diff --git a/compiler/cli/src/org/jetbrains/jet/cli/js/K2JSCompiler.java b/compiler/cli/src/org/jetbrains/jet/cli/js/K2JSCompiler.java
index d6c0191d062..44418e9fb9a 100644
--- a/compiler/cli/src/org/jetbrains/jet/cli/js/K2JSCompiler.java
+++ b/compiler/cli/src/org/jetbrains/jet/cli/js/K2JSCompiler.java
@@ -22,6 +22,7 @@ import com.google.common.base.Predicates;
 import com.google.common.collect.Iterables;
 import com.intellij.openapi.Disposable;
 import com.intellij.openapi.project.Project;
+import com.intellij.openapi.util.io.FileUtil;
 import com.intellij.psi.PsiFile;
 import jet.Function0;
 import org.jetbrains.annotations.NotNull;
@@ -40,6 +41,7 @@ import org.jetbrains.k2js.config.*;
 import org.jetbrains.k2js.facade.K2JSTranslator;
 import org.jetbrains.k2js.facade.MainCallParameters;
 
+import java.io.File;
 import java.util.List;
 
 import static org.jetbrains.jet.cli.common.messages.CompilerMessageLocation.NO_LOCATION;
@@ -101,7 +103,6 @@ public class K2JSCompiler extends CLICompiler<K2JSCompilerArguments, K2JSCompile
             return ExitCode.INTERNAL_ERROR;
         }
 
-
         MainCallParameters mainCallParameters = arguments.createMainCallParameters();
         return translateAndGenerateOutputFile(mainCallParameters, messageCollector, environmentForJS, config, outputFile);
     }
@@ -151,10 +152,11 @@ public class K2JSCompiler extends CLICompiler<K2JSCompilerArguments, K2JSCompile
     @NotNull
     private static Config getConfig(@NotNull K2JSCompilerArguments arguments, @NotNull Project project) {
         EcmaVersion ecmaVersion = EcmaVersion.fromString(arguments.target);
+        String moduleId = FileUtil.getNameWithoutExtension(new File(arguments.outputFile));
         if (arguments.libraryFiles == null) {
             // lets discover the JS library definitions on the classpath
-            return new ClassPathLibraryDefintionsConfig(project, ecmaVersion);
+            return new ClassPathLibraryDefintionsConfig(project, moduleId, ecmaVersion);
         }
-        return new LibrarySourcesConfig(project, arguments.libraryFiles, ecmaVersion);
+        return new LibrarySourcesConfig(project, moduleId, arguments.libraryFiles, ecmaVersion);
     }
 }
diff --git a/idea/src/org/jetbrains/jet/plugin/compiler/K2JSCompiler.java b/idea/src/org/jetbrains/jet/plugin/compiler/K2JSCompiler.java
index 80c252e5af7..391e97e5908 100644
--- a/idea/src/org/jetbrains/jet/plugin/compiler/K2JSCompiler.java
+++ b/idea/src/org/jetbrains/jet/plugin/compiler/K2JSCompiler.java
@@ -174,10 +174,13 @@ public final class K2JSCompiler implements TranslatingCompiler {
             THashSet<Module> modules = new THashSet<Module>();
             collectModuleDependencies(module, modules);
             if (!modules.isEmpty()) {
-                VirtualFile[] files = CompilerManager.getInstance(module.getProject()).createModulesCompileScope(
-                        modules.toArray(new Module[modules.size()]), false).getFiles(JetFileType.INSTANCE, true);
-                for (VirtualFile file : files) {
-                    sb.append(file.getPath()).append(',');
+                for (Module dependency : modules) {
+                    sb.append('@').append(dependency.getName()).append(',');
+                    VirtualFile[] files = CompilerManager.getInstance(module.getProject()).createModuleCompileScope(dependency, false)
+                            .getFiles(JetFileType.INSTANCE, true);
+                    for (VirtualFile file : files) {
+                        sb.append(file.getPath()).append(',');
+                    }
                 }
             }
 
diff --git a/idea/src/org/jetbrains/jet/plugin/project/IDEAConfig.java b/idea/src/org/jetbrains/jet/plugin/project/IDEAConfig.java
index 74f003e8b21..2afd9df2842 100644
--- a/idea/src/org/jetbrains/jet/plugin/project/IDEAConfig.java
+++ b/idea/src/org/jetbrains/jet/plugin/project/IDEAConfig.java
@@ -28,6 +28,6 @@ import static org.jetbrains.jet.plugin.project.JsModuleDetector.getLibLocationAn
  */
 public final class IDEAConfig extends LibrarySourcesConfig {
     public IDEAConfig(@NotNull Project project) {
-        super(project, getLibLocationAndTargetForProject(project).first, EcmaVersion.defaultVersion());
+        super(project, "default", getLibLocationAndTargetForProject(project).first, EcmaVersion.defaultVersion());
     }
 }
diff --git a/js/js.tests/test/org/jetbrains/k2js/test/SingleFileTranslationTest.java b/js/js.tests/test/org/jetbrains/k2js/test/SingleFileTranslationTest.java
index 3f09631dfaf..4d3dc54ca1f 100644
--- a/js/js.tests/test/org/jetbrains/k2js/test/SingleFileTranslationTest.java
+++ b/js/js.tests/test/org/jetbrains/k2js/test/SingleFileTranslationTest.java
@@ -42,7 +42,7 @@ public abstract class SingleFileTranslationTest extends BasicTest {
         runFunctionOutputTest(EcmaVersion.all(), kotlinFilename, namespaceName, functionName, expectedResult);
     }
 
-    protected void runFunctionOutputTest(@NotNull EnumSet<EcmaVersion> ecmaVersions, @NotNull String kotlinFilename,
+    protected void runFunctionOutputTest(@NotNull Iterable<EcmaVersion> ecmaVersions, @NotNull String kotlinFilename,
             @NotNull String namespaceName,
             @NotNull String functionName,
             @NotNull Object expectedResult) throws Exception {
@@ -50,7 +50,7 @@ public abstract class SingleFileTranslationTest extends BasicTest {
         runRhinoTests(kotlinFilename, ecmaVersions, new RhinoFunctionResultChecker(namespaceName, functionName, expectedResult));
     }
 
-    public void checkFooBoxIsTrue(@NotNull String filename, @NotNull EnumSet<EcmaVersion> ecmaVersions) throws Exception {
+    public void checkFooBoxIsTrue(@NotNull String filename, @NotNull Iterable<EcmaVersion> ecmaVersions) throws Exception {
         runFunctionOutputTest(ecmaVersions, filename, "foo", "box", true);
     }
 
@@ -58,7 +58,7 @@ public abstract class SingleFileTranslationTest extends BasicTest {
         checkFooBoxIsTrue(getTestName(true) + ".kt", EcmaVersion.all());
     }
 
-    protected void fooBoxTest(@NotNull EnumSet<EcmaVersion> ecmaVersions) throws Exception {
+    protected void fooBoxTest(@NotNull Iterable<EcmaVersion> ecmaVersions) throws Exception {
         checkFooBoxIsTrue(getTestName(true) + ".kt", ecmaVersions);
     }
 
@@ -84,7 +84,7 @@ public abstract class SingleFileTranslationTest extends BasicTest {
         runRhinoTests(kotlinFilename, ecmaVersions, new RhinoSystemOutputChecker(expectedResult));
     }
 
-    protected void performTestWithMain(@NotNull EnumSet<EcmaVersion> ecmaVersions,
+    protected void performTestWithMain(@NotNull Iterable<EcmaVersion> ecmaVersions,
             @NotNull String testName,
             @NotNull String testId,
             @NotNull String... args) throws Exception {
diff --git a/js/js.tests/test/org/jetbrains/k2js/test/config/TestConfig.java b/js/js.tests/test/org/jetbrains/k2js/test/config/TestConfig.java
index b71bfed31b9..9144d006aef 100644
--- a/js/js.tests/test/org/jetbrains/k2js/test/config/TestConfig.java
+++ b/js/js.tests/test/org/jetbrains/k2js/test/config/TestConfig.java
@@ -41,7 +41,7 @@ public final class TestConfig extends Config {
     private /*var*/ List<JetFile> jsLibFiles = null;
 
     public TestConfig(@NotNull Project project, @NotNull EcmaVersion version) {
-        super(project, version);
+        super(project, "main", version);
     }
 
     @NotNull
diff --git a/js/js.tests/test/org/jetbrains/k2js/test/rhino/RhinoFunctionManager.java b/js/js.tests/test/org/jetbrains/k2js/test/rhino/RhinoFunctionManager.java
index ff853335424..99bf5fec3b4 100644
--- a/js/js.tests/test/org/jetbrains/k2js/test/rhino/RhinoFunctionManager.java
+++ b/js/js.tests/test/org/jetbrains/k2js/test/rhino/RhinoFunctionManager.java
@@ -39,11 +39,6 @@ class RhinoFunctionManager {
         this.functionName = functionName;
     }
 
-    @NotNull
-    public String getFunctionName() {
-        return functionName;
-    }
-
     private Script compileScript(int optimizationLevel) {
         long startNano = System.nanoTime();
         Context context = Context.enter();
diff --git a/js/js.tests/test/org/jetbrains/k2js/test/rhino/RhinoFunctionResultChecker.java b/js/js.tests/test/org/jetbrains/k2js/test/rhino/RhinoFunctionResultChecker.java
index 2cf3960b16d..e2dbea4a227 100644
--- a/js/js.tests/test/org/jetbrains/k2js/test/rhino/RhinoFunctionResultChecker.java
+++ b/js/js.tests/test/org/jetbrains/k2js/test/rhino/RhinoFunctionResultChecker.java
@@ -17,6 +17,7 @@
 package org.jetbrains.k2js.test.rhino;
 
 import org.jetbrains.annotations.Nullable;
+import org.jetbrains.k2js.translate.context.Namer;
 import org.mozilla.javascript.Context;
 import org.mozilla.javascript.Scriptable;
 
@@ -59,10 +60,14 @@ public class RhinoFunctionResultChecker implements RhinoResultChecker {
     }
 
     private String functionCallString() {
-        String result = functionName + "()";
+        StringBuilder sb = new StringBuilder();
         if (namespaceName != null) {
-            result = "Kotlin.defs." + namespaceName + "." + result;
+            sb.append("Kotlin.modules.main");
+            if (namespaceName != Namer.getRootNamespaceName()) {
+                sb.append('.').append(namespaceName);
+            }
+            sb.append('.');
         }
-        return result;
+        return sb.append(functionName).append("()").toString();
     }
 }
diff --git a/js/js.tests/test/org/jetbrains/k2js/test/rhino/RhinoUtils.java b/js/js.tests/test/org/jetbrains/k2js/test/rhino/RhinoUtils.java
index a8259b64ace..b295fcff3a8 100644
--- a/js/js.tests/test/org/jetbrains/k2js/test/rhino/RhinoUtils.java
+++ b/js/js.tests/test/org/jetbrains/k2js/test/rhino/RhinoUtils.java
@@ -26,7 +26,6 @@ import org.jetbrains.k2js.test.BasicTest;
 import org.mozilla.javascript.*;
 
 import java.io.File;
-import java.io.FileReader;
 import java.io.IOException;
 import java.util.List;
 import java.util.Map;
@@ -49,12 +48,7 @@ public final class RhinoUtils {
             new Supplier<String>() {
                 @Override
                 public String get() {
-                    try {
-                        return FileUtil.loadFile(new File(BasicTest.JSLINT_LIB));
-                    }
-                    catch (IOException e) {
-                        throw new RuntimeException(e);
-                    }
+                    return fileToString(BasicTest.JSLINT_LIB);
                 }
             },
             "JSLINT"
@@ -64,15 +58,19 @@ public final class RhinoUtils {
 
     }
 
+    private static String fileToString(String file) {
+        try {
+            return FileUtil.loadFile(new File(file));
+        }
+        catch (IOException e) {
+            throw new RuntimeException(e);
+        }
+    }
+
     private static void runFileWithRhino(@NotNull String inputFile,
                                          @NotNull Context context,
                                          @NotNull Scriptable scope) throws Exception {
-        FileReader reader = new FileReader(inputFile);
-        try {
-            context.evaluateReader(scope, reader, inputFile, 1, null);
-        } finally {
-            reader.close();
-        }
+        context.evaluateString(scope, fileToString(inputFile), inputFile, 1, null);
     }
 
     public static void runRhinoTest(@NotNull List<String> fileNames,
diff --git a/js/js.translator/src/org/jetbrains/k2js/analyze/AnalyzerFacadeForJS.java b/js/js.translator/src/org/jetbrains/k2js/analyze/AnalyzerFacadeForJS.java
index 4477b83962c..72f936ae228 100644
--- a/js/js.translator/src/org/jetbrains/k2js/analyze/AnalyzerFacadeForJS.java
+++ b/js/js.translator/src/org/jetbrains/k2js/analyze/AnalyzerFacadeForJS.java
@@ -18,7 +18,6 @@ package org.jetbrains.k2js.analyze;
 
 import com.google.common.base.Predicate;
 import com.google.common.base.Predicates;
-import com.google.common.collect.Sets;
 import com.intellij.openapi.project.Project;
 import com.intellij.psi.PsiFile;
 import org.jetbrains.annotations.NotNull;
@@ -39,10 +38,10 @@ import org.jetbrains.jet.lang.resolve.scopes.WritableScope;
 import org.jetbrains.jet.lang.types.lang.JetStandardClasses;
 import org.jetbrains.k2js.config.Config;
 
+import java.util.ArrayList;
 import java.util.Collection;
 import java.util.Collections;
 import java.util.List;
-import java.util.Set;
 
 /**
  * @author Pavel Talanov
@@ -125,7 +124,7 @@ public final class AnalyzerFacadeForJS {
 
     @NotNull
     public static Collection<JetFile> withJsLibAdded(@NotNull Collection<JetFile> files, @NotNull Config config) {
-        Set<JetFile> allFiles = Sets.newHashSet();
+        Collection<JetFile> allFiles = new ArrayList<JetFile>();
         allFiles.addAll(files);
         allFiles.addAll(config.getLibFiles());
         return allFiles;
diff --git a/js/js.translator/src/org/jetbrains/k2js/config/ClassPathLibraryDefintionsConfig.java b/js/js.translator/src/org/jetbrains/k2js/config/ClassPathLibraryDefintionsConfig.java
index 41133aebb07..6cc291e1b40 100644
--- a/js/js.translator/src/org/jetbrains/k2js/config/ClassPathLibraryDefintionsConfig.java
+++ b/js/js.translator/src/org/jetbrains/k2js/config/ClassPathLibraryDefintionsConfig.java
@@ -28,8 +28,8 @@ import java.util.*;
 public class ClassPathLibraryDefintionsConfig extends Config {
     public static final String META_INF_SERVICES_FILE = "META-INF/services/org.jetbrains.kotlin.js.libraryDefinitions";
 
-    public ClassPathLibraryDefintionsConfig(@NotNull Project project, @NotNull EcmaVersion version) {
-        super(project, version);
+    public ClassPathLibraryDefintionsConfig(@NotNull Project project, @NotNull String moduleId, @NotNull EcmaVersion version) {
+        super(project, moduleId, version);
     }
 
     @NotNull
diff --git a/js/js.translator/src/org/jetbrains/k2js/config/Config.java b/js/js.translator/src/org/jetbrains/k2js/config/Config.java
index 3345e27227a..a1eab460a8c 100644
--- a/js/js.translator/src/org/jetbrains/k2js/config/Config.java
+++ b/js/js.translator/src/org/jetbrains/k2js/config/Config.java
@@ -34,7 +34,7 @@ public abstract class Config {
 
     @NotNull
     public static Config getEmptyConfig(@NotNull Project project, @NotNull EcmaVersion ecmaVersion) {
-        return new Config(project, ecmaVersion) {
+        return new Config(project, "main", ecmaVersion) {
             @NotNull
             @Override
             protected List<JetFile> generateLibFiles() {
@@ -117,9 +117,13 @@ public abstract class Config {
     @NotNull
     private final EcmaVersion target;
 
-    public Config(@NotNull Project project, @NotNull EcmaVersion ecmaVersion) {
+    @NotNull
+    private final String moduleId;
+
+    public Config(@NotNull Project project, @NotNull String moduleId, @NotNull EcmaVersion ecmaVersion) {
         this.project = project;
         this.target = ecmaVersion;
+        this.moduleId = moduleId;
     }
 
     @NotNull
@@ -132,6 +136,11 @@ public abstract class Config {
         return target;
     }
 
+    @NotNull
+    public String getModuleId() {
+        return moduleId;
+    }
+
     @NotNull
     protected abstract List<JetFile> generateLibFiles();
 
diff --git a/js/js.translator/src/org/jetbrains/k2js/config/LibrarySourcesConfig.java b/js/js.translator/src/org/jetbrains/k2js/config/LibrarySourcesConfig.java
index 17bc500c55b..bbf31d8dc8a 100644
--- a/js/js.translator/src/org/jetbrains/k2js/config/LibrarySourcesConfig.java
+++ b/js/js.translator/src/org/jetbrains/k2js/config/LibrarySourcesConfig.java
@@ -39,13 +39,17 @@ import java.util.zip.ZipFile;
  * @author Pavel Talanov
  */
 public class LibrarySourcesConfig extends Config {
-    public static final Key<Boolean> EXTERNAL_LIB = new Key<Boolean>("externalLib");
+    public static final Key<String> EXTERNAL_MODULE_NAME = new Key<String>("externalModule");
+    public static final String UNKNOWN_EXTERNAL_MODULE_NAME = "<unknown>";
 
     @Nullable
     private final String[] files;
 
-    public LibrarySourcesConfig(@NotNull Project project, @Nullable String[] files, @NotNull EcmaVersion ecmaVersion) {
-        super(project, ecmaVersion);
+    public LibrarySourcesConfig(@NotNull Project project,
+            @NotNull String moduleId,
+            @Nullable String[] files,
+            @NotNull EcmaVersion ecmaVersion) {
+        super(project, moduleId, ecmaVersion);
         this.files = files;
     }
 
@@ -57,16 +61,22 @@ public class LibrarySourcesConfig extends Config {
         }
 
         List<JetFile> jetFiles = new ArrayList<JetFile>();
+        String moduleName = UNKNOWN_EXTERNAL_MODULE_NAME;
         for (String path : files) {
             File file = new File(path);
             try {
                 String name = file.getName();
+                if (path.charAt(0) == '@') {
+                    moduleName = path.substring(1);
+                    continue;
+                }
+
                 if (name.endsWith(".jar") || name.endsWith(".zip")) {
                     jetFiles.addAll(readZip(file));
                 }
                 else {
                     JetFile psiFile = JetFileUtils.createPsiFile(path, FileUtil.loadFile(file), getProject());
-                    psiFile.putUserData(EXTERNAL_LIB, true);
+                    psiFile.putUserData(EXTERNAL_MODULE_NAME, moduleName);
                     jetFiles.add(psiFile);
                 }
             }
@@ -98,7 +108,7 @@ public class LibrarySourcesConfig extends Config {
                 InputStream stream = file.getInputStream(entry);
                 String text = FileUtil.loadTextAndClose(stream);
                 JetFile jetFile = JetFileUtils.createPsiFile(entry.getName(), text, getProject());
-                jetFile.putUserData(EXTERNAL_LIB, true);
+                jetFile.putUserData(EXTERNAL_MODULE_NAME, UNKNOWN_EXTERNAL_MODULE_NAME);
                 result.add(jetFile);
             }
         }
diff --git a/js/js.translator/src/org/jetbrains/k2js/facade/K2JSTranslator.java b/js/js.translator/src/org/jetbrains/k2js/facade/K2JSTranslator.java
index 1ecf6050d93..01d9f34fd1f 100644
--- a/js/js.translator/src/org/jetbrains/k2js/facade/K2JSTranslator.java
+++ b/js/js.translator/src/org/jetbrains/k2js/facade/K2JSTranslator.java
@@ -32,7 +32,6 @@ import org.jetbrains.k2js.utils.JetFileUtils;
 
 import java.io.IOException;
 import java.util.Arrays;
-import java.util.Collection;
 import java.util.List;
 
 import static org.jetbrains.k2js.facade.FacadeUtils.parseString;
@@ -96,7 +95,7 @@ public final class K2JSTranslator {
             throws TranslationException {
         JetStandardLibrary.initialize(config.getProject());
         BindingContext bindingContext = AnalyzerFacadeForJS.analyzeFilesAndCheckErrors(filesToTranslate, config);
-        return Translation.generateAst(bindingContext, filesToTranslate, mainCallParameters, config.getTarget(), rawStatements);
+        return Translation.generateAst(bindingContext, filesToTranslate, mainCallParameters, config, rawStatements);
     }
 
     @NotNull
diff --git a/js/js.translator/src/org/jetbrains/k2js/translate/context/Namer.java b/js/js.translator/src/org/jetbrains/k2js/translate/context/Namer.java
index 61499a1b728..871ddbadedd 100644
--- a/js/js.translator/src/org/jetbrains/k2js/translate/context/Namer.java
+++ b/js/js.translator/src/org/jetbrains/k2js/translate/context/Namer.java
@@ -32,14 +32,13 @@ public final class Namer {
     private static final String INITIALIZE_METHOD_NAME = "initialize";
     private static final String CLASS_OBJECT_NAME = "createClass";
     private static final String TRAIT_OBJECT_NAME = "createTrait";
-    private static final String NAMESPACE_OBJECT_NAME = "createNamespace";
     private static final String OBJECT_OBJECT_NAME = "createObject";
     private static final String SETTER_PREFIX = "set_";
     private static final String GETTER_PREFIX = "get_";
     private static final String BACKING_FIELD_PREFIX = "$";
     private static final String SUPER_METHOD_NAME = "super_init";
     private static final String KOTLIN_OBJECT_NAME = "Kotlin";
-    private static final String ROOT_NAMESPACE = "Root";
+    private static final String ROOT_NAMESPACE = "_";
     private static final String RECEIVER_PARAMETER_NAME = "receiver";
     private static final String CLASSES_OBJECT_NAME = "classes";
     private static final String THROW_NPE_FUN_NAME = "throwNPE";
@@ -112,7 +111,7 @@ public final class Namer {
     @NotNull
     private final JsName traitName;
     @NotNull
-    private final JsName namespaceName;
+    private final JsExpression definePackage;
     @NotNull
     private final JsName objectName;
 
@@ -129,7 +128,9 @@ public final class Namer {
         kotlinName = rootScope.declareName(KOTLIN_OBJECT_NAME);
         kotlinScope = new JsScope(rootScope, "Kotlin standard object");
         traitName = kotlinScope.declareName(TRAIT_OBJECT_NAME);
-        namespaceName = kotlinScope.declareName(NAMESPACE_OBJECT_NAME);
+
+        definePackage = kotlin("definePackage");
+
         className = kotlinScope.declareName(CLASS_OBJECT_NAME);
         objectName = kotlinScope.declareName(OBJECT_OBJECT_NAME);
 
@@ -151,8 +152,8 @@ public final class Namer {
     }
 
     @NotNull
-    public JsExpression namespaceCreationMethodReference() {
-        return kotlin(namespaceName);
+    public JsExpression packageDefinitionMethodReference() {
+        return definePackage;
     }
 
     @NotNull
@@ -169,14 +170,17 @@ public final class Namer {
 
     @NotNull
     private JsExpression kotlin(@NotNull JsName name) {
-        JsNameRef reference = name.makeRef();
-        reference.setQualifier(kotlinName.makeRef());
-        return reference;
+        return kotlin(name.makeRef());
+    }
+
+    @NotNull
+    public JsExpression kotlin(@NotNull String name) {
+        return kotlin(kotlinScope.declareName(name));
     }
 
     @NotNull
     private JsExpression kotlin(@NotNull JsExpression reference) {
-        setQualifier(reference, kotlinName.makeRef());
+        setQualifier(reference, kotlinObject());
         return reference;
     }
 
diff --git a/js/js.translator/src/org/jetbrains/k2js/translate/context/StaticContext.java b/js/js.translator/src/org/jetbrains/k2js/translate/context/StaticContext.java
index d4aa5c4c3ef..094942b172b 100644
--- a/js/js.translator/src/org/jetbrains/k2js/translate/context/StaticContext.java
+++ b/js/js.translator/src/org/jetbrains/k2js/translate/context/StaticContext.java
@@ -18,13 +18,17 @@ package org.jetbrains.k2js.translate.context;
 
 import com.google.common.collect.Maps;
 import com.google.dart.compiler.backend.js.ast.*;
+import com.intellij.psi.PsiElement;
+import com.intellij.psi.PsiFile;
 import org.jetbrains.annotations.NotNull;
 import org.jetbrains.annotations.Nullable;
 import org.jetbrains.jet.lang.descriptors.*;
 import org.jetbrains.jet.lang.resolve.BindingContext;
+import org.jetbrains.jet.lang.resolve.BindingContextUtils;
 import org.jetbrains.jet.lang.resolve.DescriptorUtils;
 import org.jetbrains.jet.lang.types.lang.JetStandardLibrary;
 import org.jetbrains.k2js.config.EcmaVersion;
+import org.jetbrains.k2js.config.LibrarySourcesConfig;
 import org.jetbrains.k2js.translate.context.generator.Generator;
 import org.jetbrains.k2js.translate.context.generator.Rule;
 import org.jetbrains.k2js.translate.intrinsic.Intrinsics;
@@ -105,6 +109,11 @@ public final class StaticContext {
         return ecmaVersion == EcmaVersion.v5;
     }
 
+    @NotNull
+    public EcmaVersion getEcmaVersion() {
+        return ecmaVersion;
+    }
+
     @NotNull
     public JsProgram getProgram() {
         return program;
@@ -179,8 +188,16 @@ public final class StaticContext {
                     if (!(descriptor instanceof NamespaceDescriptor)) {
                         return null;
                     }
-                    String nameForNamespace = getNameForNamespace((NamespaceDescriptor) descriptor);
-                    return getRootScope().declareUnobfuscatableName(nameForNamespace);
+
+                    String name;
+                    if (DescriptorUtils.isRootNamespace((NamespaceDescriptor) descriptor)) {
+                        name = Namer.getRootNamespaceName();
+                    }
+                    else {
+                        name = descriptor.getName().getName();
+                    }
+
+                    return getRootScope().declareUnobfuscatableName(name);
                 }
             };
             Rule<JsName> memberDeclarationsInsideParentsScope = new Rule<JsName>() {
@@ -385,14 +402,50 @@ public final class StaticContext {
             Rule<JsNameRef> namespaceLevelDeclarationsHaveEnclosingNamespacesNamesAsQualifier = new Rule<JsNameRef>() {
                 @Override
                 public JsNameRef apply(@NotNull DeclarationDescriptor descriptor) {
-                    DeclarationDescriptor containingDeclaration = getContainingDeclaration(descriptor);
-                    if (!(containingDeclaration instanceof NamespaceDescriptor)) {
+                    DeclarationDescriptor containingDescriptor = getContainingDeclaration(descriptor);
+                    if (!(containingDescriptor instanceof NamespaceDescriptor)) {
                         return null;
                     }
-                    JsName containingDeclarationName = getNameForDescriptor(containingDeclaration);
-                    JsNameRef qualifier = containingDeclarationName.makeRef();
-                    qualifier.setQualifier(getQualifierForDescriptor(containingDeclaration));
-                    return qualifier;
+
+                    final JsNameRef result = new JsNameRef(getNameForDescriptor(containingDescriptor));
+                    if (DescriptorUtils.isRootNamespace((NamespaceDescriptor) containingDescriptor)) {
+                        return result;
+                    }
+
+                    JsNameRef qualifier = result;
+                    while ((containingDescriptor = getContainingDeclaration(containingDescriptor)) instanceof NamespaceDescriptor &&
+                           !DescriptorUtils.isRootNamespace((NamespaceDescriptor) containingDescriptor)) {
+                        JsNameRef ref = getNameForDescriptor(containingDescriptor).makeRef();
+                        qualifier.setQualifier(ref);
+                        qualifier = ref;
+                    }
+
+                    PsiElement element = BindingContextUtils.descriptorToDeclaration(bindingContext, descriptor);
+                    if (element == null && descriptor instanceof PropertyAccessorDescriptor) {
+                        element = BindingContextUtils.descriptorToDeclaration(bindingContext, ((PropertyAccessorDescriptor) descriptor)
+                                .getCorrespondingProperty());
+                    }
+
+                    if (element != null) {
+                        PsiFile file = element.getContainingFile();
+                        String moduleName = file.getUserData(LibrarySourcesConfig.EXTERNAL_MODULE_NAME);
+                        if (LibrarySourcesConfig.UNKNOWN_EXTERNAL_MODULE_NAME.equals(moduleName)) {
+                            return null;
+                        }
+                        else if (moduleName != null) {
+                            qualifier.setQualifier(new JsArrayAccess(namer.kotlin("modules"), program.getStringLiteral(moduleName)));
+                        }
+                        else if (result == qualifier && result.getIdent().equals("kotlin")) {
+                            // todo WebDemoExamples2Test#testBuilder, package "kotlin" from kotlin/js/js.libraries/src/stdlib/JUMaps.kt must be inlined
+                            return qualifier;
+                        }
+                    }
+
+                    if (qualifier.getQualifier() == null) {
+                        qualifier.setQualifier(new JsNameRef(Namer.getRootNamespaceName()));
+                    }
+
+                    return result;
                 }
             };
             Rule<JsNameRef> constructorHaveTheSameQualifierAsTheClass = new Rule<JsNameRef>() {
@@ -448,10 +501,7 @@ public final class StaticContext {
             Rule<Boolean> topLevelNamespaceHaveNoQualifier = new Rule<Boolean>() {
                 @Override
                 public Boolean apply(@NotNull DeclarationDescriptor descriptor) {
-                    if (!(descriptor instanceof NamespaceDescriptor)) {
-                        return null;
-                    }
-                    if (DescriptorUtils.isTopLevelNamespace((NamespaceDescriptor) descriptor)) {
+                    if (descriptor instanceof NamespaceDescriptor && DescriptorUtils.isRootNamespace((NamespaceDescriptor) descriptor)) {
                         return true;
                     }
                     return null;
diff --git a/js/js.translator/src/org/jetbrains/k2js/translate/context/TranslationContext.java b/js/js.translator/src/org/jetbrains/k2js/translate/context/TranslationContext.java
index a55a17687e9..07fc4f3ce79 100644
--- a/js/js.translator/src/org/jetbrains/k2js/translate/context/TranslationContext.java
+++ b/js/js.translator/src/org/jetbrains/k2js/translate/context/TranslationContext.java
@@ -24,6 +24,7 @@ import org.jetbrains.jet.lang.descriptors.CallableDescriptor;
 import org.jetbrains.jet.lang.descriptors.DeclarationDescriptor;
 import org.jetbrains.jet.lang.psi.JetExpression;
 import org.jetbrains.jet.lang.resolve.BindingContext;
+import org.jetbrains.k2js.config.EcmaVersion;
 import org.jetbrains.k2js.translate.intrinsic.Intrinsics;
 
 import java.util.Map;
@@ -58,6 +59,10 @@ public final class TranslationContext {
         return staticContext.isEcma5();
     }
 
+    public boolean isNotEcma3() {
+        return staticContext.getEcmaVersion() != EcmaVersion.v3;
+    }
+
     private TranslationContext(@NotNull StaticContext staticContext,
                                @NotNull DynamicContext dynamicContext,
                                @NotNull AliasingContext context) {
diff --git a/js/js.translator/src/org/jetbrains/k2js/translate/declaration/ClassDeclarationTranslator.java b/js/js.translator/src/org/jetbrains/k2js/translate/declaration/ClassDeclarationTranslator.java
index 67d5b0566bf..f6013a3c30e 100644
--- a/js/js.translator/src/org/jetbrains/k2js/translate/declaration/ClassDeclarationTranslator.java
+++ b/js/js.translator/src/org/jetbrains/k2js/translate/declaration/ClassDeclarationTranslator.java
@@ -18,13 +18,11 @@ package org.jetbrains.k2js.translate.declaration;
 
 import com.google.common.collect.BiMap;
 import com.google.common.collect.HashBiMap;
-import com.google.common.collect.Lists;
 import com.google.dart.compiler.backend.js.ast.*;
 import com.google.dart.compiler.util.AstUtil;
 import org.jetbrains.annotations.NotNull;
 import org.jetbrains.annotations.Nullable;
 import org.jetbrains.jet.lang.descriptors.ClassDescriptor;
-import org.jetbrains.jet.lang.descriptors.NamespaceDescriptor;
 import org.jetbrains.jet.lang.psi.JetClass;
 import org.jetbrains.k2js.translate.context.Namer;
 import org.jetbrains.k2js.translate.context.TranslationContext;
@@ -32,12 +30,12 @@ import org.jetbrains.k2js.translate.general.AbstractTranslator;
 import org.jetbrains.k2js.translate.general.Translation;
 import org.jetbrains.k2js.translate.utils.BindingUtils;
 import org.jetbrains.k2js.translate.utils.ClassSortingUtils;
+import org.jetbrains.k2js.translate.utils.JsAstUtils;
 
 import java.util.ArrayList;
 import java.util.List;
 
 import static org.jetbrains.k2js.translate.utils.JsAstUtils.*;
-import static org.jetbrains.k2js.translate.utils.JsDescriptorUtils.getAllClassesDefinedInNamespace;
 
 /**
  * @author Pavel Talanov
@@ -142,18 +140,17 @@ public final class ClassDeclarationTranslator extends AbstractTranslator {
     }
 
     @NotNull
-    public List<JsPropertyInitializer> classDeclarationsForNamespace(@NotNull NamespaceDescriptor namespaceDescriptor) {
-        List<JsPropertyInitializer> result = Lists.newArrayList();
-        for (ClassDescriptor classDescriptor : getAllClassesDefinedInNamespace(namespaceDescriptor, bindingContext())) {
-            result.add(getClassNameToClassObject(classDescriptor));
-        }
-        return result;
-    }
-
-    @NotNull
-    private JsPropertyInitializer getClassNameToClassObject(@NotNull ClassDescriptor classDescriptor) {
+    public JsPropertyInitializer getClassNameToClassObject(@NotNull ClassDescriptor classDescriptor) {
         JsName className = context().getNameForDescriptor(classDescriptor);
         JsNameRef alreadyDefinedClassReference = qualified(className, getDeclarationsObjectName().makeRef());
-        return new JsPropertyInitializer(className.makeRef(), alreadyDefinedClassReference);
+        JsExpression value;
+        if (context().isEcma5()) {
+            value = JsAstUtils.createDataDescriptor(alreadyDefinedClassReference, false, context());
+        }
+        else {
+            value = alreadyDefinedClassReference;
+        }
+
+        return new JsPropertyInitializer(className.makeRef(), value);
     }
 }
diff --git a/js/js.translator/src/org/jetbrains/k2js/translate/declaration/DeclarationBodyVisitor.java b/js/js.translator/src/org/jetbrains/k2js/translate/declaration/DeclarationBodyVisitor.java
index 73a973e089a..540d47e980b 100644
--- a/js/js.translator/src/org/jetbrains/k2js/translate/declaration/DeclarationBodyVisitor.java
+++ b/js/js.translator/src/org/jetbrains/k2js/translate/declaration/DeclarationBodyVisitor.java
@@ -19,6 +19,8 @@ package org.jetbrains.k2js.translate.declaration;
 import com.google.dart.compiler.backend.js.ast.JsExpression;
 import com.google.dart.compiler.backend.js.ast.JsPropertyInitializer;
 import org.jetbrains.annotations.NotNull;
+import org.jetbrains.annotations.Nullable;
+import org.jetbrains.jet.lang.descriptors.ClassDescriptor;
 import org.jetbrains.jet.lang.descriptors.FunctionDescriptor;
 import org.jetbrains.jet.lang.descriptors.NamespaceDescriptor;
 import org.jetbrains.jet.lang.descriptors.PropertyDescriptor;
@@ -39,6 +41,17 @@ import static org.jetbrains.k2js.translate.utils.BindingUtils.*;
  * @author Pavel Talanov
  */
 public final class DeclarationBodyVisitor extends TranslatorVisitor<List<JsPropertyInitializer>> {
+    @Nullable
+    private final ClassDeclarationTranslator classDeclarationTranslator;
+
+    public DeclarationBodyVisitor() {
+        classDeclarationTranslator = null;
+    }
+
+    public DeclarationBodyVisitor(ClassDeclarationTranslator classDeclarationTranslator) {
+        this.classDeclarationTranslator = classDeclarationTranslator;
+    }
+
     @NotNull
     public List<JsPropertyInitializer> traverseClass(@NotNull JetClassOrObject jetClass,
                                                      @NotNull TranslationContext context) {
@@ -51,7 +64,7 @@ public final class DeclarationBodyVisitor extends TranslatorVisitor<List<JsPrope
 
     @NotNull
     public List<JsPropertyInitializer> traverseNamespace(@NotNull NamespaceDescriptor namespace,
-                                                         @NotNull TranslationContext context) {
+            @NotNull TranslationContext context) {
         List<JsPropertyInitializer> properties = new ArrayList<JsPropertyInitializer>();
         for (JetDeclaration declaration : getDeclarationsForNamespace(context.bindingContext(), namespace)) {
             properties.addAll(declaration.accept(this, context));
@@ -62,7 +75,12 @@ public final class DeclarationBodyVisitor extends TranslatorVisitor<List<JsPrope
     @Override
     @NotNull
     public List<JsPropertyInitializer> visitClass(@NotNull JetClass expression, @NotNull TranslationContext context) {
-        return Collections.emptyList();
+        if (classDeclarationTranslator == null) {
+            return Collections.emptyList();
+        }
+
+        ClassDescriptor classDescriptor = getClassDescriptor(context.bindingContext(), expression);
+        return Collections.singletonList(classDeclarationTranslator.getClassNameToClassObject(classDescriptor));
     }
 
     @Override
diff --git a/js/js.translator/src/org/jetbrains/k2js/translate/declaration/NamespaceDeclarationTranslator.java b/js/js.translator/src/org/jetbrains/k2js/translate/declaration/NamespaceDeclarationTranslator.java
index 6edbad6fac6..e69fa16dc6d 100644
--- a/js/js.translator/src/org/jetbrains/k2js/translate/declaration/NamespaceDeclarationTranslator.java
+++ b/js/js.translator/src/org/jetbrains/k2js/translate/declaration/NamespaceDeclarationTranslator.java
@@ -24,12 +24,10 @@ import org.jetbrains.jet.lang.descriptors.ClassDescriptor;
 import org.jetbrains.jet.lang.descriptors.NamespaceDescriptor;
 import org.jetbrains.jet.lang.psi.JetFile;
 import org.jetbrains.jet.lang.resolve.DescriptorUtils;
-import org.jetbrains.k2js.translate.context.Namer;
 import org.jetbrains.k2js.translate.context.TranslationContext;
 import org.jetbrains.k2js.translate.general.AbstractTranslator;
 import org.jetbrains.k2js.translate.utils.JsAstUtils;
 import org.jetbrains.k2js.translate.utils.JsDescriptorUtils;
-import org.jetbrains.k2js.translate.utils.TranslationUtils;
 
 import java.util.ArrayList;
 import java.util.List;
@@ -37,7 +35,6 @@ import java.util.Set;
 
 import static org.jetbrains.k2js.translate.utils.BindingUtils.getAllNonNativeNamespaceDescriptors;
 import static org.jetbrains.k2js.translate.utils.JsDescriptorUtils.getAllClassesDefinedInNamespace;
-import static org.jetbrains.k2js.translate.utils.JsAstUtils.setQualifier;
 
 /**
  * @author Pavel Talanov
@@ -85,8 +82,8 @@ public final class NamespaceDeclarationTranslator extends AbstractTranslator {
 
     private void namespacesDeclarations(List<JsStatement> statements) {
         List<NamespaceTranslator> namespaceTranslators = getTranslatorsForNonEmptyNamespaces();
-        statements.addAll(declarationStatements(namespaceTranslators, context()));
-        statements.addAll(initializeStatements());
+        declarationStatements(namespaceTranslators, statements);
+        initializeStatements(namespaceTranslators, statements);
     }
 
     @NotNull
@@ -98,34 +95,31 @@ public final class NamespaceDeclarationTranslator extends AbstractTranslator {
         return namespaceTranslators;
     }
 
-    @NotNull
-    private static List<JsStatement> declarationStatements(@NotNull List<NamespaceTranslator> namespaceTranslators, TranslationContext context) {
-        List<JsStatement> result = Lists.newArrayList();
-
-        JsNameRef defs = JsAstUtils.qualified(context.jsScope().declareName("defs"), context.namer().kotlinObject());
-        for (NamespaceTranslator translator : namespaceTranslators) {
-            JsVars vars = translator.getDeclarationAsVar();
-
-            JsVars.JsVar var = vars.iterator().next();
-            JsNameRef ref = new JsNameRef(var.getName());
-            ref.setQualifier(defs);
-
-            result.add(vars);
-            result.add(JsAstUtils.assignment(ref, new JsNameRef(var.getName())).makeStmt());
+    private void declarationStatements(@NotNull List<NamespaceTranslator> namespaceTranslators,
+            @NotNull List<JsStatement> statements) {
+        JsObjectLiteral objectLiteral = new JsObjectLiteral();
+        JsNameRef packageMapNameRef = context().jsScope().declareName("_").makeRef();
+        JsExpression packageMapValue;
+        if (context().isNotEcma3()) {
+            packageMapValue = AstUtil.newInvocation(JsAstUtils.CREATE_OBJECT, context().program().getNullLiteral(), objectLiteral);
+        }
+        else {
+            packageMapValue = objectLiteral;
+        }
+        statements.add(JsAstUtils.newVar(packageMapNameRef.getName(), packageMapValue));
+
+        for (NamespaceTranslator translator : namespaceTranslators) {
+            translator.addNamespaceDeclaration(objectLiteral.getPropertyInitializers());
         }
-        return result;
     }
 
-    @NotNull
-    private List<JsStatement> initializeStatements() {
-        List<JsStatement> result = Lists.newArrayList();
-        for (NamespaceDescriptor descriptor : filterNonEmptyNamespaces(namespaceDescriptors)) {
-            JsNameRef initializeMethodReference = Namer.initializeMethodReference();
-            JsNameRef fqNamespaceNameRef = TranslationUtils.getQualifiedReference(context(), descriptor);
-            setQualifier(initializeMethodReference, fqNamespaceNameRef);
-            result.add(AstUtil.newInvocation(initializeMethodReference).makeStmt());
+    private static void initializeStatements(@NotNull List<NamespaceTranslator> namespaceTranslators,
+            @NotNull List<JsStatement> statements) {
+        for (NamespaceTranslator translator : namespaceTranslators) {
+            for (JsExpression expression : translator.getInitializers()) {
+                statements.add(expression.makeStmt());
+            }
         }
-        return result;
     }
 
     @NotNull
diff --git a/js/js.translator/src/org/jetbrains/k2js/translate/declaration/NamespaceTranslator.java b/js/js.translator/src/org/jetbrains/k2js/translate/declaration/NamespaceTranslator.java
index f72784bcfd3..6a92dd3340b 100644
--- a/js/js.translator/src/org/jetbrains/k2js/translate/declaration/NamespaceTranslator.java
+++ b/js/js.translator/src/org/jetbrains/k2js/translate/declaration/NamespaceTranslator.java
@@ -25,15 +25,14 @@ import org.jetbrains.jet.lang.resolve.DescriptorUtils;
 import org.jetbrains.k2js.translate.context.TranslationContext;
 import org.jetbrains.k2js.translate.general.AbstractTranslator;
 import org.jetbrains.k2js.translate.general.Translation;
-import org.jetbrains.k2js.translate.initializer.InitializerUtils;
+import org.jetbrains.k2js.translate.utils.JsAstUtils;
 import org.jetbrains.k2js.translate.utils.JsDescriptorUtils;
+import org.jetbrains.k2js.translate.utils.TranslationUtils;
 
 import java.util.ArrayList;
-import java.util.Collections;
 import java.util.List;
 
 import static org.jetbrains.k2js.translate.utils.JsAstUtils.newObjectLiteral;
-import static org.jetbrains.k2js.translate.utils.JsAstUtils.newVar;
 
 /**
  * @author Pavel.Talanov
@@ -49,6 +48,9 @@ public final class NamespaceTranslator extends AbstractTranslator {
     @NotNull
     private final ClassDeclarationTranslator classDeclarationTranslator;
 
+    @NotNull
+    private final List<JsExpression> initializers = new ArrayList<JsExpression>();
+
     /*package*/ NamespaceTranslator(@NotNull NamespaceDescriptor descriptor,
                                     @NotNull ClassDeclarationTranslator classDeclarationTranslator,
                                     @NotNull TranslationContext context) {
@@ -58,80 +60,81 @@ public final class NamespaceTranslator extends AbstractTranslator {
         this.classDeclarationTranslator = classDeclarationTranslator;
     }
 
-
     @NotNull
-    public JsVars getDeclarationAsVar() {
-        return newVar(namespaceName, getNamespaceDeclaration());
+    public List<JsExpression> getInitializers() {
+        return initializers;
     }
 
     @NotNull
     public JsPropertyInitializer getDeclarationAsInitializer() {
+        addNamespaceInitializer();
         return new JsPropertyInitializer(namespaceName.makeRef(), getNamespaceDeclaration());
     }
 
+    public void addNamespaceDeclaration(List<JsPropertyInitializer> list) {
+        addNamespaceInitializer();
+
+        if (DescriptorUtils.isRootNamespace(descriptor)) {
+            list.addAll(getFunctionsAndClasses());
+            return;
+        }
+
+        JsExpression value = getNamespaceDeclaration();
+        if (context().isNotEcma3()) {
+            value = JsAstUtils.createDataDescriptor(value, false, context());
+        }
+
+        list.add(new JsPropertyInitializer(namespaceName.makeRef(), value));
+    }
+
     @NotNull
     private JsInvocation getNamespaceDeclaration() {
         JsInvocation namespaceDeclaration = namespaceCreateMethodInvocation();
-        addNamespaceInitializersAndProperties(namespaceDeclaration);
-        namespaceDeclaration.getArguments().add(getClassesAndNestedNamespaces());
+        addIfNeed(getFunctionsAndClasses(), namespaceDeclaration.getArguments());
+        addIfNeed(getNestedNamespaceDeclarations(), namespaceDeclaration.getArguments());
         return namespaceDeclaration;
     }
 
-    private void addNamespaceInitializersAndProperties(@NotNull JsInvocation namespaceDeclaration) {
+    private void addNamespaceInitializer() {
         JsFunction initializer = Translation.generateNamespaceInitializerMethod(descriptor, context());
-        List<JsPropertyInitializer> properties = new DeclarationBodyVisitor().traverseNamespace(descriptor, context());
-        if (context().isEcma5()) {
-            addEcma5InitializersAndProperties(namespaceDeclaration.getArguments(), initializer, properties);
-        }
-        else {
-            addEcma3InitializersAndProperties(namespaceDeclaration, initializer, properties);
+        if (!initializer.getBody().getStatements().isEmpty()) {
+            JsNameRef call = new JsNameRef("call");
+            call.setQualifier(initializer);
+            JsInvocation invocation = new JsInvocation();
+            invocation.setQualifier(call);
+            invocation.getArguments().add(TranslationUtils.getQualifiedReference(context(), descriptor));
+            initializers.add(invocation);
         }
     }
 
-    private static void addEcma3InitializersAndProperties(@NotNull JsInvocation namespaceDeclaration,
-            @NotNull JsFunction initializer,
-            @NotNull List<JsPropertyInitializer> properties) {
-        List<JsPropertyInitializer> propertyList = new ArrayList<JsPropertyInitializer>();
-        propertyList.add(InitializerUtils.generateInitializeMethod(initializer));
-        propertyList.addAll(properties);
-        namespaceDeclaration.getArguments().add(newObjectLiteral(propertyList));
-    }
-
-    private void addEcma5InitializersAndProperties(@NotNull List<JsExpression> expressions,
-            @NotNull JsFunction initializer,
-            @NotNull List<JsPropertyInitializer> properties) {
-        expressions.add(initializer.getBody().getStatements().isEmpty() ? context().program().getNullLiteral() : initializer);
-        expressions.add(properties.isEmpty() ? context().program().getNullLiteral() : newObjectLiteral(properties));
+    private List<JsPropertyInitializer> getFunctionsAndClasses() {
+        return new DeclarationBodyVisitor(classDeclarationTranslator).traverseNamespace(descriptor, context());
     }
 
     @NotNull
     private JsInvocation namespaceCreateMethodInvocation() {
-        return AstUtil.newInvocation(context().namer().namespaceCreationMethodReference());
+        return AstUtil.newInvocation(context().namer().packageDefinitionMethodReference());
     }
 
-    @NotNull
-    private JsObjectLiteral getClassesAndNestedNamespaces() {
-        JsObjectLiteral classesAndNestedNamespaces = new JsObjectLiteral();
-        classesAndNestedNamespaces.getPropertyInitializers().addAll(getClassesDefined());
-        classesAndNestedNamespaces.getPropertyInitializers().addAll(getNestedNamespaceDeclarations());
-        return classesAndNestedNamespaces;
-    }
-
-    @NotNull
-    private List<JsPropertyInitializer> getClassesDefined() {
-        return classDeclarationTranslator.classDeclarationsForNamespace(descriptor);
+    private void addIfNeed(@NotNull List<JsPropertyInitializer> declarations, @NotNull List<JsExpression> expressions) {
+        // ecma5 expects strict number of arguments, but ecma3 doesn't
+        if (!declarations.isEmpty()) {
+            expressions.add(newObjectLiteral(declarations));
+        }
+        else if (context().isNotEcma3()) {
+            expressions.add(context().program().getNullLiteral());
+        }
     }
 
     @NotNull
     private List<JsPropertyInitializer> getNestedNamespaceDeclarations() {
-        if (DescriptorUtils.isRootNamespace(descriptor)) {
-            return Collections.emptyList();
-        }
         List<JsPropertyInitializer> result = Lists.newArrayList();
         List<NamespaceDescriptor> nestedNamespaces = JsDescriptorUtils.getNestedNamespaces(descriptor, context().bindingContext());
         for (NamespaceDescriptor nestedNamespace : nestedNamespaces) {
             NamespaceTranslator nestedNamespaceTranslator = new NamespaceTranslator(nestedNamespace, classDeclarationTranslator, context());
             result.add(nestedNamespaceTranslator.getDeclarationAsInitializer());
+
+            initializers.addAll(nestedNamespaceTranslator.getInitializers());
         }
         return result;
     }
diff --git a/js/js.translator/src/org/jetbrains/k2js/translate/general/Translation.java b/js/js.translator/src/org/jetbrains/k2js/translate/general/Translation.java
index f784f264771..1bc80741eb5 100644
--- a/js/js.translator/src/org/jetbrains/k2js/translate/general/Translation.java
+++ b/js/js.translator/src/org/jetbrains/k2js/translate/general/Translation.java
@@ -19,6 +19,7 @@ package org.jetbrains.k2js.translate.general;
 import com.google.dart.compiler.backend.js.JsNamer;
 import com.google.dart.compiler.backend.js.JsPrettyNamer;
 import com.google.dart.compiler.backend.js.ast.*;
+import com.google.dart.compiler.util.AstUtil;
 import com.intellij.openapi.util.text.StringUtil;
 import org.jetbrains.annotations.NotNull;
 import org.jetbrains.jet.lang.descriptors.ClassDescriptor;
@@ -28,7 +29,7 @@ import org.jetbrains.jet.lang.descriptors.NamespaceDescriptor;
 import org.jetbrains.jet.lang.psi.*;
 import org.jetbrains.jet.lang.resolve.BindingContext;
 import org.jetbrains.jet.lang.types.lang.JetStandardLibrary;
-import org.jetbrains.k2js.config.EcmaVersion;
+import org.jetbrains.k2js.config.Config;
 import org.jetbrains.k2js.facade.MainCallParameters;
 import org.jetbrains.k2js.facade.exceptions.MainFunctionNotFoundException;
 import org.jetbrains.k2js.facade.exceptions.TranslationException;
@@ -148,10 +149,10 @@ public final class Translation {
     @NotNull
     public static JsProgram generateAst(@NotNull BindingContext bindingContext,
             @NotNull List<JetFile> files, @NotNull MainCallParameters mainCallParameters,
-            @NotNull EcmaVersion ecmaVersion, List<String> rawStatements)
+            @NotNull Config config, List<String> rawStatements)
             throws TranslationException {
         try {
-            return doGenerateAst(bindingContext, files, mainCallParameters, ecmaVersion, rawStatements);
+            return doGenerateAst(bindingContext, files, mainCallParameters, config, rawStatements);
         }
         catch (UnsupportedOperationException e) {
             throw new UnsupportedFeatureException("Unsupported feature used.", e);
@@ -164,10 +165,10 @@ public final class Translation {
     @NotNull
     private static JsProgram doGenerateAst(@NotNull BindingContext bindingContext, @NotNull List<JetFile> files,
             @NotNull MainCallParameters mainCallParameters,
-            @NotNull EcmaVersion ecmaVersion, List<String> rawStatements) throws MainFunctionNotFoundException {
+            @NotNull Config config, List<String> rawStatements) throws MainFunctionNotFoundException {
         //TODO: move some of the code somewhere
         JetStandardLibrary standardLibrary = JetStandardLibrary.getInstance();
-        StaticContext staticContext = StaticContext.generateStaticContext(standardLibrary, bindingContext, ecmaVersion);
+        StaticContext staticContext = StaticContext.generateStaticContext(standardLibrary, bindingContext, config.getTarget());
         JsProgram program = staticContext.getProgram();
         JsBlock block = program.getGlobalBlock();
 
@@ -177,6 +178,8 @@ public final class Translation {
 
         TranslationContext context = TranslationContext.rootContext(staticContext);
         statements.addAll(translateFiles(files, context));
+        defineModule(statements, context, config);
+
         if (mainCallParameters.shouldBeGenerated()) {
             statements.add(generateCallToMain(context, files, mainCallParameters.arguments()));
         }
@@ -186,6 +189,14 @@ public final class Translation {
         return context.program();
     }
 
+    private static void defineModule(@NotNull List<JsStatement> statements,
+            @NotNull TranslationContext context,
+            @NotNull Config config) {
+        statements.add(AstUtil.newInvocation(context.namer().kotlin("defineModule"),
+                                             context.program().getStringLiteral(config.getModuleId()),
+                                             context.jsScope().declareName("_").makeRef()).makeStmt());
+    }
+
     @NotNull
     private static JsStatement generateCallToMain(@NotNull TranslationContext context, @NotNull List<JetFile> files,
             @NotNull List<String> arguments) throws MainFunctionNotFoundException {
@@ -214,12 +225,12 @@ public final class Translation {
         JsAstUtils.setArguments(translatedCall, Collections.<JsExpression>singletonList(arrayLiteral));
     }
 
-    @NotNull
     private static void generateTestCalls(@NotNull TranslationContext context,
             @NotNull List<JetFile> files,
             @NotNull JsBlock block,
             List<String> rawStatements) {
         ClassDescriptor lastClassDescriptor = null;
+        boolean declaredVar = false;
         List<JetNamedFunction> functions = JetTestFunctionDetector.findTestFunctions(context.bindingContext(), files);
         for (JetNamedFunction function : functions) {
             FunctionDescriptor functionDescriptor = getFunctionDescriptor(context.bindingContext(), function);
@@ -228,9 +239,16 @@ public final class Translation {
             if (containingDeclaration instanceof ClassDescriptor) {
                 ClassDescriptor classDescriptor = (ClassDescriptor) containingDeclaration;
                 String className = getQualifiedName(classDescriptor);
+                if (lastClassDescriptor != classDescriptor) {
+                    lastClassDescriptor = classDescriptor;
+                    String prefix = "";
+                    if (!declaredVar) {
+                        prefix = "var ";
+                        declaredVar = true;
+                    }
+                    rawStatements.add(prefix + "_testCase = new Kotlin.main." + className + "();");
+                }
                 rawStatements.add("QUnit.test( \"" + className + "." + funName + "()\" , function() {");
-                String prefix = "    var ";
-                rawStatements.add(prefix + "_testCase = new Kotlin.defs." + className + "();");
                 //rawStatements.add("    expect(0);");
                 rawStatements.add("    _testCase." + funName + "();");
             } else {
diff --git a/js/js.translator/src/org/jetbrains/k2js/translate/reference/CallTranslator.java b/js/js.translator/src/org/jetbrains/k2js/translate/reference/CallTranslator.java
index ca42397faaf..ff97abb9815 100644
--- a/js/js.translator/src/org/jetbrains/k2js/translate/reference/CallTranslator.java
+++ b/js/js.translator/src/org/jetbrains/k2js/translate/reference/CallTranslator.java
@@ -213,7 +213,7 @@ public final class CallTranslator extends AbstractTranslator {
 
     @NotNull
     private JsInvocation generateCallMethodInvocation() {
-        JsNameRef callMethodNameRef = AstUtil.newQualifiedNameRef("call");
+        JsNameRef callMethodNameRef = new JsNameRef("call");
         JsInvocation callMethodInvocation = new JsInvocation();
         callMethodInvocation.setQualifier(callMethodNameRef);
         setQualifier(callMethodInvocation, callParameters.getFunctionReference());
diff --git a/js/js.translator/src/org/jetbrains/k2js/translate/utils/BindingUtils.java b/js/js.translator/src/org/jetbrains/k2js/translate/utils/BindingUtils.java
index a5e0f1de3b2..74185298b9f 100644
--- a/js/js.translator/src/org/jetbrains/k2js/translate/utils/BindingUtils.java
+++ b/js/js.translator/src/org/jetbrains/k2js/translate/utils/BindingUtils.java
@@ -16,8 +16,8 @@
 
 package org.jetbrains.k2js.translate.utils;
 
-import com.google.common.collect.Sets;
 import com.intellij.psi.PsiElement;
+import com.intellij.util.containers.OrderedSet;
 import org.jetbrains.annotations.NotNull;
 import org.jetbrains.annotations.Nullable;
 import org.jetbrains.jet.lang.descriptors.*;
@@ -321,7 +321,7 @@ public final class BindingUtils {
     @NotNull
     public static Set<NamespaceDescriptor> getAllNonNativeNamespaceDescriptors(@NotNull BindingContext context,
             @NotNull List<JetFile> files) {
-        Set<NamespaceDescriptor> descriptorSet = Sets.newHashSet();
+        Set<NamespaceDescriptor> descriptorSet = new OrderedSet<NamespaceDescriptor>();
         for (JetFile file : files) {
             //TODO: can't be
             NamespaceDescriptor namespaceDescriptor = getNamespaceDescriptor(context, file);
diff --git a/js/js.translator/src/org/jetbrains/k2js/translate/utils/JsAstUtils.java b/js/js.translator/src/org/jetbrains/k2js/translate/utils/JsAstUtils.java
index 199a00d85af..f9a479d7bfd 100644
--- a/js/js.translator/src/org/jetbrains/k2js/translate/utils/JsAstUtils.java
+++ b/js/js.translator/src/org/jetbrains/k2js/translate/utils/JsAstUtils.java
@@ -33,11 +33,13 @@ import java.util.*;
  */
 public final class JsAstUtils {
     private static final JsNameRef DEFINE_PROPERTY = new JsNameRef("defineProperty");
+    public static final JsNameRef CREATE_OBJECT = new JsNameRef("create");
     private static final JsNameRef EMPTY_REF = new JsNameRef("");
 
     static {
         JsNameRef globalObjectReference = new JsNameRef("Object");
         DEFINE_PROPERTY.setQualifier(globalObjectReference);
+        CREATE_OBJECT.setQualifier(globalObjectReference);
     }
 
     private JsAstUtils() {
@@ -301,21 +303,26 @@ public final class JsAstUtils {
         return createPropertyDataDescriptor(descriptor.getModality().isOverridable(), descriptor, value, context);
     }
 
+    @NotNull
+    public static JsObjectLiteral createDataDescriptor(@NotNull JsExpression value, boolean writable, @NotNull TranslationContext context) {
+        JsObjectLiteral dataDescriptor = new JsObjectLiteral();
+        dataDescriptor.getPropertyInitializers().add(new JsPropertyInitializer(context.program().getStringLiteral("value"), value));
+        if (writable) {
+            dataDescriptor.getPropertyInitializers().add(context.namer().writablePropertyDescriptorField());
+        }
+        return dataDescriptor;
+    }
+
     @NotNull
     private static JsObjectLiteral createPropertyDataDescriptor(boolean writable,
             @NotNull DeclarationDescriptor descriptor,
             @NotNull JsExpression value,
             @NotNull TranslationContext context) {
-        JsObjectLiteral jsPropertyDescriptor = new JsObjectLiteral();
-        List<JsPropertyInitializer> meta = jsPropertyDescriptor.getPropertyInitializers();
-        meta.add(new JsPropertyInitializer(context.program().getStringLiteral("value"), value));
-        if (writable) {
-            meta.add(context.namer().writablePropertyDescriptorField());
-        }
+        JsObjectLiteral dataDescriptor = createDataDescriptor(value, writable, context);
         if (AnnotationsUtils.isEnumerable(descriptor)) {
-            meta.add(context.namer().enumerablePropertyDescriptorField());
+            dataDescriptor.getPropertyInitializers().add(context.namer().enumerablePropertyDescriptorField());
         }
-        return jsPropertyDescriptor;
+        return dataDescriptor;
     }
 
     @NotNull
diff --git a/js/js.translator/src/org/jetbrains/k2js/translate/utils/JsDescriptorUtils.java b/js/js.translator/src/org/jetbrains/k2js/translate/utils/JsDescriptorUtils.java
index 2c488397016..bf7f76bb8f7 100644
--- a/js/js.translator/src/org/jetbrains/k2js/translate/utils/JsDescriptorUtils.java
+++ b/js/js.translator/src/org/jetbrains/k2js/translate/utils/JsDescriptorUtils.java
@@ -30,7 +30,6 @@ import org.jetbrains.jet.lang.resolve.scopes.receivers.ReceiverDescriptor;
 import org.jetbrains.jet.lang.types.JetType;
 import org.jetbrains.jet.lang.types.expressions.OperatorConventions;
 import org.jetbrains.k2js.config.LibrarySourcesConfig;
-import org.jetbrains.k2js.translate.context.Namer;
 
 import java.util.ArrayList;
 import java.util.Collection;
@@ -145,16 +144,6 @@ public final class JsDescriptorUtils {
         return (functionDescriptor.getReceiverParameter().exists());
     }
 
-    @NotNull
-    public static String getNameForNamespace(@NotNull NamespaceDescriptor descriptor) {
-        if (descriptor.getContainingDeclaration() instanceof ModuleDescriptor) {
-            return Namer.getRootNamespaceName();
-        }
-        else {
-            return descriptor.getName().getName();
-        }
-    }
-
     //TODO: why callable descriptor
     @Nullable
     public static DeclarationDescriptor getExpectedThisDescriptor(@NotNull CallableDescriptor callableDescriptor) {
@@ -239,13 +228,18 @@ public final class JsDescriptorUtils {
         List<DeclarationDescriptor> result = Lists.newArrayList();
         for (DeclarationDescriptor descriptor : namespace.getMemberScope().getAllDescriptors()) {
             if (!AnnotationsUtils.isPredefinedObject(descriptor)) {
-                PsiElement psiElement = BindingContextUtils.descriptorToDeclaration(context, descriptor);
-                if (psiElement != null) {
-                    PsiFile file = psiElement.getContainingFile();
-                    if (file.getUserData(LibrarySourcesConfig.EXTERNAL_LIB) == null) {
-                        result.add(descriptor);
+                // namespace may be defined in multiple files
+                if (!(descriptor instanceof NamespaceDescriptor)) {
+                    PsiElement psiElement = BindingContextUtils.descriptorToDeclaration(context, descriptor);
+                    if (psiElement != null) {
+                        PsiFile file = psiElement.getContainingFile();
+                        if (file.getUserData(LibrarySourcesConfig.EXTERNAL_MODULE_NAME) != null) {
+                            continue;
+                        }
                     }
                 }
+
+                result.add(descriptor);
             }
         }
         return result;
diff --git a/js/js.translator/src/org/jetbrains/k2js/translate/utils/PsiUtils.java b/js/js.translator/src/org/jetbrains/k2js/translate/utils/PsiUtils.java
index 4a505f325f3..e4f08b3a55a 100644
--- a/js/js.translator/src/org/jetbrains/k2js/translate/utils/PsiUtils.java
+++ b/js/js.translator/src/org/jetbrains/k2js/translate/utils/PsiUtils.java
@@ -23,7 +23,6 @@ import org.jetbrains.annotations.Nullable;
 import org.jetbrains.jet.lang.psi.*;
 import org.jetbrains.jet.lexer.JetToken;
 import org.jetbrains.jet.lexer.JetTokens;
-import org.jetbrains.k2js.translate.context.Namer;
 
 import java.util.Collections;
 import java.util.List;
@@ -143,17 +142,6 @@ public final class PsiUtils {
         return nameAsDeclaration;
     }
 
-    @NotNull
-    public static String getNamespaceName(@NotNull JetFile psiFile) {
-        JetNamespaceHeader namespaceHeader = psiFile.getNamespaceHeader();
-        String name = namespaceHeader.getName();
-        assert name != null : "NamespaceHeader must have a name";
-        if (name.isEmpty()) {
-            return Namer.getRootNamespaceName();
-        }
-        return name;
-    }
-
     @NotNull
     public static JetExpression getLoopRange(@NotNull JetForExpression expression) {
         JetExpression rangeExpression = expression.getLoopRange();
diff --git a/js/js.translator/src/org/jetbrains/k2js/translate/utils/TranslationUtils.java b/js/js.translator/src/org/jetbrains/k2js/translate/utils/TranslationUtils.java
index bfa8dbd6463..30a5d686e18 100644
--- a/js/js.translator/src/org/jetbrains/k2js/translate/utils/TranslationUtils.java
+++ b/js/js.translator/src/org/jetbrains/k2js/translate/utils/TranslationUtils.java
@@ -43,7 +43,7 @@ import static org.jetbrains.k2js.translate.utils.JsDescriptorUtils.getExpectedRe
  */
 public final class TranslationUtils {
 
-    private static JsNameRef UNDEFINED_LITERAL = AstUtil.newQualifiedNameRef("undefined");
+    private static final JsNameRef UNDEFINED_LITERAL = AstUtil.newQualifiedNameRef("undefined");
 
     private TranslationUtils() {
     }
@@ -64,11 +64,7 @@ public final class TranslationUtils {
     @NotNull
     private static JsPropertyInitializer translateExtensionFunctionAsEcma5PropertyDescriptor(@NotNull JsFunction function,
             @NotNull FunctionDescriptor descriptor, @NotNull TranslationContext context) {
-        JsObjectLiteral meta = new JsObjectLiteral();
-        meta.getPropertyInitializers().add(new JsPropertyInitializer(context.program().getStringLiteral("value"), function));
-        if (descriptor.getModality().isOverridable()) {
-            meta.getPropertyInitializers().add(context.namer().writablePropertyDescriptorField());
-        }
+        JsObjectLiteral meta = JsAstUtils.createDataDescriptor(function, descriptor.getModality().isOverridable(), context);
         return new JsPropertyInitializer(context.getNameForDescriptor(descriptor).makeRef(), meta);
     }
 
diff --git a/js/js.translator/testFiles/kotlinLib/cases/namespace.js b/js/js.translator/testFiles/kotlinLib/cases/namespace.js
index 2348996f0a9..6339c2bbf7d 100644
--- a/js/js.translator/testFiles/kotlinLib/cases/namespace.js
+++ b/js/js.translator/testFiles/kotlinLib/cases/namespace.js
@@ -14,9 +14,7 @@
  * limitations under the License.
  */
 
-foo = Kotlin.createNamespace({initialize:function(){
-}
-, box:function(){
+foo = Kotlin.definePackage({box:function(){
   return !false;
 }
 });
diff --git a/js/js.translator/testFiles/kotlinLib/cases/namespaceWithClasses.js b/js/js.translator/testFiles/kotlinLib/cases/namespaceWithClasses.js
index 69a33df0984..97b14892e1d 100644
--- a/js/js.translator/testFiles/kotlinLib/cases/namespaceWithClasses.js
+++ b/js/js.translator/testFiles/kotlinLib/cases/namespaceWithClasses.js
@@ -46,9 +46,7 @@
     return {A:A, B:B, C:C};
   }
   ();
-  foo = Kotlin.createNamespace(classes, {initialize:function(){
-  }
-  , box:function(){
+  foo = Kotlin.definePackage(classes, {box:function(){
     return (new foo.C).get_order() === 'ABC' && (new foo.B).get_order() === 'AB' && (new foo.A).get_order() === 'A';
   }
   });
diff --git a/js/js.translator/testFiles/kotlin_lib.js b/js/js.translator/testFiles/kotlin_lib.js
index 6a16d9011aa..fd4ba8320f1 100644
--- a/js/js.translator/testFiles/kotlin_lib.js
+++ b/js/js.translator/testFiles/kotlin_lib.js
@@ -31,7 +31,7 @@ var kotlin = {set:function (receiver, key, value) {
         return (obj1 === obj2);
     };
 
-    Kotlin.defs = {};
+    Kotlin.modules = {};
     Kotlin.Exceptions = {};
     Kotlin.Exception = Kotlin.$createClass();
     Kotlin.RuntimeException = Kotlin.$createClass(Kotlin.Exception);
@@ -44,7 +44,7 @@ var kotlin = {set:function (receiver, key, value) {
     Kotlin.Exceptions.UnsupportedOperationException = Kotlin.$createClass(Kotlin.Exception);
     Kotlin.Exceptions.IOException = Kotlin.$createClass(Kotlin.Exception);
 
-    Kotlin.throwNPE = function() {
+    Kotlin.throwNPE = function () {
         throw Kotlin.$new(Kotlin.Exceptions.NullPointerException)();
     };
 
diff --git a/js/js.translator/testFiles/kotlin_lib_ecma3.js b/js/js.translator/testFiles/kotlin_lib_ecma3.js
index f20ce1955b2..81a472c5312 100644
--- a/js/js.translator/testFiles/kotlin_lib_ecma3.js
+++ b/js/js.translator/testFiles/kotlin_lib_ecma3.js
@@ -141,9 +141,7 @@ var Kotlin = {};
         }
     })();
 
-    Kotlin.createNamespace = function () {
-        return Kotlin.createTrait.apply(null, arguments);
-    };
+    Kotlin.definePackage = Kotlin.createTrait;
 
     Kotlin.createClass = (function () {
         var METHODS = {addMethods: addMethods};
@@ -243,4 +241,12 @@ var Kotlin = {};
         var singletonClass = Kotlin.createClass.apply(null, arguments);
         return new singletonClass();
     };
+
+    Kotlin.defineModule = function (id, module) {
+        if (id in Kotlin.modules) {
+            throw Kotlin.$new(Kotlin.Exceptions.IllegalArgumentException)();
+        }
+
+        Kotlin.modules[id] = module;
+    };
 })();
diff --git a/js/js.translator/testFiles/kotlin_lib_ecma5.js b/js/js.translator/testFiles/kotlin_lib_ecma5.js
index b97c3e2800f..2398cc00ae4 100644
--- a/js/js.translator/testFiles/kotlin_lib_ecma5.js
+++ b/js/js.translator/testFiles/kotlin_lib_ecma5.js
@@ -110,18 +110,27 @@ var Kotlin = {};
         return o;
     };
 
-    function emptyFunction() {
-    }
 
-    Kotlin.createNamespace = function (initializer, properties, classesAndNestedNamespaces) {
-        var o = Object.create(null, properties || undefined);
-        Object.defineProperty(o, "initialize", {value: initializer || emptyFunction});
-        var keys = Object.keys(classesAndNestedNamespaces);
-        for (var i = 0, n = keys.length; i < n; i++) {
-            var name = keys[i];
-            Object.defineProperty(o, name, {value: classesAndNestedNamespaces[name]});
+    Kotlin.definePackage = function (functionsAndClasses, nestedNamespaces) {
+        //var p = parent[localName];
+        //if (!p) {
+        //    p = Object.create(null, functionsAndClasses || undefined);
+        //    Object.defineProperty(parent, localName, {value: p});
+        //}
+        //else if (functionsAndClasses) {
+        //    Object.defineProperties(p, functionsAndClasses);
+        //}
+        var p = Object.create(null, functionsAndClasses || undefined);
+
+        if (nestedNamespaces) {
+            var keys = Object.keys(nestedNamespaces);
+            for (var i = 0, n = keys.length; i < n; i++) {
+                var name = keys[i];
+                Object.defineProperty(p, name, {value:nestedNamespaces[name]});
+            }
         }
-        return o;
+
+        return p;
     };
 
     Kotlin.$new = function (f) {
@@ -170,4 +179,13 @@ var Kotlin = {};
 
         return Kotlin.createClass(parent || null, initializer, descriptors);
     };
+
+    Kotlin.defineModule = function (id, module) {
+        if (id in Kotlin.modules) {
+            throw Kotlin.$new(Kotlin.Exceptions.IllegalArgumentException)();
+        }
+
+        Object.freeze(module);
+        Object.defineProperty(Kotlin.modules, id, {value: module});
+    };
 })();