diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/resolve/DescriptorResolver.java b/compiler/frontend/src/org/jetbrains/jet/lang/resolve/DescriptorResolver.java
index d3b7266cfcf..856281c2e96 100644
--- a/compiler/frontend/src/org/jetbrains/jet/lang/resolve/DescriptorResolver.java
+++ b/compiler/frontend/src/org/jetbrains/jet/lang/resolve/DescriptorResolver.java
@@ -53,7 +53,7 @@ public class DescriptorResolver {
             TypeParameterDescriptor typeParameterDescriptor = TypeParameterDescriptor.createForFurtherModification(
                     descriptor,
                     annotationResolver.createAnnotationStubs(typeParameter.getModifierList()),
-                    true,
+                    !typeParameter.hasModifier(JetTokens.ERASED_KEYWORD),
                     typeParameter.getVariance(),
                     JetPsiUtil.safeName(typeParameter.getName()),
                     index
@@ -301,7 +301,7 @@ public class DescriptorResolver {
         TypeParameterDescriptor typeParameterDescriptor = TypeParameterDescriptor.createForFurtherModification(
                 containingDescriptor,
                 annotationResolver.createAnnotationStubs(typeParameter.getModifierList()),
-                true,
+                !typeParameter.hasModifier(JetTokens.ERASED_KEYWORD),
                 typeParameter.getVariance(),
                 JetPsiUtil.safeName(typeParameter.getName()),
                 index
diff --git a/compiler/frontend/src/org/jetbrains/jet/lexer/JetTokens.java b/compiler/frontend/src/org/jetbrains/jet/lexer/JetTokens.java
index aa7e63da6c0..558f50f3e0a 100644
--- a/compiler/frontend/src/org/jetbrains/jet/lexer/JetTokens.java
+++ b/compiler/frontend/src/org/jetbrains/jet/lexer/JetTokens.java
@@ -138,6 +138,7 @@ public interface JetTokens {
     JetKeywordToken OUT_KEYWORD       = JetKeywordToken.softKeyword("out");
     JetKeywordToken VARARG_KEYWORD       = JetKeywordToken.softKeyword("vararg");
     JetKeywordToken INLINE_KEYWORD       = JetKeywordToken.softKeyword("inline");
+    JetKeywordToken ERASED_KEYWORD       = JetKeywordToken.softKeyword("erased");
 
     JetKeywordToken FINALLY_KEYWORD   = JetKeywordToken.softKeyword("finally");
     JetKeywordToken FINAL_KEYWORD   = JetKeywordToken.softKeyword("final");
@@ -157,12 +158,12 @@ public interface JetTokens {
     TokenSet SOFT_KEYWORDS = TokenSet.create(IMPORT_KEYWORD, WHERE_KEYWORD, BY_KEYWORD, GET_KEYWORD,
             SET_KEYWORD, ABSTRACT_KEYWORD, ENUM_KEYWORD, OPEN_KEYWORD, ANNOTATION_KEYWORD,
             OVERRIDE_KEYWORD, PRIVATE_KEYWORD, PUBLIC_KEYWORD, INTERNAL_KEYWORD, PROTECTED_KEYWORD,
-            CATCH_KEYWORD, FINALLY_KEYWORD, REF_KEYWORD, OUT_KEYWORD, FINAL_KEYWORD, VARARG_KEYWORD, INLINE_KEYWORD
+            CATCH_KEYWORD, FINALLY_KEYWORD, REF_KEYWORD, OUT_KEYWORD, FINAL_KEYWORD, VARARG_KEYWORD, INLINE_KEYWORD, ERASED_KEYWORD
     );
 
     TokenSet MODIFIER_KEYWORDS = TokenSet.create(ABSTRACT_KEYWORD, ENUM_KEYWORD,
             OPEN_KEYWORD, ANNOTATION_KEYWORD, OVERRIDE_KEYWORD, PRIVATE_KEYWORD, PUBLIC_KEYWORD, INTERNAL_KEYWORD,
-            PROTECTED_KEYWORD, REF_KEYWORD, OUT_KEYWORD, IN_KEYWORD, FINAL_KEYWORD, VARARG_KEYWORD, INLINE_KEYWORD
+            PROTECTED_KEYWORD, REF_KEYWORD, OUT_KEYWORD, IN_KEYWORD, FINAL_KEYWORD, VARARG_KEYWORD, INLINE_KEYWORD, ERASED_KEYWORD
     );
     TokenSet WHITE_SPACE_OR_COMMENT_BIT_SET = TokenSet.create(WHITE_SPACE, BLOCK_COMMENT, EOL_COMMENT, DOC_COMMENT);
     TokenSet WHITESPACES = TokenSet.create(TokenType.WHITE_SPACE);