diff --git a/j2k/src/org/jetbrains/jet/j2k/Converter.kt b/j2k/src/org/jetbrains/jet/j2k/Converter.kt
index 8bb98e3d03f..142c9c8f741 100644
--- a/j2k/src/org/jetbrains/jet/j2k/Converter.kt
+++ b/j2k/src/org/jetbrains/jet/j2k/Converter.kt
@@ -72,6 +72,7 @@ public class Converter private(val project: Project, val settings: ConverterSett
         is PsiComment -> Comment(element.getText()!!)
         is PsiImportList -> convertImportList(element)
         is PsiImportStatementBase -> convertImport(element, false)
+        is PsiAnnotation -> convertAnnotation(element)
         is PsiPackageStatement -> PackageStatement(quoteKeywords(element.getPackageName() ?: ""))
         is PsiWhiteSpace -> WhiteSpace(element.getText()!!)
         else -> null
@@ -100,7 +101,7 @@ public class Converter private(val project: Project, val settings: ConverterSett
     }
 
     public fun convertAnonymousClassBody(anonymousClass: PsiAnonymousClass): AnonymousClassBody {
-        return AnonymousClassBody(this, convertClassBody(anonymousClass), anonymousClass.getBaseClassType().resolve()?.isInterface() ?: false)
+        return AnonymousClassBody(convertClassBody(anonymousClass), anonymousClass.getBaseClassType().resolve()?.isInterface() ?: false)
     }
 
     private fun convertClassBody(psiClass: PsiClass): ClassBody {
@@ -201,6 +202,7 @@ public class Converter private(val project: Project, val settings: ConverterSett
     }
 
     private fun convertClass(psiClass: PsiClass): Class {
+        val annotations = convertAnnotations(psiClass)
         val modifiers = convertModifiers(psiClass)
         val typeParameters = convertTypeParameterList(psiClass.getTypeParameterList())
         val implementsTypes = convertToNotNullableTypes(psiClass.getImplementsListTypes())
@@ -209,9 +211,9 @@ public class Converter private(val project: Project, val settings: ConverterSett
         var classBody = convertClassBody(psiClass)
 
         when {
-            psiClass.isInterface() -> return Trait(this, name, getComments(psiClass), modifiers, typeParameters, extendsTypes, listOf(), implementsTypes, classBody)
+            psiClass.isInterface() -> return Trait(name, getComments(psiClass), annotations, modifiers, typeParameters, extendsTypes, listOf(), implementsTypes, classBody)
 
-            psiClass.isEnum() -> return Enum(this, name, getComments(psiClass), modifiers, typeParameters, listOf(), listOf(), implementsTypes, classBody)
+            psiClass.isEnum() -> return Enum(name, getComments(psiClass), annotations, modifiers, typeParameters, listOf(), listOf(), implementsTypes, classBody)
 
             else -> {
                 if (psiClass.getPrimaryConstructor() == null && psiClass.getConstructors().size > 1) {
@@ -238,7 +240,7 @@ public class Converter private(val project: Project, val settings: ConverterSett
                     modifiers.add(Modifier.INNER)
                 }
 
-                return Class(this, name, getComments(psiClass), modifiers, typeParameters, extendsTypes, baseClassParams, implementsTypes, classBody)
+                return Class(name, getComments(psiClass), annotations, modifiers, typeParameters, extendsTypes, baseClassParams, implementsTypes, classBody)
             }
         }
     }
@@ -285,10 +287,10 @@ public class Converter private(val project: Project, val settings: ConverterSett
         //TODO: comments?
         val parameters = finalOrWithEmptyInitializerFields.map { field ->
             val varValModifier = if (field.isVal) Parameter.VarValModifier.Val else Parameter.VarValModifier.Var
-            Parameter(field.identifier, field.`type`, varValModifier, field.modifiers.filter { ACCESS_MODIFIERS.contains(it) })
+            Parameter(field.identifier, field.`type`, varValModifier, field.annotations, field.modifiers.filter { ACCESS_MODIFIERS.contains(it) })
         }
 
-        val primaryConstructor = PrimaryConstructor(this, MemberComments.Empty, setOf(Modifier.PRIVATE), ParameterList(parameters), Block.Empty)
+        val primaryConstructor = PrimaryConstructor(this, MemberComments.Empty, listOf(), setOf(Modifier.PRIVATE), ParameterList(parameters), Block.Empty)
         val updatedMembers = MemberList(classBody.normalMembers.elements.filter { !finalOrWithEmptyInitializerFields.contains(it) })
         return ClassBody(primaryConstructor, classBody.secondaryConstructors, updatedMembers, classBody.classObjectMembers)
     }
@@ -298,10 +300,12 @@ public class Converter private(val project: Project, val settings: ConverterSett
     }
 
     private fun convertField(field: PsiField): Field {
+        val annotations = convertAnnotations(field)
         val modifiers = convertModifiers(field)
         if (field is PsiEnumConstant) {
             return EnumConstant(Identifier(field.getName()!!),
                                 getComments(field),
+                                annotations,
                                 modifiers,
                                 typeConverter.convertType(field.getType(), Nullability.NotNull),
                                 convertElement(field.getArgumentList()))
@@ -309,6 +313,7 @@ public class Converter private(val project: Project, val settings: ConverterSett
 
         return Field(Identifier(field.getName()!!),
                      getComments(field),
+                     annotations,
                      modifiers,
                      typeConverter.convertVariableType(field),
                      convertExpression(field.getInitializer(), field.getType()),
@@ -323,17 +328,18 @@ public class Converter private(val project: Project, val settings: ConverterSett
     private fun doConvertMethod(method: PsiMethod, membersToRemove: MutableSet<PsiMember>): Function {
         val returnType = typeConverter.convertMethodReturnType(method)
 
+        val annotations = convertAnnotations(method)
         val modifiers = convertModifiers(method)
 
         val comments = getComments(method)
 
         if (method.isConstructor()) {
             if (method.isPrimaryConstructor()) {
-                return convertPrimaryConstructor(method, modifiers, comments, membersToRemove)
+                return convertPrimaryConstructor(method, annotations, modifiers, comments, membersToRemove)
             }
             else {
                 val params = convertParameterList(method.getParameterList())
-                return SecondaryConstructor(this, comments, modifiers, params, convertBlock(method.getBody()))
+                return SecondaryConstructor(this, comments, annotations, modifiers, params, convertBlock(method.getBody()))
             }
         }
         else {
@@ -364,6 +370,7 @@ public class Converter private(val project: Project, val settings: ConverterSett
                     val correctedParameter = Parameter(Identifier("other"),
                                                        ClassType(Identifier("Any"), listOf(), Nullability.Nullable, settings),
                                                        Parameter.VarValModifier.None,
+                                                       params.parameters.single().annotations,
                                                        listOf())
                     params = ParameterList(listOf(correctedParameter))
                 }
@@ -371,7 +378,7 @@ public class Converter private(val project: Project, val settings: ConverterSett
 
             val typeParameterList = convertTypeParameterList(method.getTypeParameterList())
             val block = convertBlock(method.getBody())
-            return Function(this, Identifier(method.getName()), comments, modifiers, returnType, typeParameterList, params, block, containingClass?.isInterface() ?: false)
+            return Function(this, Identifier(method.getName()), comments, annotations, modifiers, returnType, typeParameterList, params, block, containingClass?.isInterface() ?: false)
         }
     }
 
@@ -411,6 +418,7 @@ public class Converter private(val project: Project, val settings: ConverterSett
     }
 
     private fun convertPrimaryConstructor(constructor: PsiMethod,
+                                          annotations: List<Annotation>,
                                           modifiers: Set<Modifier>,
                                           comments: MemberComments,
                                           membersToRemove: MutableSet<PsiMember>): PrimaryConstructor {
@@ -460,10 +468,11 @@ public class Converter private(val project: Project, val settings: ConverterSett
                 Parameter(Identifier(field.getName()!!),
                           `type`,
                           if (field.hasModifierProperty(PsiModifier.FINAL)) Parameter.VarValModifier.Val else Parameter.VarValModifier.Var,
+                          convertAnnotations(it) + convertAnnotations(field),
                           convertModifiers(field).filter { ACCESS_MODIFIERS.contains(it) })
             }
         })
-        return PrimaryConstructor(this, comments, modifiers, parameterList, block)
+        return PrimaryConstructor(this, comments, annotations, modifiers, parameterList, block)
     }
 
     private fun findBackingFieldForConstructorParameter(parameter: PsiParameter, constructor: PsiMethod): Pair<PsiField, PsiStatement>? {
@@ -550,7 +559,7 @@ public class Converter private(val project: Project, val settings: ConverterSett
             Nullability.NotNull -> `type` = `type`.toNotNullType()
             Nullability.Nullable -> `type` = `type`.toNullableType()
         }
-        return Parameter(Identifier(parameter.getName()!!), `type`, varValModifier, modifiers)
+        return Parameter(Identifier(parameter.getName()!!), `type`, varValModifier, convertAnnotations(parameter), modifiers)
     }
 
     public fun convertExpression(argument: PsiExpression?, expectedType: PsiType?): Expression {
@@ -601,6 +610,52 @@ public class Converter private(val project: Project, val settings: ConverterSett
             PsiModifier.PRIVATE to Modifier.PRIVATE
     )
 
+    public fun convertAnnotations(owner: PsiModifierListOwner): List<Annotation> {
+        return owner.getModifierList()?.getAnnotations()
+                ?.filter { it.getQualifiedName() !in ANNOTATIONS_TO_REMOVE }
+                ?.map { convertAnnotation(it) }
+                ?.filterNotNull() ?: listOf()
+    }
+
+    public fun convertAnnotation(annotation: PsiAnnotation): Annotation? {
+        val name = Identifier((annotation.getNameReferenceElement() ?: return null).getText()!!)
+        val annotationClass = annotation.getNameReferenceElement()?.resolve() as? PsiClass
+        val lastMethod = annotationClass?.getMethods()?.lastOrNull()
+        val arguments = annotation.getParameterList().getAttributes().flatMap {
+            val method = annotationClass?.findMethodsByName(it.getName() ?: "value", false)?.firstOrNull()
+            val expectedType = method?.getReturnType()
+
+            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() ?: ""))
+            }
+
+            attrValues.map { attrName to it }
+        }
+        return Annotation(name, arguments)
+    }
+
     private val TYPE_MAP: Map<String, String> = mapOf(
             JAVA_LANG_BYTE to "byte",
             JAVA_LANG_SHORT to "short",
@@ -625,6 +680,7 @@ public class Converter private(val project: Project, val settings: ConverterSett
 
 val NOT_NULL_ANNOTATIONS: Set<String> = setOf("org.jetbrains.annotations.NotNull", "com.sun.istack.internal.NotNull", "javax.annotation.Nonnull")
 val NULLABLE_ANNOTATIONS: Set<String> = setOf("org.jetbrains.annotations.Nullable", "com.sun.istack.internal.Nullable", "javax.annotation.Nullable")
+val ANNOTATIONS_TO_REMOVE: Set<String> = HashSet(NOT_NULL_ANNOTATIONS + NULLABLE_ANNOTATIONS + listOf(CommonClassNames.JAVA_LANG_OVERRIDE))
 
 val PRIMITIVE_TYPE_CONVERSIONS: Map<String, String> = mapOf(
         "byte" to BYTE.asString(),
diff --git a/j2k/src/org/jetbrains/jet/j2k/ast/Annotation.kt b/j2k/src/org/jetbrains/jet/j2k/ast/Annotation.kt
new file mode 100644
index 00000000000..ef656749545
--- /dev/null
+++ b/j2k/src/org/jetbrains/jet/j2k/ast/Annotation.kt
@@ -0,0 +1,34 @@
+/*
+ * 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.j2k.ast
+
+import java.util.HashSet
+
+class Annotation(val name: Identifier, val arguments: List<Pair<Identifier?, Expression>>) : Element {
+    override fun toKotlin(): String {
+        if (arguments.isEmpty()) return name.toKotlin()
+
+        return name.toKotlin() + "(" + arguments.map {
+            if (it.first != null)
+                it.first!!.toKotlin() + " = " + it.second.toKotlin()
+            else
+                it.second.toKotlin()
+        }.makeString(", ") + ")"
+    }
+}
+
+fun List<Annotation>.toKotlin(): String = if (isNotEmpty()) map { it.toKotlin() }.makeString("\n") + "\n" else ""
diff --git a/j2k/src/org/jetbrains/jet/j2k/ast/AnonymousClassBody.kt b/j2k/src/org/jetbrains/jet/j2k/ast/AnonymousClassBody.kt
index 3ce640ac8bd..60d2054379f 100644
--- a/j2k/src/org/jetbrains/jet/j2k/ast/AnonymousClassBody.kt
+++ b/j2k/src/org/jetbrains/jet/j2k/ast/AnonymousClassBody.kt
@@ -19,15 +19,7 @@ package org.jetbrains.jet.j2k.ast
 import org.jetbrains.jet.j2k.Converter
 import java.util.Collections
 
-class AnonymousClassBody(converter: Converter, body: ClassBody, val extendsTrait: Boolean)
-: Class(converter,
-        Identifier(""),
-        MemberComments.Empty,
-        setOf(),
-        TypeParameterList.Empty,
-        listOf(),
-        listOf(),
-        listOf(),
-        body) {
+class AnonymousClassBody(body: ClassBody, val extendsTrait: Boolean)
+: Class(Identifier(""), MemberComments.Empty, listOf(), setOf(), TypeParameterList.Empty, listOf(), listOf(), listOf(), body) {
     override fun toKotlin() = body.toKotlin(null)
 }
diff --git a/j2k/src/org/jetbrains/jet/j2k/ast/Class.kt b/j2k/src/org/jetbrains/jet/j2k/ast/Class.kt
index 96887af8117..544ebf3785b 100644
--- a/j2k/src/org/jetbrains/jet/j2k/ast/Class.kt
+++ b/j2k/src/org/jetbrains/jet/j2k/ast/Class.kt
@@ -16,23 +16,23 @@
 
 package org.jetbrains.jet.j2k.ast
 
-import org.jetbrains.jet.j2k.Converter
 import java.util.ArrayList
 
 open class Class(
-        val converter: Converter,
         val name: Identifier,
         comments: MemberComments,
+        annotations: List<Annotation>,
         modifiers: Set<Modifier>,
         val typeParameterList: TypeParameterList,
         val extendsTypes: List<Type>,
         val baseClassParams: List<Expression>,
         val implementsTypes: List<Type>,
         val body: ClassBody
-) : Member(comments, modifiers) {
+) : Member(comments, annotations, modifiers) {
 
     override fun toKotlin(): String =
             commentsToKotlin() +
+            annotations.toKotlin() +
             modifiersToKotlin() +
             keyword + " " + name.toKotlin() +
             typeParameterList.toKotlin() +
diff --git a/j2k/src/org/jetbrains/jet/j2k/ast/Constructors.kt b/j2k/src/org/jetbrains/jet/j2k/ast/Constructors.kt
index 1227f1793e9..4169f22f9b5 100644
--- a/j2k/src/org/jetbrains/jet/j2k/ast/Constructors.kt
+++ b/j2k/src/org/jetbrains/jet/j2k/ast/Constructors.kt
@@ -23,17 +23,19 @@ import java.util.ArrayList
 abstract class Constructor(
         converter: Converter,
         comments: MemberComments,
+        annotations: List<Annotation>,
         modifiers: Set<Modifier>,
         parameterList: ParameterList,
         block: Block
-) : Function(converter, Identifier.Empty, comments, modifiers, Type.Empty, TypeParameterList.Empty, parameterList, block, false)
+) : Function(converter, Identifier.Empty, comments, annotations, modifiers, Type.Empty, TypeParameterList.Empty, parameterList, block, false)
 
 class PrimaryConstructor(converter: Converter,
                          comments: MemberComments,
+                         annotations: List<Annotation>,
                          modifiers: Set<Modifier>,
                          parameterList: ParameterList,
                          block: Block)
-  : Constructor(converter, comments, modifiers, parameterList, block) {
+  : Constructor(converter, comments, annotations, modifiers, parameterList, block) {
 
     public fun signatureToKotlin(): String {
         val accessModifier = modifiers.accessModifier()
@@ -46,10 +48,11 @@ class PrimaryConstructor(converter: Converter,
 
 class SecondaryConstructor(converter: Converter,
                          comments: MemberComments,
+                         annotations: List<Annotation>,
                          modifiers: Set<Modifier>,
                          parameterList: ParameterList,
                          block: Block)
-  : Constructor(converter, comments, modifiers, parameterList, block) {
+  : Constructor(converter, comments, annotations, modifiers, parameterList, block) {
 
     public fun toInitFunction(containingClass: Class): Function {
         val modifiers = HashSet(modifiers)
@@ -58,7 +61,7 @@ class SecondaryConstructor(converter: Converter,
         val block = Block(statements)
         val typeParameters = ArrayList<TypeParameter>()
         typeParameters.addAll(containingClass.typeParameterList.parameters)
-        return Function(converter, Identifier("create"), MemberComments.Empty, modifiers,
+        return Function(converter, Identifier("create"), comments, annotations, modifiers,
                         ClassType(containingClass.name, typeParameters, Nullability.NotNull, converter.settings),
                         TypeParameterList(typeParameters), parameterList, block, false)
     }
diff --git a/j2k/src/org/jetbrains/jet/j2k/ast/Enum.kt b/j2k/src/org/jetbrains/jet/j2k/ast/Enum.kt
index 1b816c665de..0f92b411590 100644
--- a/j2k/src/org/jetbrains/jet/j2k/ast/Enum.kt
+++ b/j2k/src/org/jetbrains/jet/j2k/ast/Enum.kt
@@ -16,26 +16,26 @@
 
 package org.jetbrains.jet.j2k.ast
 
-import org.jetbrains.jet.j2k.Converter
-
 class Enum(
-        converter: Converter,
         name: Identifier,
         comments: MemberComments,
+        annotations: List<Annotation>,
         modifiers: Set<Modifier>,
         typeParameterList: TypeParameterList,
         extendsTypes: List<Type>,
         baseClassParams: List<Expression>,
         implementsTypes: List<Type>,
         body: ClassBody
-) : Class(converter, name, comments, modifiers, typeParameterList,
+) : Class(name, comments, annotations, modifiers, typeParameterList,
           extendsTypes, baseClassParams, implementsTypes, body) {
 
     override fun primaryConstructorSignatureToKotlin(): String
         = body.primaryConstructor?.signatureToKotlin() ?: ""
 
     override fun toKotlin(): String {
-        return modifiersToKotlin() +
+        return commentsToKotlin() +
+                annotations.toKotlin() +
+                modifiersToKotlin() +
                 "enum class " + name.toKotlin() +
                 primaryConstructorSignatureToKotlin() +
                 typeParameterList.toKotlin() +
diff --git a/j2k/src/org/jetbrains/jet/j2k/ast/EnumConstant.kt b/j2k/src/org/jetbrains/jet/j2k/ast/EnumConstant.kt
index c850c968683..60f2c77c072 100644
--- a/j2k/src/org/jetbrains/jet/j2k/ast/EnumConstant.kt
+++ b/j2k/src/org/jetbrains/jet/j2k/ast/EnumConstant.kt
@@ -19,17 +19,18 @@ package org.jetbrains.jet.j2k.ast
 class EnumConstant(
         identifier: Identifier,
         members: MemberComments,
+        annotations: List<Annotation>,
         modifiers: Set<Modifier>,
         `type`: Type,
         params: Element
-) : Field(identifier, members, modifiers, `type`.toNotNullType(), params, true, false) {
+) : Field(identifier, members, annotations, modifiers, `type`.toNotNullType(), params, true, false) {
 
     override fun toKotlin(): String {
         if (initializer.toKotlin().isEmpty()) {
-            return identifier.toKotlin()
+            return annotations.toKotlin() + identifier.toKotlin()
         }
 
-        return identifier.toKotlin() + " : " + `type`.toKotlin() + "(" + initializer.toKotlin() + ")"
+        return annotations.toKotlin() + identifier.toKotlin() + " : " + `type`.toKotlin() + "(" + initializer.toKotlin() + ")"
     }
 
 
diff --git a/j2k/src/org/jetbrains/jet/j2k/ast/Expressions.kt b/j2k/src/org/jetbrains/jet/j2k/ast/Expressions.kt
index 4082fa010b3..35415f9ccd6 100644
--- a/j2k/src/org/jetbrains/jet/j2k/ast/Expressions.kt
+++ b/j2k/src/org/jetbrains/jet/j2k/ast/Expressions.kt
@@ -104,6 +104,10 @@ class LambdaExpression(val arguments: String?, val statementList: StatementList)
     }
 }
 
+class StarExpression(val methodCall: MethodCallExpression) : Expression() {
+    override fun toKotlin() = "*" + methodCall.toKotlin()
+}
+
 fun createArrayInitializerExpression(arrayType: ArrayType, initializers: List<Expression>) : MethodCallExpression {
     val elementType = arrayType.elementType
     val createArrayFunction = if (elementType.isPrimitive()) {
diff --git a/j2k/src/org/jetbrains/jet/j2k/ast/Field.kt b/j2k/src/org/jetbrains/jet/j2k/ast/Field.kt
index 03fb319b21a..dece98e1dc3 100644
--- a/j2k/src/org/jetbrains/jet/j2k/ast/Field.kt
+++ b/j2k/src/org/jetbrains/jet/j2k/ast/Field.kt
@@ -22,15 +22,16 @@ import java.util.ArrayList
 open class Field(
         val identifier: Identifier,
         comments: MemberComments,
+        annotations: List<Annotation>,
         modifiers: Set<Modifier>,
         val `type`: Type,
         val initializer: Element,
         val isVal: Boolean,
         private val hasWriteAccesses: Boolean
-) : Member(comments, modifiers) {
+) : Member(comments, annotations, modifiers) {
 
     override fun toKotlin(): String {
-        val declaration = commentsToKotlin() + modifiersToKotlin() + (if (isVal) "val " else "var ") + identifier.toKotlin() + " : " + `type`.toKotlin()
+        val declaration = commentsToKotlin() + annotations.toKotlin() + modifiersToKotlin() + (if (isVal) "val " else "var ") + identifier.toKotlin() + " : " + `type`.toKotlin()
         return if (initializer.isEmpty)
             declaration + (if (isVal && hasWriteAccesses) "" else " = " + getDefaultInitializer(this))
         else
diff --git a/j2k/src/org/jetbrains/jet/j2k/ast/Function.kt b/j2k/src/org/jetbrains/jet/j2k/ast/Function.kt
index a2f9a1e06e1..9ab8e42149e 100644
--- a/j2k/src/org/jetbrains/jet/j2k/ast/Function.kt
+++ b/j2k/src/org/jetbrains/jet/j2k/ast/Function.kt
@@ -23,13 +23,14 @@ open class Function(
         val converter: Converter,
         val name: Identifier,
         comments: MemberComments,
+        annotations: List<Annotation>,
         modifiers: Set<Modifier>,
         val `type`: Type,
         val typeParameterList: TypeParameterList,
         val parameterList: ParameterList,
         var block: Block?,
         val isInTrait: Boolean
-) : Member(comments, modifiers) {
+) : Member(comments, annotations, modifiers) {
 
     private fun modifiersToKotlin(): String {
         val resultingModifiers = ArrayList<Modifier>()
@@ -58,11 +59,12 @@ open class Function(
 
     override fun toKotlin(): String {
         return commentsToKotlin() +
-        modifiersToKotlin() +
-        "fun ${typeParameterList.toKotlin().withSuffix(" ")}${name.toKotlin()}" +
-        "(${parameterList.toKotlin()})" +
-        returnTypeToKotlin() +
-        typeParameterList.whereToKotlin() +
-        block?.toKotlin()
+                annotations.toKotlin() +
+                modifiersToKotlin() +
+                "fun ${typeParameterList.toKotlin().withSuffix(" ")}${name.toKotlin()}" +
+                "(${parameterList.toKotlin()})" +
+                returnTypeToKotlin() +
+                typeParameterList.whereToKotlin() +
+                block?.toKotlin()
     }
 }
diff --git a/j2k/src/org/jetbrains/jet/j2k/ast/Identifier.kt b/j2k/src/org/jetbrains/jet/j2k/ast/Identifier.kt
index 35027e25253..f8e409769c9 100644
--- a/j2k/src/org/jetbrains/jet/j2k/ast/Identifier.kt
+++ b/j2k/src/org/jetbrains/jet/j2k/ast/Identifier.kt
@@ -36,6 +36,8 @@ class Identifier(
 
     private fun quote(str: String): String = "`" + str + "`"
 
+    override fun toString() = if (isNullable) "$name?" else name
+
     class object {
         val Empty = Identifier("")
 
diff --git a/j2k/src/org/jetbrains/jet/j2k/ast/Imports.kt b/j2k/src/org/jetbrains/jet/j2k/ast/Imports.kt
index 3219dd22112..c1af1fd9b11 100644
--- a/j2k/src/org/jetbrains/jet/j2k/ast/Imports.kt
+++ b/j2k/src/org/jetbrains/jet/j2k/ast/Imports.kt
@@ -57,7 +57,7 @@ public fun Converter.convertImport(anImport: PsiImportStatementBase, filter: Boo
 }
 
 private fun filterImport(name: String, ref: PsiJavaCodeReferenceElement): String? {
-    if (name in NOT_NULL_ANNOTATIONS || name in NULLABLE_ANNOTATIONS) return null
+    if (name in ANNOTATIONS_TO_REMOVE) return null
 
     // If imported class has a kotlin analog, drop the import
     if (!JavaToKotlinClassMap.getInstance().mapPlatformClass(FqName(name)).isEmpty()) return null
diff --git a/j2k/src/org/jetbrains/jet/j2k/ast/Initializer.kt b/j2k/src/org/jetbrains/jet/j2k/ast/Initializer.kt
index f6616007bb1..0edf00c85c8 100644
--- a/j2k/src/org/jetbrains/jet/j2k/ast/Initializer.kt
+++ b/j2k/src/org/jetbrains/jet/j2k/ast/Initializer.kt
@@ -18,7 +18,7 @@ package org.jetbrains.jet.j2k.ast
 
 
 //TODO: is a member?
-class Initializer(val block: Block, modifiers: Set<Modifier>) : Member(MemberComments.Empty, modifiers) {
+class Initializer(val block: Block, modifiers: Set<Modifier>) : Member(MemberComments.Empty, listOf(), modifiers) {
     override fun toKotlin(): String {
         return block.toKotlin()
     }
diff --git a/j2k/src/org/jetbrains/jet/j2k/ast/LocalVariable.kt b/j2k/src/org/jetbrains/jet/j2k/ast/LocalVariable.kt
index d40d43fb34f..8b87543957d 100644
--- a/j2k/src/org/jetbrains/jet/j2k/ast/LocalVariable.kt
+++ b/j2k/src/org/jetbrains/jet/j2k/ast/LocalVariable.kt
@@ -20,6 +20,7 @@ import org.jetbrains.jet.j2k.ConverterSettings
 
 class LocalVariable(
         private val identifier: Identifier,
+        private val annotations: List<Annotation>,
         private val modifiers: Set<Modifier>,
         private val typeCalculator: () -> Type /* we use lazy type calculation for better performance */,
         private val initializer: Expression,
@@ -28,16 +29,16 @@ class LocalVariable(
 ) : Element {
 
     override fun toKotlin(): String {
-        val varVal = if (isVal) "val" else "var"
+        val start = annotations.toKotlin() + if (isVal) "val" else "var"
         return if (initializer.isEmpty) {
-            "$varVal ${identifier.toKotlin()} : ${typeCalculator().toKotlin()}"
+            "$start ${identifier.toKotlin()} : ${typeCalculator().toKotlin()}"
         }
         else {
             val shouldSpecifyType = settings.specifyLocalVariableTypeByDefault
             if (shouldSpecifyType)
-                "$varVal ${identifier.toKotlin()} : ${typeCalculator().toKotlin()} = ${initializer.toKotlin()}"
+                "$start ${identifier.toKotlin()} : ${typeCalculator().toKotlin()} = ${initializer.toKotlin()}"
             else
-                "$varVal ${identifier.toKotlin()} = ${initializer.toKotlin()}"
+                "$start ${identifier.toKotlin()} = ${initializer.toKotlin()}"
         }
     }
 }
diff --git a/j2k/src/org/jetbrains/jet/j2k/ast/Members.kt b/j2k/src/org/jetbrains/jet/j2k/ast/Members.kt
index 5b293c61692..e30440da539 100644
--- a/j2k/src/org/jetbrains/jet/j2k/ast/Members.kt
+++ b/j2k/src/org/jetbrains/jet/j2k/ast/Members.kt
@@ -30,7 +30,7 @@ class MemberComments(elements: List<Element>) : WhiteSpaceSeparatedElementList(e
     }
 }
 
-abstract class Member(val comments: MemberComments, val modifiers: Set<Modifier>) : Element {
+abstract class Member(val comments: MemberComments, val annotations: List<Annotation>, val modifiers: Set<Modifier>) : Element {
     fun commentsToKotlin(): String = comments.toKotlin()
 }
 
diff --git a/j2k/src/org/jetbrains/jet/j2k/ast/Parameter.kt b/j2k/src/org/jetbrains/jet/j2k/ast/Parameter.kt
index 3e5758c0c12..770bfb6f06e 100644
--- a/j2k/src/org/jetbrains/jet/j2k/ast/Parameter.kt
+++ b/j2k/src/org/jetbrains/jet/j2k/ast/Parameter.kt
@@ -16,7 +16,11 @@
 
 package org.jetbrains.jet.j2k.ast
 
-class Parameter(val identifier: Identifier, val `type`: Type, val varVal: Parameter.VarValModifier, val modifiers: Collection<Modifier>) : Element {
+class Parameter(val identifier: Identifier,
+                val `type`: Type,
+                val varVal: Parameter.VarValModifier,
+                val annotations: List<Annotation>,
+                val modifiers: Collection<Modifier>) : Element {
     public enum class VarValModifier {
         None
         Val
@@ -26,6 +30,7 @@ class Parameter(val identifier: Identifier, val `type`: Type, val varVal: Parame
     override fun toKotlin(): String {
         val builder = StringBuilder()
 
+        builder.append(annotations.toKotlin())
         builder.append(modifiers.toKotlin())
 
         if (`type` is VarArgType) {
diff --git a/j2k/src/org/jetbrains/jet/j2k/ast/Trait.kt b/j2k/src/org/jetbrains/jet/j2k/ast/Trait.kt
index 49d03da2868..5f05c2f9f71 100644
--- a/j2k/src/org/jetbrains/jet/j2k/ast/Trait.kt
+++ b/j2k/src/org/jetbrains/jet/j2k/ast/Trait.kt
@@ -19,18 +19,16 @@ package org.jetbrains.jet.j2k.ast
 import org.jetbrains.jet.j2k.Converter
 import java.util.ArrayList
 
-class Trait(
-        converter: Converter,
-        name: Identifier,
-        comments: MemberComments,
-        modifiers: Set<Modifier>,
-        typeParameterList: TypeParameterList,
-        extendsTypes: List<Type>,
-        baseClassParams: List<Expression>,
-        implementsTypes: List<Type>,
-        body: ClassBody
-) : Class(converter, name, comments, modifiers, typeParameterList,
-          extendsTypes, baseClassParams, implementsTypes, body) {
+class Trait(name: Identifier,
+            comments: MemberComments,
+            annotations: List<Annotation>,
+            modifiers: Set<Modifier>,
+            typeParameterList: TypeParameterList,
+            extendsTypes: List<Type>,
+            baseClassParams: List<Expression>,
+            implementsTypes: List<Type>,
+            body: ClassBody
+) : Class(name, comments, annotations, modifiers, typeParameterList, extendsTypes, baseClassParams, implementsTypes, body) {
 
     override val keyword: String
         get() = "trait"
diff --git a/j2k/src/org/jetbrains/jet/j2k/visitors/ElementVisitor.kt b/j2k/src/org/jetbrains/jet/j2k/visitors/ElementVisitor.kt
index 5323567154e..8732312f2d4 100644
--- a/j2k/src/org/jetbrains/jet/j2k/visitors/ElementVisitor.kt
+++ b/j2k/src/org/jetbrains/jet/j2k/visitors/ElementVisitor.kt
@@ -28,11 +28,12 @@ class ElementVisitor(private val converter: Converter) : JavaElementVisitor() {
 
     override fun visitLocalVariable(variable: PsiLocalVariable) {
         result = LocalVariable(Identifier(variable.getName()!!),
-                                 converter.convertModifiers(variable),
-                                 { typeConverter.convertVariableType(variable) },
-                                 converter.convertExpression(variable.getInitializer(), variable.getType()),
-                                 converter.settings.forceLocalVariableImmutability || variable.hasModifierProperty(PsiModifier.FINAL),
-                                 converter.settings)
+                               converter.convertAnnotations(variable),
+                               converter.convertModifiers(variable),
+                               { typeConverter.convertVariableType(variable) },
+                               converter.convertExpression(variable.getInitializer(), variable.getType()),
+                               converter.settings.forceLocalVariableImmutability || variable.hasModifierProperty(PsiModifier.FINAL),
+                               converter.settings)
     }
 
     override fun visitExpressionList(list: PsiExpressionList) {
diff --git a/j2k/tests/test/org/jetbrains/jet/j2k/test/AbstractJavaToKotlinConverterTest.kt b/j2k/tests/test/org/jetbrains/jet/j2k/test/AbstractJavaToKotlinConverterTest.kt
index d1d2e21ea08..664f8435fb2 100644
--- a/j2k/tests/test/org/jetbrains/jet/j2k/test/AbstractJavaToKotlinConverterTest.kt
+++ b/j2k/tests/test/org/jetbrains/jet/j2k/test/AbstractJavaToKotlinConverterTest.kt
@@ -41,11 +41,17 @@ abstract class AbstractJavaToKotlinConverterTest() : LightIdeaTestCase() {
     override fun setUp() {
         super.setUp()
 
+        fun addFile(fileName: String, packageName: String) {
+            val code = FileUtil.loadFile(File("j2k/tests/testData/$fileName"), true)
+            val root = LightPlatformTestCase.getSourceRoot()!!
+            val dir = root.findChild(packageName) ?: root.createChildDirectory(null, packageName)
+            val file = dir.createChildData(null, fileName)!!
+            file.getOutputStream(null)!!.writer().use { it.write(code) }
+        }
+
         ApplicationManager.getApplication()!!.runWriteAction{
-            val kotlinApiFileName = "KotlinApi.kt"
-            val kotlinCode = FileUtil.loadFile(File("j2k/tests/testData/$kotlinApiFileName"), true)
-            val kotlinFile = LightPlatformTestCase.getSourceRoot()!!.createChildData(null, kotlinApiFileName)!!
-            kotlinFile.getOutputStream(null)!!.writer().use { it.write(kotlinCode) }
+            addFile("KotlinApi.kt", "kotlinApi")
+            addFile("JavaApi.java", "javaApi")
         }
     }
 
diff --git a/j2k/tests/test/org/jetbrains/jet/j2k/test/JavaToKotlinConverterTestGenerated.java b/j2k/tests/test/org/jetbrains/jet/j2k/test/JavaToKotlinConverterTestGenerated.java
index 21eebb3b267..520ad29f48b 100644
--- a/j2k/tests/test/org/jetbrains/jet/j2k/test/JavaToKotlinConverterTestGenerated.java
+++ b/j2k/tests/test/org/jetbrains/jet/j2k/test/JavaToKotlinConverterTestGenerated.java
@@ -43,6 +43,11 @@ public class JavaToKotlinConverterTestGenerated extends AbstractJavaToKotlinConv
             JetTestUtils.assertAllTestsPresentByMetadata(this.getClass(), "org.jetbrains.jet.generators.tests.TestsPackage", new File("j2k/tests/testData/ast/annotations"), Pattern.compile("^(.+)\\.java$"), true);
         }
         
+        @TestMetadata("annotationUsages.java")
+        public void testAnnotationUsages() throws Exception {
+            doTest("j2k/tests/testData/ast/annotations/annotationUsages.java");
+        }
+        
         @TestMetadata("jetbrainsNotNull.java")
         public void testJetbrainsNotNull() throws Exception {
             doTest("j2k/tests/testData/ast/annotations/jetbrainsNotNull.java");
diff --git a/j2k/tests/testData/JavaApi.java b/j2k/tests/testData/JavaApi.java
new file mode 100644
index 00000000000..fe7d506ad72
--- /dev/null
+++ b/j2k/tests/testData/JavaApi.java
@@ -0,0 +1,37 @@
+package javaApi;
+
+public @interface Anon1 {
+    String[] value();
+    String[] stringArray();
+    int[] intArray();
+    String string();
+}
+
+public @interface Anon2 {
+    String value();
+    int intValue();
+    char charValue();
+}
+
+public @interface Anon3 {
+    E e();
+    String[] stringArray();
+    String[] value();
+}
+
+public @interface Anon4 {
+    String[] value();
+}
+
+public @interface Anon5 {
+    int value();
+}
+
+public @interface Anon6 {
+    String[] value();
+    int intValue() default 10;
+}
+
+public enum E {
+    A, B, C
+}
diff --git a/j2k/tests/testData/ast/annotations/annotationUsages.java b/j2k/tests/testData/ast/annotations/annotationUsages.java
new file mode 100644
index 00000000000..58ff9a6edaf
--- /dev/null
+++ b/j2k/tests/testData/ast/annotations/annotationUsages.java
@@ -0,0 +1,11 @@
+//file
+import javaApi.*;
+
+@Anon1(value = {"a"}, stringArray = {"b"}, intArray = {1, 2}, string = "x")
+@Anon2(value = "a", intValue = 1, charValue = 'a')
+@Anon3(e = E.A, stringArray = {}, value = {"a", "b"})
+@Anon4({"x", "y"})
+@Anon5(1)
+@Anon6({"x", "y"})
+class C {
+}
diff --git a/j2k/tests/testData/ast/annotations/annotationUsages.kt b/j2k/tests/testData/ast/annotations/annotationUsages.kt
new file mode 100644
index 00000000000..8d0d68d9a79
--- /dev/null
+++ b/j2k/tests/testData/ast/annotations/annotationUsages.kt
@@ -0,0 +1,9 @@
+import javaApi.*
+
+Anon1(value = array<String>("a"), stringArray = array<String>("b"), intArray = intArray(1, 2), string = "x")
+Anon2(value = "a", intValue = 1, charValue = 'a')
+Anon3(e = E.A, stringArray = array<String>(), value = *array<String>("a", "b"))
+Anon4("x", "y")
+Anon5(1)
+Anon6(array<String>("x", "y"))
+class C()
\ No newline at end of file