diff --git a/compiler/frontend.java/src/org/jetbrains/jet/lang/resolve/java/kotlinSignature/SignaturesUtil.java b/compiler/frontend.java/src/org/jetbrains/jet/lang/resolve/java/kotlinSignature/SignaturesUtil.java
index 25f2dc9cb4a..158ebf66582 100644
--- a/compiler/frontend.java/src/org/jetbrains/jet/lang/resolve/java/kotlinSignature/SignaturesUtil.java
+++ b/compiler/frontend.java/src/org/jetbrains/jet/lang/resolve/java/kotlinSignature/SignaturesUtil.java
@@ -34,7 +34,7 @@ public class SignaturesUtil {
             @NotNull List<TypeParameterDescriptor> originalParameters,
             @Nullable DeclarationDescriptor newOwner
     ) {
-        Map<TypeParameterDescriptor, TypeParameterDescriptorImpl> result = Maps.newHashMap();
+        Map<TypeParameterDescriptor, TypeParameterDescriptorImpl> result = Maps.newLinkedHashMap(); // save order of type parameters
         for (TypeParameterDescriptor typeParameter : originalParameters) {
             result.put(typeParameter,
                        TypeParameterDescriptorImpl.createForFurtherModification(
diff --git a/compiler/frontend.java/src/org/jetbrains/jet/lang/resolve/java/sam/SingleAbstractMethodUtils.java b/compiler/frontend.java/src/org/jetbrains/jet/lang/resolve/java/sam/SingleAbstractMethodUtils.java
index 93340e13f37..fb9e88a17c4 100644
--- a/compiler/frontend.java/src/org/jetbrains/jet/lang/resolve/java/sam/SingleAbstractMethodUtils.java
+++ b/compiler/frontend.java/src/org/jetbrains/jet/lang/resolve/java/sam/SingleAbstractMethodUtils.java
@@ -21,14 +21,19 @@ import org.jetbrains.annotations.NotNull;
 import org.jetbrains.jet.lang.descriptors.*;
 import org.jetbrains.jet.lang.descriptors.annotations.AnnotationDescriptor;
 import org.jetbrains.jet.lang.descriptors.impl.SimpleFunctionDescriptorImpl;
+import org.jetbrains.jet.lang.descriptors.impl.TypeParameterDescriptorImpl;
 import org.jetbrains.jet.lang.descriptors.impl.ValueParameterDescriptorImpl;
+import org.jetbrains.jet.lang.resolve.java.kotlinSignature.SignaturesUtil;
 import org.jetbrains.jet.lang.resolve.name.Name;
 import org.jetbrains.jet.lang.types.JetType;
+import org.jetbrains.jet.lang.types.TypeSubstitutor;
+import org.jetbrains.jet.lang.types.Variance;
 import org.jetbrains.jet.lang.types.lang.KotlinBuiltIns;
 
 import java.util.Arrays;
 import java.util.Collections;
 import java.util.List;
+import java.util.Map;
 
 public class SingleAbstractMethodUtils {
     public static boolean isFunctionalInterface(@NotNull ClassDescriptor klass) {
@@ -53,7 +58,6 @@ public class SingleAbstractMethodUtils {
 
     @NotNull
     private static JetType getFunctionalTypeForFunction(@NotNull FunctionDescriptor function) {
-        // TODO substitute type parameters of class
         // TODO substitute type parameters of function with star projections
         JetType returnType = function.getReturnType();
         assert returnType != null : "function is not initialized: " + function;
@@ -72,16 +76,32 @@ public class SingleAbstractMethodUtils {
                 CallableMemberDescriptor.Kind.SYNTHESIZED
         );
 
-        JetType parameterType = getFunctionalTypeForFunction(getAbstractMethodOfFunctionalInterface(klass));;
+        Map<TypeParameterDescriptor, TypeParameterDescriptorImpl> traitToFunTypeParameters =
+                SignaturesUtil.recreateTypeParametersAndReturnMapping(klass.getTypeConstructor().getParameters(), result);
+        TypeSubstitutor typeParametersSubstitutor = SignaturesUtil.createSubstitutorForTypeParameters(traitToFunTypeParameters);
+
+        JetType parameterTypeUnsubstituted = getFunctionalTypeForFunction(getAbstractMethodOfFunctionalInterface(klass));
+        JetType parameterType = typeParametersSubstitutor.substitute(parameterTypeUnsubstituted, Variance.IN_VARIANCE);
+        assert parameterType != null : "couldn't substitute type: " + parameterType + ", substitutor = " + typeParametersSubstitutor;
         ValueParameterDescriptor parameter = new ValueParameterDescriptorImpl(
                 result, 0, Collections.<AnnotationDescriptor>emptyList(), Name.identifier("function"), parameterType, false, null);
 
+        JetType returnType = typeParametersSubstitutor.substitute(klass.getDefaultType(), Variance.OUT_VARIANCE);
+        assert returnType != null : "couldn't substitute type: " + returnType + ", substitutor = " + typeParametersSubstitutor;
+
+        for (TypeParameterDescriptorImpl typeParameter : traitToFunTypeParameters.values()) {
+            // TODO copy substituted upper bound
+            // TODO consider recursive upper bound
+            typeParameter.addDefaultUpperBound();
+            typeParameter.setInitialized();
+        }
+
         result.initialize(
                 null,
                 null,
-                Lists.<TypeParameterDescriptor>newArrayList(), // TODO recreate type parameters of class
+                Lists.newArrayList(traitToFunTypeParameters.values()),
                 Arrays.asList(parameter),
-                klass.getDefaultType(), // TODO substitute type parameters of class
+                returnType,
                 Modality.FINAL,
                 klass.getVisibility(),
                 false
diff --git a/compiler/testData/loadJava/compiledJava/singleAbstractMethod/Comparator.java b/compiler/testData/loadJava/compiledJava/singleAbstractMethod/Comparator.java
new file mode 100644
index 00000000000..853160a4ded
--- /dev/null
+++ b/compiler/testData/loadJava/compiledJava/singleAbstractMethod/Comparator.java
@@ -0,0 +1,7 @@
+package test;
+
+public interface Comparator<T> {
+    int compare(T o1, T o2);
+
+    boolean equals(Object obj);
+}
diff --git a/compiler/testData/loadJava/compiledJava/singleAbstractMethod/Comparator.txt b/compiler/testData/loadJava/compiledJava/singleAbstractMethod/Comparator.txt
new file mode 100644
index 00000000000..db9c7ae8931
--- /dev/null
+++ b/compiler/testData/loadJava/compiledJava/singleAbstractMethod/Comparator.txt
@@ -0,0 +1,7 @@
+package test
+
+public /*synthesized*/ fun </*0*/ T> Comparator(/*0*/ function : (T?, T?) -> jet.Int) : test.Comparator<T>
+
+public trait Comparator</*0*/ T> : java.lang.Object {
+    public abstract fun compare(/*0*/ p0 : T?, /*1*/ p1 : T?) : jet.Int
+}
diff --git a/compiler/tests/org/jetbrains/jet/jvm/compiler/LoadJavaTestGenerated.java b/compiler/tests/org/jetbrains/jet/jvm/compiler/LoadJavaTestGenerated.java
index 2eb50924b61..4e17da419b0 100644
--- a/compiler/tests/org/jetbrains/jet/jvm/compiler/LoadJavaTestGenerated.java
+++ b/compiler/tests/org/jetbrains/jet/jvm/compiler/LoadJavaTestGenerated.java
@@ -1130,6 +1130,11 @@ public class LoadJavaTestGenerated extends AbstractLoadJavaTest {
                 JetTestUtils.assertAllTestsPresentByMetadata(this.getClass(), "org.jetbrains.jet.generators.tests.GenerateTests", new File("compiler/testData/loadJava/compiledJava/singleAbstractMethod"), Pattern.compile("^(.+)\\.java$"), true);
             }
             
+            @TestMetadata("Comparator.java")
+            public void testComparator() throws Exception {
+                doTestCompiledJava("compiler/testData/loadJava/compiledJava/singleAbstractMethod/Comparator.java");
+            }
+            
             @TestMetadata("FilenameFilter.java")
             public void testFilenameFilter() throws Exception {
                 doTestCompiledJava("compiler/testData/loadJava/compiledJava/singleAbstractMethod/FilenameFilter.java");