diff --git a/idea/src/org/jetbrains/jet/plugin/formatter/JetFormattingModelBuilder.java b/idea/src/org/jetbrains/jet/plugin/formatter/JetFormattingModelBuilder.java
index f4f6e76756d..4d57c43fe6d 100644
--- a/idea/src/org/jetbrains/jet/plugin/formatter/JetFormattingModelBuilder.java
+++ b/idea/src/org/jetbrains/jet/plugin/formatter/JetFormattingModelBuilder.java
@@ -73,8 +73,10 @@ public class JetFormattingModelBuilder implements FormattingModelBuilder {
                 .around(TokenSet.create(EQEQ, EXCLEQ, EQEQEQ, EXCLEQEQEQ)).spaceIf(jetCommonSettings.SPACE_AROUND_EQUALITY_OPERATORS)
                 .aroundInside(TokenSet.create(LT, GT, LTEQ, GTEQ), BINARY_EXPRESSION).spaceIf(jetCommonSettings.SPACE_AROUND_RELATIONAL_OPERATORS)
                 .aroundInside(TokenSet.create(PLUS, MINUS), BINARY_EXPRESSION).spaceIf(jetCommonSettings.SPACE_AROUND_ADDITIVE_OPERATORS)
-                .aroundInside(TokenSet.create(MUL, DIV, PERC), BINARY_EXPRESSION).spaceIf(jetCommonSettings.SPACE_AROUND_MULTIPLICATIVE_OPERATORS)
-                .around(TokenSet.create(PLUSPLUS, MINUSMINUS, EXCLEXCL, MINUS, PLUS, EXCL)).spaceIf(jetCommonSettings.SPACE_AROUND_UNARY_OPERATOR)
+                .aroundInside(TokenSet.create(MUL, DIV, PERC), BINARY_EXPRESSION).spaceIf(
+                        jetCommonSettings.SPACE_AROUND_MULTIPLICATIVE_OPERATORS)
+                .around(TokenSet.create(PLUSPLUS, MINUSMINUS, EXCLEXCL, MINUS, PLUS, EXCL)).spaceIf(
+                        jetCommonSettings.SPACE_AROUND_UNARY_OPERATOR)
                 .around(RANGE).spaceIf(jetSettings.SPACE_AROUND_RANGE)
 
                 .beforeInside(BLOCK, FUN).spaceIf(jetCommonSettings.SPACE_BEFORE_METHOD_LBRACE)
@@ -118,6 +120,9 @@ public class JetFormattingModelBuilder implements FormattingModelBuilder {
                 .aroundInside(ARROW, FUNCTION_TYPE).spaceIf(jetSettings.SPACE_AROUND_FUNCTION_TYPE_ARROW)
 
                 .betweenInside(REFERENCE_EXPRESSION, FUNCTION_LITERAL_EXPRESSION, CALL_EXPRESSION).spaces(1)
+
+                .aroundInside(ELSE_KEYWORD, IF).spaces(1)
+                .betweenInside(RPAR, THEN, IF).spaces(1)
                 ;
     }
 
diff --git a/idea/testData/formatter/IfSpacing.after.kt b/idea/testData/formatter/IfSpacing.after.kt
index 844919a3500..0545f1d5691 100644
--- a/idea/testData/formatter/IfSpacing.after.kt
+++ b/idea/testData/formatter/IfSpacing.after.kt
@@ -5,4 +5,31 @@ fun f() {
     }
     if (1 == 2) {
     }
+
+    if (true) {
+    }
+    else {
+    }
+
+    if (true) {
+    } else {
+    }
+
+    if (true) {
+    } else {
+    }
+
+    if (true)
+    {
+    }
+    else
+    {
+    }
+
+    if (true)
+    {
+    }
+
+    else
+        3 > 2
 }
\ No newline at end of file
diff --git a/idea/testData/formatter/IfSpacing.kt b/idea/testData/formatter/IfSpacing.kt
index da0c59d01cf..4942802e196 100644
--- a/idea/testData/formatter/IfSpacing.kt
+++ b/idea/testData/formatter/IfSpacing.kt
@@ -1,9 +1,36 @@
 fun f() {
-    if   (1 == 2) {
+    if   (1 == 2)   {
     }
     if(1 == 2) {
     }
     if
     (1 == 2) {
     }
+
+    if (true) {
+    }
+    else{
+    }
+
+    if (true){
+    }else{
+    }
+
+    if (true) {
+    }   else    {
+    }
+
+    if (true)
+    {
+    }
+    else
+    {
+    }
+
+    if (true)
+    {
+    }
+
+    else
+        3 > 2
 }
\ No newline at end of file