diff --git a/idea/src/org/jetbrains/jet/plugin/JetBundle.properties b/idea/src/org/jetbrains/jet/plugin/JetBundle.properties
index 49c3e205664..dc639cfd5bd 100644
--- a/idea/src/org/jetbrains/jet/plugin/JetBundle.properties
+++ b/idea/src/org/jetbrains/jet/plugin/JetBundle.properties
@@ -276,6 +276,8 @@ replace.with.dot.qualified.method.call.intention=Replace with simple method call
 replace.with.dot.qualified.method.call.intention.family=Replace with simple method call
 replace.with.infix.function.call.intention=Replace with infix function call
 replace.with.infix.function.call.intention.family=Replace with infix function call
+replace.with.infix.function.call.intention.error.resolution.failed=The element cannot be resolved
+replace.with.infix.function.call.intention.error.package.call=Cannot be applied with a package as the receiver
 replace.explicit.function.literal.param.with.it=Replace explicit parameter ''{0}'' with ''it''
 replace.explicit.function.literal.param.with.it.family=Replace Explicit Parameter With 'it'
 move.lambda.inside.parentheses=Move lambda function into parentheses
diff --git a/idea/src/org/jetbrains/jet/plugin/intentions/ReplaceWithInfixFunctionCallIntention.kt b/idea/src/org/jetbrains/jet/plugin/intentions/ReplaceWithInfixFunctionCallIntention.kt
index bd70e67a1c2..d68f59361f1 100644
--- a/idea/src/org/jetbrains/jet/plugin/intentions/ReplaceWithInfixFunctionCallIntention.kt
+++ b/idea/src/org/jetbrains/jet/plugin/intentions/ReplaceWithInfixFunctionCallIntention.kt
@@ -19,14 +19,18 @@ package org.jetbrains.jet.plugin.intentions
 import org.jetbrains.jet.lang.psi.JetCallExpression
 import com.intellij.openapi.editor.Editor
 import org.jetbrains.jet.lang.psi.JetDotQualifiedExpression
-import org.jetbrains.jet.lang.psi.JetValueArgument
-import org.jetbrains.jet.lang.psi.JetPsiFactory
-import org.jetbrains.jet.lang.psi.JetPsiUnparsingUtils
-import org.jetbrains.jet.lang.resolve.BindingContext
-import org.jetbrains.jet.lang.psi.JetFile
 import org.jetbrains.jet.plugin.caches.resolve.getBindingContext
+import org.jetbrains.jet.lang.resolve.BindingContext
+import org.jetbrains.jet.plugin.JetBundle
+import com.intellij.openapi.ui.popup.JBPopupFactory
+import org.jetbrains.jet.lang.psi.JetValueArgument
+import org.jetbrains.jet.plugin.project.AnalyzerFacadeWithCache
+import org.jetbrains.jet.analyzer.computeTypeInfoInContext
+import org.jetbrains.jet.lang.types.PackageType
+import org.jetbrains.jet.lang.psi.JetPsiUnparsingUtils
+import org.jetbrains.jet.lang.psi.JetPsiFactory
 
-public class ReplaceWithInfixFunctionCallIntention : JetSelfTargetingIntention<JetCallExpression>("replace.with.infix.function.call.intention", javaClass()) {
+public open class ReplaceWithInfixFunctionCallIntention : JetSelfTargetingIntention<JetCallExpression>("replace.with.infix.function.call.intention", javaClass()) {
     override fun isApplicableTo(element: JetCallExpression): Boolean {
         throw IllegalStateException("isApplicableTo(JetExpressionImpl, Editor) should be called instead")
     }
@@ -54,11 +58,12 @@ public class ReplaceWithInfixFunctionCallIntention : JetSelfTargetingIntention<J
             if (typeArguments?.getArguments()?.size() ?: 0 == 0 &&
                 numOfTotalValueArguments == 1 &&
                 callee != null) {
+
                 if (valueArguments?.getArguments()?.size() == 1 && valueArguments?.getArguments()?.first()?.isNamed() ?: false) {
-                    val file: JetFile = element.getContainingJetFile()
+                    val file = element.getContainingJetFile()
                     val bindingContext = file.getBindingContext()
-                    val descriptor = bindingContext.get(BindingContext.RESOLVED_CALL, callee)
-                    val valueArgumentsMap = descriptor?.getValueArguments()
+                    val resolvedCallDescriptor = bindingContext[BindingContext.RESOLVED_CALL, callee]
+                    val valueArgumentsMap = resolvedCallDescriptor?.getValueArguments()
                     val firstArgument = valueArguments?.getArguments()?.first()
 
                     return valueArgumentsMap?.keySet()?.any { it.getName().asString() == firstArgument?.getArgumentName()?.getText() && it.getIndex() == 0 } ?: false
@@ -73,13 +78,34 @@ public class ReplaceWithInfixFunctionCallIntention : JetSelfTargetingIntention<J
         }
     }
 
+    open fun intentionFailed(editor: Editor, messageID: String) {
+        JBPopupFactory.getInstance()!!.createMessage("Intention failed: ${JetBundle.message("replace.with.infix.function.call.intention.error.$messageID")}").showInBestPositionFor(editor)
+    }
+
     override fun applyTo(element: JetCallExpression, editor: Editor) {
         val parent = element.getParent() as JetDotQualifiedExpression
+        val receiver = parent.getReceiverExpression()
         val leftHandText = parent.getReceiverExpression().getText()
         val rightHandTextStringBuilder = StringBuilder()
         val operatorText = element.getCalleeExpression()!!.getText()
         val valueArguments = element.getValueArgumentList()?.getArguments() ?: listOf<JetValueArgument>()
         val functionLiteralArguments = element.getFunctionLiteralArguments()
+        val bindingContext = AnalyzerFacadeWithCache.getContextForElement(parent)
+        val scope = bindingContext[BindingContext.RESOLUTION_SCOPE, parent]
+
+        when {
+            scope == null -> {
+                intentionFailed(editor, "resolution.failed")
+                return
+            }
+            else ->
+                    when (receiver.computeTypeInfoInContext(scope).getType()) {
+                        is PackageType -> {
+                            intentionFailed(editor, "package.call")
+                            return
+                        }
+                    }
+        }
 
         rightHandTextStringBuilder.append(
                 if (valueArguments.size() > 0)
@@ -92,5 +118,4 @@ public class ReplaceWithInfixFunctionCallIntention : JetSelfTargetingIntention<J
 
         parent.replace(replacement)
     }
-}
-
+}
\ No newline at end of file
diff --git a/idea/testData/intentions/replaceWithInfixFunctionCall/packageFunctionCall.kt b/idea/testData/intentions/replaceWithInfixFunctionCall/packageFunctionCall.kt
new file mode 100644
index 00000000000..7b9cf5de6b6
--- /dev/null
+++ b/idea/testData/intentions/replaceWithInfixFunctionCall/packageFunctionCall.kt
@@ -0,0 +1,5 @@
+// WITH_RUNTIME
+// SHOULD_FAIL_WITH: package.call
+fun main() {
+    kotlin.io.<caret>println("")
+}
\ No newline at end of file
diff --git a/idea/testData/intentions/replaceWithInfixFunctionCall/singlePackageFunctionCall.kt b/idea/testData/intentions/replaceWithInfixFunctionCall/singlePackageFunctionCall.kt
new file mode 100644
index 00000000000..5b63ec8b0f9
--- /dev/null
+++ b/idea/testData/intentions/replaceWithInfixFunctionCall/singlePackageFunctionCall.kt
@@ -0,0 +1,9 @@
+// WITH_RUNTIME
+// IS_APPLICABLE: false
+package demo
+
+fun foo(str: String) = kotlin.io.println(str)
+
+fun main() {
+    <caret>demo.foo("")
+}
\ No newline at end of file
diff --git a/idea/tests/org/jetbrains/jet/plugin/intentions/AbstractCodeTransformationTest.java b/idea/tests/org/jetbrains/jet/plugin/intentions/AbstractCodeTransformationTest.java
index 3c807bcdf24..d293dbdcd07 100644
--- a/idea/tests/org/jetbrains/jet/plugin/intentions/AbstractCodeTransformationTest.java
+++ b/idea/tests/org/jetbrains/jet/plugin/intentions/AbstractCodeTransformationTest.java
@@ -179,7 +179,7 @@ public abstract class AbstractCodeTransformationTest extends LightCodeInsightTes
     }
 
     public void doTestReplaceWithInfixFunctionCall(@NotNull String path) throws Exception {
-        doTestIntention(path, new ReplaceWithInfixFunctionCallIntention());
+        doTestIntention(path, new TestableReplaceWithInfixFunctionCallIntention());
     }
 
     public void doTestReplaceExplicitFunctionLiteralParamWithIt(@NotNull String path) throws Exception {
diff --git a/idea/tests/org/jetbrains/jet/plugin/intentions/CodeTransformationTestGenerated.java b/idea/tests/org/jetbrains/jet/plugin/intentions/CodeTransformationTestGenerated.java
index 1d993fa0111..d14071fa84d 100644
--- a/idea/tests/org/jetbrains/jet/plugin/intentions/CodeTransformationTestGenerated.java
+++ b/idea/tests/org/jetbrains/jet/plugin/intentions/CodeTransformationTestGenerated.java
@@ -2067,6 +2067,11 @@ public class CodeTransformationTestGenerated extends AbstractCodeTransformationT
             doTestReplaceWithInfixFunctionCall("idea/testData/intentions/replaceWithInfixFunctionCall/nullAssertedReceiver.kt");
         }
         
+        @TestMetadata("packageFunctionCall.kt")
+        public void testPackageFunctionCall() throws Exception {
+            doTestReplaceWithInfixFunctionCall("idea/testData/intentions/replaceWithInfixFunctionCall/packageFunctionCall.kt");
+        }
+        
         @TestMetadata("propertyAccess.kt")
         public void testPropertyAccess() throws Exception {
             doTestReplaceWithInfixFunctionCall("idea/testData/intentions/replaceWithInfixFunctionCall/propertyAccess.kt");
@@ -2087,6 +2092,11 @@ public class CodeTransformationTestGenerated extends AbstractCodeTransformationT
             doTestReplaceWithInfixFunctionCall("idea/testData/intentions/replaceWithInfixFunctionCall/simpleMethodCall.kt");
         }
         
+        @TestMetadata("singlePackageFunctionCall.kt")
+        public void testSinglePackageFunctionCall() throws Exception {
+            doTestReplaceWithInfixFunctionCall("idea/testData/intentions/replaceWithInfixFunctionCall/singlePackageFunctionCall.kt");
+        }
+        
         @TestMetadata("zeroArguments.kt")
         public void testZeroArguments() throws Exception {
             doTestReplaceWithInfixFunctionCall("idea/testData/intentions/replaceWithInfixFunctionCall/zeroArguments.kt");
diff --git a/idea/tests/org/jetbrains/jet/plugin/intentions/TestableReplaceWithInfixFunctionCallIntention.kt b/idea/tests/org/jetbrains/jet/plugin/intentions/TestableReplaceWithInfixFunctionCallIntention.kt
new file mode 100644
index 00000000000..f9987e22b61
--- /dev/null
+++ b/idea/tests/org/jetbrains/jet/plugin/intentions/TestableReplaceWithInfixFunctionCallIntention.kt
@@ -0,0 +1,25 @@
+/*
+ * 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.intentions
+
+import com.intellij.openapi.editor.Editor
+
+public class TestableReplaceWithInfixFunctionCallIntention : ReplaceWithInfixFunctionCallIntention() {
+    override fun intentionFailed(editor: Editor, messageID: String) {
+        throw IntentionTestException(messageID)
+    }
+}
\ No newline at end of file