diff --git a/idea/src/org/jetbrains/jet/lexer/JetTokens.java b/idea/src/org/jetbrains/jet/lexer/JetTokens.java
index dd10b34ca67..7d16a155577 100644
--- a/idea/src/org/jetbrains/jet/lexer/JetTokens.java
+++ b/idea/src/org/jetbrains/jet/lexer/JetTokens.java
@@ -111,7 +111,6 @@ public interface JetTokens {
     JetKeywordToken IMPORT_KEYWORD    = JetKeywordToken.softKeyword("import");
     JetKeywordToken WHERE_KEYWORD     = JetKeywordToken.softKeyword("where");
     JetKeywordToken BY_KEYWORD        = JetKeywordToken.softKeyword("by");
-    JetKeywordToken LAZY_KEYWORD      = JetKeywordToken.softKeyword("lazy");
     JetKeywordToken GET_KEYWORD       = JetKeywordToken.softKeyword("get");
     JetKeywordToken SET_KEYWORD       = JetKeywordToken.softKeyword("set");
     JetKeywordToken ABSTRACT_KEYWORD  = JetKeywordToken.softKeyword("abstract");
@@ -125,12 +124,12 @@ public interface JetTokens {
     JetKeywordToken INTERNAL_KEYWORD  = JetKeywordToken.softKeyword("internal");
     JetKeywordToken PROTECTED_KEYWORD = JetKeywordToken.softKeyword("protected");
     JetKeywordToken CATCH_KEYWORD     = JetKeywordToken.softKeyword("catch");
-    // TODO: support these as annotations on arguments. Then, they probably can not be har keywords
     JetKeywordToken OUT_KEYWORD       = JetKeywordToken.softKeyword("out");
-    JetKeywordToken REF_KEYWORD       = JetKeywordToken.softKeyword("ref");
-
     JetKeywordToken FINALLY_KEYWORD   = JetKeywordToken.softKeyword("finally");
 
+    // TODO: support this as an annotation on arguments. Then, they it probably can not be a soft keyword
+    JetKeywordToken REF_KEYWORD       = JetKeywordToken.softKeyword("ref");
+
     TokenSet KEYWORDS = TokenSet.create(NAMESPACE_KEYWORD, AS_KEYWORD, TYPE_KEYWORD, CLASS_KEYWORD,
             THIS_KEYWORD, VAL_KEYWORD, VAR_KEYWORD, FUN_KEYWORD, EXTENSION_KEYWORD, FOR_KEYWORD,
             NULL_KEYWORD, TYPEOF_KEYWORD, NEW_KEYWORD, TRUE_KEYWORD, FALSE_KEYWORD, IS_KEYWORD,
@@ -139,13 +138,13 @@ public interface JetTokens {
             NOT_IN, NOT_IS, CAPITALIZED_THIS_KEYWORD
     );
 
-    TokenSet SOFT_KEYWORDS = TokenSet.create(WRAPS_KEYWORD, IMPORT_KEYWORD, WHERE_KEYWORD, BY_KEYWORD, LAZY_KEYWORD, GET_KEYWORD,
+    TokenSet SOFT_KEYWORDS = TokenSet.create(WRAPS_KEYWORD, IMPORT_KEYWORD, WHERE_KEYWORD, BY_KEYWORD, GET_KEYWORD,
             SET_KEYWORD, ABSTRACT_KEYWORD, VIRTUAL_KEYWORD, ENUM_KEYWORD, OPEN_KEYWORD, ATTRIBUTE_KEYWORD,
             OVERRIDE_KEYWORD, PRIVATE_KEYWORD, PUBLIC_KEYWORD, INTERNAL_KEYWORD, PROTECTED_KEYWORD,
             CATCH_KEYWORD, FINALLY_KEYWORD, REF_KEYWORD, OUT_KEYWORD
     );
 
-    TokenSet MODIFIER_KEYWORDS = TokenSet.create(LAZY_KEYWORD, ABSTRACT_KEYWORD, VIRTUAL_KEYWORD, ENUM_KEYWORD,
+    TokenSet MODIFIER_KEYWORDS = TokenSet.create(ABSTRACT_KEYWORD, VIRTUAL_KEYWORD, ENUM_KEYWORD,
             OPEN_KEYWORD, ATTRIBUTE_KEYWORD, OVERRIDE_KEYWORD, PRIVATE_KEYWORD, PUBLIC_KEYWORD, INTERNAL_KEYWORD,
             PROTECTED_KEYWORD, REF_KEYWORD, OUT_KEYWORD, IN_KEYWORD
     );
diff --git a/idea/testData/psi/Attributes.jet b/idea/testData/psi/Attributes.jet
index d2d8bb0ec49..125c9417961 100644
--- a/idea/testData/psi/Attributes.jet
+++ b/idea/testData/psi/Attributes.jet
@@ -12,7 +12,7 @@ private
 protected
 public
 internal
-lazy [foo<A, B>(a, b),ina,foo.bar.goo.doo<f>.foo<bar, goo>.foo]
+[foo<A, B>(a, b),ina,foo.bar.goo.doo<f>.foo<bar, goo>.foo]
 [df]
 in
 [sdfsdf]
@@ -34,7 +34,6 @@ private
 protected
 public
 internal
-lazy
 in
 out
 ref T> {
diff --git a/idea/testData/psi/Attributes.txt b/idea/testData/psi/Attributes.txt
index 0ab8360a3ac..a265cf8e07c 100644
--- a/idea/testData/psi/Attributes.txt
+++ b/idea/testData/psi/Attributes.txt
@@ -35,8 +35,6 @@ JetFile: Attributes.jet
         PsiWhiteSpace('\n')
         PsiElement(internal)('internal')
         PsiWhiteSpace('\n')
-        PsiElement(lazy)('lazy')
-        PsiWhiteSpace(' ')
         ATTRIBUTE_ANNOTATION
           PsiElement(LBRACKET)('[')
           ATTRIBUTE
@@ -274,8 +272,6 @@ JetFile: Attributes.jet
             PsiWhiteSpace('\n')
             PsiElement(internal)('internal')
             PsiWhiteSpace('\n')
-            PsiElement(lazy)('lazy')
-            PsiWhiteSpace('\n')
             PsiElement(in)('in')
             PsiWhiteSpace('\n')
             PsiElement(out)('out')
diff --git a/idea/testData/psi/Attributes_ERR.jet b/idea/testData/psi/Attributes_ERR.jet
index 812d5792e1c..6bfd5bd50eb 100644
--- a/idea/testData/psi/Attributes_ERR.jet
+++ b/idea/testData/psi/Attributes_ERR.jet
@@ -13,7 +13,7 @@ private
 protected
 public
 internal
-lazy [foo<A, B>(a, b), ina,foo.bar.goo.doo<f>.foo<bar, goo>.foo]
+[foo<A, B>(a, b), ina,foo.bar.goo.doo<f>.foo<bar, goo>.foo]
 [df]
 in
 [sdfsdf,]
@@ -33,7 +33,6 @@ private
 protected
 public
 internal
-lazy
 in
 out
 ref T> {
diff --git a/idea/testData/psi/Attributes_ERR.txt b/idea/testData/psi/Attributes_ERR.txt
index 7de13d6468f..4d963bcd561 100644
--- a/idea/testData/psi/Attributes_ERR.txt
+++ b/idea/testData/psi/Attributes_ERR.txt
@@ -40,8 +40,6 @@ JetFile: Attributes_ERR.jet
       PsiWhiteSpace('\n')
       PsiElement(internal)('internal')
       PsiWhiteSpace('\n')
-      PsiElement(lazy)('lazy')
-      PsiWhiteSpace(' ')
       ATTRIBUTE_ANNOTATION
         PsiElement(LBRACKET)('[')
         ATTRIBUTE
@@ -241,8 +239,6 @@ JetFile: Attributes_ERR.jet
             PsiWhiteSpace('\n')
             PsiElement(internal)('internal')
             PsiWhiteSpace('\n')
-            PsiElement(lazy)('lazy')
-            PsiWhiteSpace('\n')
             PsiElement(in)('in')
             PsiWhiteSpace('\n')
             PsiElement(out)('out')
diff --git a/idea/testData/psi/FunctionTypes.jet b/idea/testData/psi/FunctionTypes.jet
index c0e1f3ee7ac..aa390d04819 100644
--- a/idea/testData/psi/FunctionTypes.jet
+++ b/idea/testData/psi/FunctionTypes.jet
@@ -13,7 +13,7 @@ type f = {(foo, a : a) : b}
 type f = {(foo, a : {(a) : b}) : b}
 type f = {(foo, a : {(a) : b}) : {() : ()}}
 
-type f = {(lazy foo, out a : {(ref a) : b}) : {() : ()}}
+type f = {(ref foo, ref a : {(ref a) : b}) : {() : ()}}
 
 type f = {T.() : ()}
 type f = {T.T.() : ()}
diff --git a/idea/testData/psi/FunctionTypes.txt b/idea/testData/psi/FunctionTypes.txt
index a33838460fe..90237c3bf3a 100644
--- a/idea/testData/psi/FunctionTypes.txt
+++ b/idea/testData/psi/FunctionTypes.txt
@@ -475,7 +475,7 @@ JetFile: FunctionTypes.jet
           VALUE_PARAMETER_LIST
             PsiElement(LPAR)('(')
             MODIFIER_LIST
-              PsiElement(lazy)('lazy')
+              PsiElement(ref)('ref')
             PsiWhiteSpace(' ')
             TYPE_REFERENCE
               USER_TYPE
@@ -485,7 +485,7 @@ JetFile: FunctionTypes.jet
             PsiWhiteSpace(' ')
             VALUE_PARAMETER
               MODIFIER_LIST
-                PsiElement(out)('out')
+                PsiElement(ref)('ref')
               PsiWhiteSpace(' ')
               PsiElement(IDENTIFIER)('a')
               PsiWhiteSpace(' ')
diff --git a/idea/testData/psi/LocalDeclarations.jet b/idea/testData/psi/LocalDeclarations.jet
index 2a423643000..ac8da9ffb17 100644
--- a/idea/testData/psi/LocalDeclarations.jet
+++ b/idea/testData/psi/LocalDeclarations.jet
@@ -1,10 +1,10 @@
 fun foo() {
-    lazy
+    out
     1
     [a] abstract class foof {}
     abstract [a] class foof {}
 
-    lazy val foo = 5
+    out val foo = 5
     [a] var foo = 4
     type f = {T.() : ()}
 
diff --git a/idea/testData/psi/LocalDeclarations.txt b/idea/testData/psi/LocalDeclarations.txt
index dcd6e9244bf..7ac43948697 100644
--- a/idea/testData/psi/LocalDeclarations.txt
+++ b/idea/testData/psi/LocalDeclarations.txt
@@ -14,7 +14,7 @@ JetFile: LocalDeclarations.jet
         PsiElement(LBRACE)('{')
         PsiWhiteSpace('\n    ')
         REFERENCE_EXPRESSION
-          PsiElement(IDENTIFIER)('lazy')
+          PsiElement(IDENTIFIER)('out')
         PsiWhiteSpace('\n    ')
         INTEGER_CONSTANT
           PsiElement(INTEGER_LITERAL)('1')
@@ -67,7 +67,7 @@ JetFile: LocalDeclarations.jet
         PsiWhiteSpace('\n\n    ')
         PROPERTY
           MODIFIER_LIST
-            PsiElement(lazy)('lazy')
+            PsiElement(out)('out')
           PsiWhiteSpace(' ')
           PsiElement(val)('val')
           PsiWhiteSpace(' ')
diff --git a/idea/testData/psi/SimpleModifiers.jet b/idea/testData/psi/SimpleModifiers.jet
index 783a1d748ad..004627a09f9 100644
--- a/idea/testData/psi/SimpleModifiers.jet
+++ b/idea/testData/psi/SimpleModifiers.jet
@@ -12,7 +12,6 @@ private
 protected
 public
 internal
-lazy
 in
 out
 ref
@@ -28,7 +27,6 @@ ref
         protected
         public
         internal
-        lazy
         in
         out
         ref T> {
diff --git a/idea/testData/psi/SimpleModifiers.txt b/idea/testData/psi/SimpleModifiers.txt
index 6adfe55d13a..9e29a05a5c6 100644
--- a/idea/testData/psi/SimpleModifiers.txt
+++ b/idea/testData/psi/SimpleModifiers.txt
@@ -35,8 +35,6 @@ JetFile: SimpleModifiers.jet
         PsiWhiteSpace('\n')
         PsiElement(internal)('internal')
         PsiWhiteSpace('\n')
-        PsiElement(lazy)('lazy')
-        PsiWhiteSpace('\n')
         PsiElement(in)('in')
         PsiWhiteSpace('\n')
         PsiElement(out)('out')
@@ -74,8 +72,6 @@ JetFile: SimpleModifiers.jet
             PsiWhiteSpace('\n        ')
             PsiElement(internal)('internal')
             PsiWhiteSpace('\n        ')
-            PsiElement(lazy)('lazy')
-            PsiWhiteSpace('\n        ')
             PsiElement(in)('in')
             PsiWhiteSpace('\n        ')
             PsiElement(out)('out')
diff --git a/idea/testData/psi/SoftKeywords.jet b/idea/testData/psi/SoftKeywords.jet
index 0099e3b40e4..20e52c05e89 100644
--- a/idea/testData/psi/SoftKeywords.jet
+++ b/idea/testData/psi/SoftKeywords.jet
@@ -15,11 +15,10 @@ private
 protected
 public
 internal
-lazy
 in
 out
 ref
- class Bar<abstract, abstract enum : T, lazy virtual,
+ class Bar<abstract, abstract enum : T, out virtual,
     public protected private internal abstract
     virtual
     enum
@@ -31,8 +30,7 @@ ref
     private
     protected
     public
-    internal
-    lazy open
+    internal open
  > wraps (a : B) : A by b {
     public protected private internal val abstract
     val virtual
@@ -121,8 +119,7 @@ ref
     private
     protected
     public
-    internal
-    lazy open : t
+    internal open : t
 
      )
 
@@ -164,8 +161,7 @@ class F(val foo : bar,
     private
     protected
     public
-    internal
-    lazy open : b
+    internal open : b
 ) {
 
 }
diff --git a/idea/testData/psi/SoftKeywords.txt b/idea/testData/psi/SoftKeywords.txt
index 2b94d257a6c..d7aeede08a6 100644
--- a/idea/testData/psi/SoftKeywords.txt
+++ b/idea/testData/psi/SoftKeywords.txt
@@ -48,8 +48,6 @@ JetFile: SoftKeywords.jet
         PsiWhiteSpace('\n')
         PsiElement(internal)('internal')
         PsiWhiteSpace('\n')
-        PsiElement(lazy)('lazy')
-        PsiWhiteSpace('\n')
         PsiElement(in)('in')
         PsiWhiteSpace('\n')
         PsiElement(out)('out')
@@ -81,7 +79,7 @@ JetFile: SoftKeywords.jet
         PsiWhiteSpace(' ')
         TYPE_PARAMETER
           MODIFIER_LIST
-            PsiElement(lazy)('lazy')
+            PsiElement(out)('out')
           PsiWhiteSpace(' ')
           PsiElement(IDENTIFIER)('virtual')
         PsiElement(COMMA)(',')
@@ -119,8 +117,6 @@ JetFile: SoftKeywords.jet
             PsiElement(public)('public')
             PsiWhiteSpace('\n    ')
             PsiElement(internal)('internal')
-            PsiWhiteSpace('\n    ')
-            PsiElement(lazy)('lazy')
           PsiWhiteSpace(' ')
           PsiElement(IDENTIFIER)('open')
         PsiWhiteSpace('\n ')
@@ -1028,8 +1024,6 @@ JetFile: SoftKeywords.jet
                 PsiElement(public)('public')
                 PsiWhiteSpace('\n    ')
                 PsiElement(internal)('internal')
-                PsiWhiteSpace('\n    ')
-                PsiElement(lazy)('lazy')
               PsiWhiteSpace(' ')
               PsiElement(IDENTIFIER)('open')
               PsiWhiteSpace(' ')
@@ -1351,8 +1345,6 @@ JetFile: SoftKeywords.jet
             PsiElement(public)('public')
             PsiWhiteSpace('\n    ')
             PsiElement(internal)('internal')
-            PsiWhiteSpace('\n    ')
-            PsiElement(lazy)('lazy')
           PsiWhiteSpace(' ')
           PsiElement(IDENTIFIER)('open')
           PsiWhiteSpace(' ')
diff --git a/idea/testData/psi/examples/Builder.jet b/idea/testData/psi/examples/Builder.jet
index 8aaf8c6dc85..addd01cd65d 100644
--- a/idea/testData/psi/examples/Builder.jet
+++ b/idea/testData/psi/examples/Builder.jet
@@ -1,16 +1,16 @@
 val foo = object AntBuilder() {
 
-  lazy val groovy = library {
+  [lazy] val groovy = library {
     classpath("$libs/groovy-...")
   }
 
-  lazy val gant = library {
+  [lazy] val gant = library {
     new File("$gantHome/lib").files.each {
       classpath(it)
     }
   }
 
-  lazy val JPS = module {
+  [lazy] val JPS = module {
     targetLevel = "1.5"
     classpath(antLayout, gant, groovy)
     src("$projectHome/antLayout/src")
diff --git a/idea/testData/psi/examples/Builder.txt b/idea/testData/psi/examples/Builder.txt
index 4e91a145395..afbad7a046a 100644
--- a/idea/testData/psi/examples/Builder.txt
+++ b/idea/testData/psi/examples/Builder.txt
@@ -27,7 +27,14 @@ JetFile: Builder.jet
               PsiWhiteSpace('\n\n  ')
               PROPERTY
                 MODIFIER_LIST
-                  PsiElement(lazy)('lazy')
+                  ATTRIBUTE_ANNOTATION
+                    PsiElement(LBRACKET)('[')
+                    ATTRIBUTE
+                      TYPE_REFERENCE
+                        USER_TYPE
+                          REFERENCE_EXPRESSION
+                            PsiElement(IDENTIFIER)('lazy')
+                    PsiElement(RBRACKET)(']')
                 PsiWhiteSpace(' ')
                 PsiElement(val)('val')
                 PsiWhiteSpace(' ')
@@ -57,7 +64,14 @@ JetFile: Builder.jet
               PsiWhiteSpace('\n\n  ')
               PROPERTY
                 MODIFIER_LIST
-                  PsiElement(lazy)('lazy')
+                  ATTRIBUTE_ANNOTATION
+                    PsiElement(LBRACKET)('[')
+                    ATTRIBUTE
+                      TYPE_REFERENCE
+                        USER_TYPE
+                          REFERENCE_EXPRESSION
+                            PsiElement(IDENTIFIER)('lazy')
+                    PsiElement(RBRACKET)(']')
                 PsiWhiteSpace(' ')
                 PsiElement(val)('val')
                 PsiWhiteSpace(' ')
@@ -116,7 +130,14 @@ JetFile: Builder.jet
               PsiWhiteSpace('\n\n  ')
               PROPERTY
                 MODIFIER_LIST
-                  PsiElement(lazy)('lazy')
+                  ATTRIBUTE_ANNOTATION
+                    PsiElement(LBRACKET)('[')
+                    ATTRIBUTE
+                      TYPE_REFERENCE
+                        USER_TYPE
+                          REFERENCE_EXPRESSION
+                            PsiElement(IDENTIFIER)('lazy')
+                    PsiElement(RBRACKET)(']')
                 PsiWhiteSpace(' ')
                 PsiElement(val)('val')
                 PsiWhiteSpace(' ')