diff --git a/j2k/src/org/jetbrains/jet/j2k/Converter.kt b/j2k/src/org/jetbrains/jet/j2k/Converter.kt
index 3fe00cf8837..07ce8fb2a90 100644
--- a/j2k/src/org/jetbrains/jet/j2k/Converter.kt
+++ b/j2k/src/org/jetbrains/jet/j2k/Converter.kt
@@ -629,7 +629,7 @@ public class Converter private(val project: Project, val settings: ConverterSett
             }
         }
 
-        val list = annotations.map { convertAnnotation(it, owner is PsiLocalVariable) }.filterNotNull()
+        val list = annotations.map { convertAnnotation(it, owner is PsiLocalVariable) }.filterNotNull() //TODO: brackets are also needed for local classes
         return Annotations(list, newLines)
     }
 
@@ -649,34 +649,40 @@ public class Converter private(val project: Project, val settings: ConverterSett
             val attrName = it.getName()?.let { Identifier(it) }
             val value = it.getValue()
 
-            val attrValues = when(value) {
-                is PsiExpression -> listOf(convertExpression(it.getValue() as? PsiExpression, expectedType))
-
-                is PsiArrayInitializerMemberValue -> {
-                    val isVarArg = method == lastMethod /* converted to vararg in Kotlin */
-                    if (isVarArg && it.getName() == null) {
-                        value.getInitializers().map { DummyStringExpression(it.getText()!!)/*TODO*/ }
-                    }
-                    else {
-                        val expectedTypeConverted = typeConverter.convertType(expectedType)
-                        if (expectedTypeConverted is ArrayType) {
-                            val array = createArrayInitializerExpression(expectedTypeConverted, value.getInitializers().map { DummyStringExpression(it.getText()!!)/*TODO*/ })
-                            listOf(if (isVarArg) StarExpression(array) else array)
-                        }
-                        else {
-                            listOf(DummyStringExpression(value.getText()!!))
-                        }
-                    }
-                }
-
-                else -> listOf(DummyStringExpression(value?.getText() ?: ""))
-            }
+            val isVarArg = method == lastMethod /* converted to vararg in Kotlin */
+            val attrValues = convertAttributeValue(value, expectedType, isVarArg, it.getName() == null)
 
             attrValues.map { attrName to it }
         }
         return Annotation(name, arguments, brackets)
     }
 
+    private fun convertAttributeValue(value: PsiAnnotationMemberValue?, expectedType: PsiType?, isVararg: Boolean, isUnnamed: Boolean): List<Expression> {
+        return when(value) {
+            is PsiExpression -> listOf(convertExpression(value as? PsiExpression, expectedType))
+
+            is PsiArrayInitializerMemberValue -> {
+                val componentType = (expectedType as? PsiArrayType)?.getComponentType()
+                val componentsConverted = value.getInitializers().map { convertAttributeValue(it, componentType, false, true).single() }
+                if (isVararg && isUnnamed) {
+                    componentsConverted
+                }
+                else {
+                    val expectedTypeConverted = typeConverter.convertType(expectedType)
+                    if (expectedTypeConverted is ArrayType) {
+                        val array = createArrayInitializerExpression(expectedTypeConverted, componentsConverted)
+                        listOf(if (isVararg) StarExpression(array) else array)
+                    }
+                    else {
+                        listOf(DummyStringExpression(value.getText()!!))
+                    }
+                }
+            }
+
+            else -> listOf(DummyStringExpression(value?.getText() ?: ""))
+        }
+    }
+
     private val TYPE_MAP: Map<String, String> = mapOf(
             JAVA_LANG_BYTE to "byte",
             JAVA_LANG_SHORT to "short",
diff --git a/j2k/tests/testData/JavaApi.java b/j2k/tests/testData/JavaApi.java
index fe7d506ad72..f0d51257d23 100644
--- a/j2k/tests/testData/JavaApi.java
+++ b/j2k/tests/testData/JavaApi.java
@@ -32,6 +32,14 @@ public @interface Anon6 {
     int intValue() default 10;
 }
 
+public @interface Anon7 {
+    Class[] value();
+}
+
+public @interface Anon8 {
+    Class[] classes();
+}
+
 public enum E {
     A, B, C
 }
diff --git a/j2k/tests/testData/ast/annotations/annotationUsages.java b/j2k/tests/testData/ast/annotations/annotationUsages.java
index 7c5577f721c..0ef69bb0679 100644
--- a/j2k/tests/testData/ast/annotations/annotationUsages.java
+++ b/j2k/tests/testData/ast/annotations/annotationUsages.java
@@ -7,6 +7,8 @@ import javaApi.*;
 @Anon4({"x", "y"})
 @Anon5(1)
 @Anon6({"x", "y"})
+@Anon7({ String.class, StringBuilder.class })
+@Anon8(classes = { String.class, StringBuilder.class })
 class C {
     @Anon5(1) @Deprecated private int field1 = 0;
 
diff --git a/j2k/tests/testData/ast/annotations/annotationUsages.kt b/j2k/tests/testData/ast/annotations/annotationUsages.kt
index 9ef317ef824..853a29131eb 100644
--- a/j2k/tests/testData/ast/annotations/annotationUsages.kt
+++ b/j2k/tests/testData/ast/annotations/annotationUsages.kt
@@ -6,6 +6,8 @@ Anon3(e = E.A, stringArray = array<String>(), value = *array<String>("a", "b"))
 Anon4("x", "y")
 Anon5(1)
 Anon6(array<String>("x", "y"))
+Anon7(javaClass<String>(), javaClass<StringBuilder>())
+Anon8(classes = *array<Class<*>>(javaClass<String>(), javaClass<StringBuilder>()))
 class C() {
     Anon5(1) deprecated("") private var field1: Int = 0