/jetbrains/kotlin/ant/KotlinCompilerBaseTask.kt
index 9341d39dcaa..172f7c53faf 100644
--- a/ant/src/org/jetbrains/kotlin/ant/KotlinCompilerBaseTask.kt
+++ b/ant/src/org/jetbrains/kotlin/ant/KotlinCompilerBaseTask.kt
@@ -16,16 +16,16 @@
 
 package org.jetbrains.kotlin.ant
 
+import org.apache.tools.ant.AntClassLoader
+import org.apache.tools.ant.BuildException
 import org.apache.tools.ant.Task
+import org.apache.tools.ant.types.Commandline
 import org.apache.tools.ant.types.Path
 import org.apache.tools.ant.types.Reference
-import java.io.File
-import org.apache.tools.ant.BuildException
-import org.apache.tools.ant.types.Commandline
-import java.io.PrintStream
-import org.apache.tools.ant.AntClassLoader
-import java.lang.ref.SoftReference
 import org.jetbrains.kotlin.preloading.ClassPreloadingUtils
+import java.io.File
+import java.io.PrintStream
+import java.lang.ref.SoftReference
 import java.net.JarURLConnection
 
 object CompilerClassLoaderHolder {
@@ -66,11 +66,14 @@ public abstract class KotlinCompilerBaseTask : Task() {
     public var nowarn: Boolean = false
     public var verbose: Boolean = false
     public var printVersion: Boolean = false
+    public var failOnError: Boolean = false
 
     public var noStdlib: Boolean = false
 
     public val additionalArguments: MutableList<Commandline.Argument> = arrayListOf()
 
+    internal var exitCode: Int? = null
+
     public fun createSrc(): Path {
         val srcPath = src
         if (srcPath == null) {
@@ -118,10 +121,10 @@ public abstract class KotlinCompilerBaseTask : Task() {
 
         log("Compiling ${src!!.list().toList()} => [${output!!.canonicalPath}]");
 
-        val exitCode = exec(compiler, System.err, args.copyToArray())
+        val result = exec(compiler, System.err, args.toTypedArray())
+        exitCode = (result as Enum<*>).ordinal()
 
-        // TODO: support failOnError attribute of javac
-        if ((exitCode as Enum<*>).ordinal() != 0) {
+        if (failOnError && exitCode != 0) {
             throw BuildException("Compile failed; see the compiler error output for details.")
         }
     }
diff --git a/compiler/testData/integration/ant/jvm/doNotFailOnError/IncorrectJavaCode.java b/compiler/testData/integration/ant/jvm/doNotFailOnError/IncorrectJavaCode.java
new file mode 100644
index 00000000000..5ffd5ec6ef1
--- /dev/null
+++ b/compiler/testData/integration/ant/jvm/doNotFailOnError/IncorrectJavaCode.java
@@ -0,0 +1,3 @@
+package hello;
+
+public class IncorrectJavaCode {
diff --git a/compiler/testData/integration/ant/jvm/doNotFailOnError/build.log.expected b/compiler/testData/integration/ant/jvm/doNotFailOnError/build.log.expected
new file mode 100644
index 00000000000..1d5b4f29ebd
--- /dev/null
+++ b/compiler/testData/integration/ant/jvm/doNotFailOnError/build.log.expected
@@ -0,0 +1,21 @@
+OUT:
+Buildfile: [TestData]/build.xml
+
+build:
+    [javac] Compiling 2 source files to [Temp]
+    [javac] Compiling [[TestData]] => [[Temp]]
+    [javac] ERROR: [TestData]/incorrectKotlinCode.kt: (4, 1) Parameter name expected
+    [javac] ERROR: [TestData]/incorrectKotlinCode.kt: (4, 1) Expecting comma or ')'
+    [javac] ERROR: [TestData]/incorrectKotlinCode.kt: (4, 1) Expecting ')'
+  [kotlinc] Compiling [[TestData]] => [[Temp]]
+  [kotlinc] ERROR: [TestData]/incorrectKotlinCode.kt: (4, 1) Parameter name expected
+  [kotlinc] ERROR: [TestData]/incorrectKotlinCode.kt: (4, 1) Expecting comma or ')'
+  [kotlinc] ERROR: [TestData]/incorrectKotlinCode.kt: (4, 1) Expecting ')'
+
+BUILD SUCCESSFUL
+Total time: [time]
+
+ERR:
+    [javac] Compile failed; see the compiler error output for details.
+
+Return code: 0
diff --git a/compiler/testData/integration/ant/jvm/doNotFailOnError/build.xml b/compiler/testData/integration/ant/jvm/doNotFailOnError/build.xml
new file mode 100644
index 00000000000..8faf3e5e599
--- /dev/null
+++ b/compiler/testData/integration/ant/jvm/doNotFailOnError/build.xml
@@ -0,0 +1,11 @@
+<project name="Ant Task Test" default="build">
+    <taskdef resource="org/jetbrains/kotlin/ant/antlib.xml" classpath="${kotlin.lib}/kotlin-ant.jar"/>
+
+    <target name="build">
+        <javac srcdir="${test.data}" destdir="${temp}" includeantruntime="false" failonerror="false">
+            <withKotlin/>
+        </javac>
+
+        <kotlinc src="${test.data}" output="${temp}" failonerror="false"/>
+    </target>
+</project>
diff --git a/compiler/testData/integration/ant/jvm/doNotFailOnError/hello.run.expected b/compiler/testData/integration/ant/jvm/doNotFailOnError/hello.run.expected
new file mode 100644
index 00000000000..a9dec07cd07
--- /dev/null
+++ b/compiler/testData/integration/ant/jvm/doNotFailOnError/hello.run.expected
@@ -0,0 +1,12 @@
+
+ERR:
+Exception in thread "main" java.lang.NoClassDefFoundError: hello/HelloPackage
+Caused by: java.lang.ClassNotFoundException: hello.HelloPackage
+	at java.net.URLClassLoader$1.run(URLClassLoader.java:202)
+	at java.security.AccessController.doPrivileged(Native Method)
+	at java.net.URLClassLoader.findClass(URLClassLoader.java:190)
+	at java.lang.ClassLoader.loadClass(ClassLoader.java:306)
+	at sun.misc.Launcher$AppClassLoader.loadClass(Launcher.java:301)
+	at java.lang.ClassLoader.loadClass(ClassLoader.java:247)
+
+Return code: 1
diff --git a/compiler/testData/integration/ant/jvm/doNotFailOnError/incorrectKotlinCode.kt b/compiler/testData/integration/ant/jvm/doNotFailOnError/incorrectKotlinCode.kt
new file mode 100644
index 00000000000..9c3a348d482
--- /dev/null
+++ b/compiler/testData/integration/ant/jvm/doNotFailOnError/incorrectKotlinCode.kt
@@ -0,0 +1,3 @@
+package hello
+
+fun main(
diff --git a/compiler/tests/org/jetbrains/kotlin/integration/AntTaskJvmTest.java b/compiler/tests/org/jetbrains/kotlin/integration/AntTaskJvmTest.java
index 236db6c4946..8ac3eb7daa0 100644
--- a/compiler/tests/org/jetbrains/kotlin/integration/AntTaskJvmTest.java
+++ b/compiler/tests/org/jetbrains/kotlin/integration/AntTaskJvmTest.java
@@ -71,6 +71,11 @@ public class AntTaskJvmTest extends AntTaskBaseTest {
         doJvmAntTest();
     }
 
+    @Test
+    public void doNotFailOnError() throws Exception {
+        doJvmAntTest();
+    }
+
     @Test
     public void jvmClasspath() throws Exception {
         doJvmAntTest();