diff --git a/idea/src/org/jetbrains/jet/lang/cfg/pseudocode/JetControlFlowInstructionsGenerator.java b/idea/src/org/jetbrains/jet/lang/cfg/pseudocode/JetControlFlowInstructionsGenerator.java
index ad740c1e790..03e660fc711 100644
--- a/idea/src/org/jetbrains/jet/lang/cfg/pseudocode/JetControlFlowInstructionsGenerator.java
+++ b/idea/src/org/jetbrains/jet/lang/cfg/pseudocode/JetControlFlowInstructionsGenerator.java
@@ -73,10 +73,12 @@ public class JetControlFlowInstructionsGenerator extends JetControlFlowBuilderAd
     private class JetControlFlowInstructionsGeneratorWorker implements JetControlFlowBuilder {
 
         private final Pseudocode pseudocode;
+        private final Label error;
         private final JetElement currentSubroutine;
 
         private JetControlFlowInstructionsGeneratorWorker(@NotNull JetElement scopingElement, @NotNull JetElement currentSubroutine) {
             this.pseudocode = new Pseudocode(scopingElement);
+            this.error = pseudocode.createLabel("error");
             this.currentSubroutine = currentSubroutine;
         }
 
@@ -176,7 +178,9 @@ public class JetControlFlowInstructionsGenerator extends JetControlFlowBuilderAd
         @Override
         public void exitSubroutine(@NotNull JetElement subroutine, boolean functionLiteral) {
             bindLabel(getExitPoint(subroutine));
-            add(new SubroutineExitInstruction(subroutine));
+            pseudocode.addExitInstruction(new SubroutineExitInstruction(subroutine, "<END>"));
+            bindLabel(error);
+            add(new SubroutineExitInstruction(subroutine, "<ERROR>"));
             elementToBlockInfo.remove(subroutine);
             allBlocks.pop();
         }
@@ -241,7 +245,7 @@ public class JetControlFlowInstructionsGenerator extends JetControlFlowBuilderAd
 
         @Override
         public void jumpToError(@NotNull JetThrowExpression expression) {
-//            add(new UnconditionalJumpInstruction(error));
+            add(new UnconditionalJumpInstruction(error));
         }
 
         @Override
diff --git a/idea/src/org/jetbrains/jet/lang/cfg/pseudocode/Pseudocode.java b/idea/src/org/jetbrains/jet/lang/cfg/pseudocode/Pseudocode.java
index ae19f0c54ca..9b31e457368 100644
--- a/idea/src/org/jetbrains/jet/lang/cfg/pseudocode/Pseudocode.java
+++ b/idea/src/org/jetbrains/jet/lang/cfg/pseudocode/Pseudocode.java
@@ -74,14 +74,15 @@ public class Pseudocode {
         return instructions;
     }
 
+    public void addExitInstruction(SubroutineExitInstruction exitInstruction) {
+        addInstruction(exitInstruction);
+        assert this.exitInstruction == null;
+        this.exitInstruction = exitInstruction;
+    }
+
     public void addInstruction(Instruction instruction) {
         instructions.add(instruction);
         instruction.setOwner(this);
-        if (instruction instanceof SubroutineExitInstruction) {
-            SubroutineExitInstruction exitInstruction = (SubroutineExitInstruction) instruction;
-            assert this.exitInstruction == null;
-            this.exitInstruction = exitInstruction;
-        }
     }
 
     @NotNull
diff --git a/idea/src/org/jetbrains/jet/lang/cfg/pseudocode/SubroutineExitInstruction.java b/idea/src/org/jetbrains/jet/lang/cfg/pseudocode/SubroutineExitInstruction.java
index 56570b3b5c5..0a6e5621aa0 100644
--- a/idea/src/org/jetbrains/jet/lang/cfg/pseudocode/SubroutineExitInstruction.java
+++ b/idea/src/org/jetbrains/jet/lang/cfg/pseudocode/SubroutineExitInstruction.java
@@ -11,9 +11,11 @@ import java.util.Collections;
  */
 public class SubroutineExitInstruction extends InstructionImpl {
     private final JetElement subroutine;
+    private final String debugLabel;
 
-    public SubroutineExitInstruction(@NotNull JetElement subroutine) {
+    public SubroutineExitInstruction(@NotNull JetElement subroutine, @NotNull String debugLabel) {
         this.subroutine = subroutine;
+        this.debugLabel = debugLabel;
     }
 
     public JetElement getSubroutine() {
@@ -33,6 +35,6 @@ public class SubroutineExitInstruction extends InstructionImpl {
 
     @Override
     public String toString() {
-        return "<END>";
+        return debugLabel;
     }
 }
diff --git a/idea/testData/cfg/Assignments.instructions b/idea/testData/cfg/Assignments.instructions
index 4fae5a8e674..b487e0ca4d8 100644
--- a/idea/testData/cfg/Assignments.instructions
+++ b/idea/testData/cfg/Assignments.instructions
@@ -41,4 +41,6 @@ l5:
     w(z)
 l1:
     <END>
+error:
+    <ERROR>
 =====================
diff --git a/idea/testData/cfg/Basic.instructions b/idea/testData/cfg/Basic.instructions
index 71f22395150..d08fd61f141 100644
--- a/idea/testData/cfg/Basic.instructions
+++ b/idea/testData/cfg/Basic.instructions
@@ -6,6 +6,8 @@ l2:
     r(1)
 l3:
     <END>
+error:
+    <ERROR>
 =====================
 == f ==
 fun f(a : Boolean) : Unit {
@@ -67,11 +69,15 @@ l5:
     r(a || false)
 l1:
     <END>
+error:
+    <ERROR>
 l2:
     <START>
     r(1)
 l3:
     <END>
+error:
+    <ERROR>
 =====================
 == foo ==
 fun foo(a : Boolean, b : Int) : Unit {}
@@ -80,6 +86,8 @@ l0:
     <START>
 l1:
     <END>
+error:
+    <ERROR>
 =====================
 == genfun ==
 fun genfun<T>() : Unit {}
@@ -88,6 +96,8 @@ l0:
     <START>
 l1:
     <END>
+error:
+    <ERROR>
 =====================
 == flfun ==
 fun flfun(f : {() : Any}) : Unit {}
@@ -96,4 +106,6 @@ l0:
     <START>
 l1:
     <END>
+error:
+    <ERROR>
 =====================
diff --git a/idea/testData/cfg/EmptyFunction.instructions b/idea/testData/cfg/EmptyFunction.instructions
index 599845fcbfb..78e2b0a1173 100644
--- a/idea/testData/cfg/EmptyFunction.instructions
+++ b/idea/testData/cfg/EmptyFunction.instructions
@@ -5,4 +5,6 @@ l0:
     <START>
 l1:
     <END>
+error:
+    <ERROR>
 =====================
diff --git a/idea/testData/cfg/FailFunction.instructions b/idea/testData/cfg/FailFunction.instructions
new file mode 100644
index 00000000000..f566a464e76
--- /dev/null
+++ b/idea/testData/cfg/FailFunction.instructions
@@ -0,0 +1,14 @@
+== fail ==
+fun fail() : Nothing {
+  throw new java.lang.RuntimeException()
+}
+---------------------
+l0:
+    <START>
+    r(new java.lang.RuntimeException())
+    jmp(error)
+l1:
+    <END>
+error:
+    <ERROR>
+=====================
diff --git a/idea/testData/cfg/FailFunction.jet b/idea/testData/cfg/FailFunction.jet
new file mode 100644
index 00000000000..6ac8f8e3561
--- /dev/null
+++ b/idea/testData/cfg/FailFunction.jet
@@ -0,0 +1,3 @@
+fun fail() : Nothing {
+  throw new java.lang.RuntimeException()
+}
\ No newline at end of file
diff --git a/idea/testData/cfg/Finally.instructions b/idea/testData/cfg/Finally.instructions
index ff612f410fc..ba202616f56 100644
--- a/idea/testData/cfg/Finally.instructions
+++ b/idea/testData/cfg/Finally.instructions
@@ -15,6 +15,8 @@ l2:
     r(2)
 l1:
     <END>
+error:
+    <ERROR>
 =====================
 == t3 ==
 fun t3() {
@@ -47,6 +49,8 @@ l4:
     r(2)
 l1:
     <END>
+error:
+    <ERROR>
 =====================
 == anonymous_0 ==
 { () =>
@@ -69,6 +73,8 @@ l5:
 l4:
 l6:
     <END>
+error:
+    <ERROR>
 =====================
 == t3 ==
 fun t3() {
@@ -97,6 +103,8 @@ l2:
     r(2)
 l1:
     <END>
+error:
+    <ERROR>
 l3:
     <START>
     r(2)
@@ -111,6 +119,8 @@ l5:
 l4:
 l6:
     <END>
+error:
+    <ERROR>
 =====================
 == anonymous_1 ==
 { () =>
@@ -143,6 +153,8 @@ l6:
     r(2)
 l3:
     <END>
+error:
+    <ERROR>
 =====================
 == t3 ==
 fun t3() {
@@ -172,6 +184,8 @@ l0:
   })
 l1:
     <END>
+error:
+    <ERROR>
 l2:
     <START>
     jmp?(l4)
@@ -191,6 +205,8 @@ l6:
     r(2)
 l3:
     <END>
+error:
+    <ERROR>
 =====================
 == t3 ==
 fun t3() {
@@ -231,6 +247,8 @@ l2:
     read (Unit)
 l1:
     <END>
+error:
+    <ERROR>
 =====================
 == t3 ==
 fun t3() {
@@ -272,6 +290,8 @@ l2:
     r(2)
 l1:
     <END>
+error:
+    <ERROR>
 =====================
 == t3 ==
 fun t3() {
@@ -311,6 +331,8 @@ l2:
     r(2)
 l1:
     <END>
+error:
+    <ERROR>
 =====================
 == t3 ==
 fun t3(a : Int) {
@@ -354,6 +376,8 @@ l2:
     read (Unit)
 l1:
     <END>
+error:
+    <ERROR>
 =====================
 == t3 ==
 fun t3(a : Int) {
@@ -398,6 +422,8 @@ l2:
     r(2)
 l1:
     <END>
+error:
+    <ERROR>
 =====================
 == t3 ==
 fun t3(a : Int) {
@@ -440,6 +466,8 @@ l2:
     r(2)
 l1:
     <END>
+error:
+    <ERROR>
 =====================
 == tf ==
 fun tf() {
@@ -463,4 +491,6 @@ l2:
     ret(*) l1
 l1:
     <END>
+error:
+    <ERROR>
 =====================
diff --git a/idea/testData/cfg/LazyBooleans.instructions b/idea/testData/cfg/LazyBooleans.instructions
index 4b3f69e0e8e..d5aaf8eed74 100644
--- a/idea/testData/cfg/LazyBooleans.instructions
+++ b/idea/testData/cfg/LazyBooleans.instructions
@@ -67,4 +67,6 @@ l13:
     r(14)
 l1:
     <END>
+error:
+    <ERROR>
 =====================
diff --git a/idea/testData/cfg/Nonlocals.instructions b/idea/testData/cfg/Nonlocals.instructions
index baf838b0132..ba6a27c536e 100644
--- a/idea/testData/cfg/Nonlocals.instructions
+++ b/idea/testData/cfg/Nonlocals.instructions
@@ -16,6 +16,8 @@ l8:
 l7:
 l9:
     <END>
+error:
+    <ERROR>
 =====================
 == anonymous_0 ==
 {a =>
@@ -35,6 +37,8 @@ l4:
     ret(*) l5
 l5:
     <END>
+error:
+    <ERROR>
 =====================
 == nonlocals1 ==
 fun nonlocals1(a : Boolean, b : Boolean) : Any? {
@@ -80,6 +84,8 @@ l3:
     r(1.lng)
 l1:
     <END>
+error:
+    <ERROR>
 l4:
     <START>
     r(2)
@@ -87,4 +93,6 @@ l4:
     ret(*) l5
 l5:
     <END>
+error:
+    <ERROR>
 =====================
diff --git a/idea/testData/cfg/OnlyWhileInFunctionBody.instructions b/idea/testData/cfg/OnlyWhileInFunctionBody.instructions
index 23c5c2fbee5..907bcb116d3 100644
--- a/idea/testData/cfg/OnlyWhileInFunctionBody.instructions
+++ b/idea/testData/cfg/OnlyWhileInFunctionBody.instructions
@@ -19,6 +19,8 @@ l2:
     read (Unit)
 l1:
     <END>
+error:
+    <ERROR>
 =====================
 == dowhile ==
 fun dowhile() {
@@ -39,4 +41,6 @@ l2:
     read (Unit)
 l1:
     <END>
+error:
+    <ERROR>
 =====================
diff --git a/idea/testData/cfg/ReturnFromExpression.instructions b/idea/testData/cfg/ReturnFromExpression.instructions
index 43f3284ac47..fb3a770b768 100644
--- a/idea/testData/cfg/ReturnFromExpression.instructions
+++ b/idea/testData/cfg/ReturnFromExpression.instructions
@@ -13,4 +13,6 @@ l2:
     r(false || (return false))
 l1:
     <END>
+error:
+    <ERROR>
 =====================
diff --git a/idea/testData/cfg/ShortFunction.instructions b/idea/testData/cfg/ShortFunction.instructions
index 588f17b443e..c3bdcaf3778 100644
--- a/idea/testData/cfg/ShortFunction.instructions
+++ b/idea/testData/cfg/ShortFunction.instructions
@@ -6,4 +6,6 @@ l0:
     r(1)
 l1:
     <END>
+error:
+    <ERROR>
 =====================