diff --git a/backend.native/build.gradle b/backend.native/build.gradle
index bb754bc48ac..9c7e62de817 100644
--- a/backend.native/build.gradle
+++ b/backend.native/build.gradle
@@ -211,11 +211,10 @@ task run {
 }
 
 jar {
-    from 'build/classes/cli_bc', 
-         'build/classes/compiler', 
-         'build/classes/hashInteropStubs', 
-         'build/classes/llvmInteropStubs',
-         'build/resources/compiler'
+    from sourceSets.cli_bc.output,
+         sourceSets.compiler.output,
+         sourceSets.hashInteropStubs.output,
+         sourceSets.llvmInteropStubs.output
 
     dependsOn ':runtime:hostRuntime', 'external_jars'
 }
diff --git a/build.gradle b/build.gradle
index 54f5c37d711..21b138e6fef 100644
--- a/build.gradle
+++ b/build.gradle
@@ -273,6 +273,7 @@ targetList.each { target ->
             if (new PlatformInfo().isWindows())
                 suffix = 'bat'
             task(taskName, type:GradleBuild) {
+                dependsOn ':dist'
                 dependsOn ':tools:kotlin-native-gradle-plugin:jar'
                 dependsOn defFile.config.depends.collect{defFileToTaskName(target, it)}
                 tasks = ['clean', 'klibInstall']
diff --git a/buildSrc/plugins/src/main/groovy/org/jetbrains/kotlin/KonanTest.groovy b/buildSrc/plugins/src/main/groovy/org/jetbrains/kotlin/KonanTest.groovy
index 96439a17a6d..7241eb45cda 100644
--- a/buildSrc/plugins/src/main/groovy/org/jetbrains/kotlin/KonanTest.groovy
+++ b/buildSrc/plugins/src/main/groovy/org/jetbrains/kotlin/KonanTest.groovy
@@ -19,7 +19,6 @@ package org.jetbrains.kotlin
 import groovy.json.JsonOutput
 import org.gradle.api.DefaultTask
 import org.gradle.api.tasks.JavaExec
-import org.gradle.api.tasks.ParallelizableTask
 import org.gradle.api.tasks.TaskAction
 import org.gradle.process.ExecResult
 import org.jetbrains.kotlin.konan.target.*
@@ -79,13 +78,6 @@ abstract class KonanTest extends JavaExec {
         dependsOn(project.rootProject.tasks['dist'])
     }
 
-    @Override
-    void setJvmArgs(Iterable<?> arguments) {
-        super.setJvmArgs(arguments +
-                "-Dkonan.home=${dist.canonicalPath}" +
-                "-Djava.library.path=${dist.canonicalPath}/konan/nativelib")
-    }
-
     @Override
     void exec() {
         // Perhaps later we will return this exec() back but for now rest of infrastructure expects
@@ -100,6 +92,8 @@ abstract class KonanTest extends JavaExec {
         try {
             main = 'org.jetbrains.kotlin.cli.bc.K2NativeKt'
             classpath = project.configurations.cli_bc
+            jvmArgs "-Dkonan.home=${dist.canonicalPath}",
+                    "-Djava.library.path=${dist.canonicalPath}/konan/nativelib"
             enableAssertions = true
             args = ["-output", output,
                     *filesToCompile,
@@ -301,7 +295,6 @@ class TestFailedException extends RuntimeException {
         super(s)
     }
 }
-@ParallelizableTask
 class RunKonanTest extends KonanTest {
     void compileTest(List<String> filesToCompile, String exe) {
         runCompiler(filesToCompile, exe, flags?:[])
@@ -312,7 +305,6 @@ class RunKonanTest extends KonanTest {
 // Don't use this task for regular testing as
 // project.exec + a shell script isolate the jvm
 // from IDEA. Use the RunKonanTest instead.
-@ParallelizableTask
 class RunDriverKonanTest extends KonanTest {
 
     RunDriverKonanTest() {
@@ -347,7 +339,6 @@ class RunDriverKonanTest extends KonanTest {
     }
 }
 
-@ParallelizableTask
 class RunInteropKonanTest extends KonanTest {
 
     private String interop
@@ -375,7 +366,6 @@ class RunInteropKonanTest extends KonanTest {
     }
 }
 
-@ParallelizableTask
 class LinkKonanTest extends KonanTest {
     protected String lib
 
@@ -388,7 +378,6 @@ class LinkKonanTest extends KonanTest {
     }
 }
 
-@ParallelizableTask
 class RunExternalTestGroup extends RunKonanTest {
 
     def groupDirectory = "."
diff --git a/gradle/wrapper/gradle-wrapper.jar b/gradle/wrapper/gradle-wrapper.jar
index 6ffa237849e..7a3265ee94c 100644
Binary files a/gradle/wrapper/gradle-wrapper.jar and b/gradle/wrapper/gradle-wrapper.jar differ
diff --git a/gradle/wrapper/gradle-wrapper.properties b/gradle/wrapper/gradle-wrapper.properties
index fed0f3a29d7..26b61d74815 100644
--- a/gradle/wrapper/gradle-wrapper.properties
+++ b/gradle/wrapper/gradle-wrapper.properties
@@ -1,22 +1,5 @@
-#
-# Copyright 2010-2017 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.
-#
-
-#Thu Oct 27 13:47:42 MSK 2016
 distributionBase=GRADLE_USER_HOME
 distributionPath=wrapper/dists
 zipStoreBase=GRADLE_USER_HOME
 zipStorePath=wrapper/dists
-distributionUrl=https\://services.gradle.org/distributions/gradle-3.3-all.zip
+distributionUrl=https\://services.gradle.org/distributions/gradle-4.2-all.zip
diff --git a/gradlew b/gradlew
index 9aa616c273d..cccdd3d517f 100755
--- a/gradlew
+++ b/gradlew
@@ -1,4 +1,4 @@
-#!/usr/bin/env bash
+#!/usr/bin/env sh
 
 ##############################################################################
 ##
@@ -33,11 +33,11 @@ DEFAULT_JVM_OPTS=""
 # Use the maximum available, or set MAX_FD != -1 to use that value.
 MAX_FD="maximum"
 
-warn ( ) {
+warn () {
     echo "$*"
 }
 
-die ( ) {
+die () {
     echo
     echo "$*"
     echo
@@ -154,16 +154,19 @@ if $cygwin ; then
     esac
 fi
 
-# Split up the JVM_OPTS And GRADLE_OPTS values into an array, following the shell quoting and substitution rules
-function splitJvmOpts() {
-    JVM_OPTS=("$@")
+# Escape application args
+save () {
+    for i do printf %s\\n "$i" | sed "s/'/'\\\\''/g;1s/^/'/;\$s/\$/' \\\\/" ; done
+    echo " "
 }
-eval splitJvmOpts $DEFAULT_JVM_OPTS $JAVA_OPTS $GRADLE_OPTS
-JVM_OPTS[${#JVM_OPTS[*]}]="-Dorg.gradle.appname=$APP_BASE_NAME"
+APP_ARGS=$(save "$@")
+
+# Collect all arguments for the java command, following the shell quoting and substitution rules
+eval set -- $DEFAULT_JVM_OPTS $JAVA_OPTS $GRADLE_OPTS "\"-Dorg.gradle.appname=$APP_BASE_NAME\"" -classpath "\"$CLASSPATH\"" org.gradle.wrapper.GradleWrapperMain "$APP_ARGS"
 
 # by default we should be in the correct project dir, but when run from Finder on Mac, the cwd is wrong
-if [[ "$(uname)" == "Darwin" ]] && [[ "$HOME" == "$PWD" ]]; then
+if [ "$(uname)" = "Darwin" ] && [ "$HOME" = "$PWD" ]; then
   cd "$(dirname "$0")"
 fi
 
-exec "$JAVACMD" "${JVM_OPTS[@]}" -classpath "$CLASSPATH" org.gradle.wrapper.GradleWrapperMain "$@"
+exec "$JAVACMD" "$@"
diff --git a/samples/gradle/wrapper/gradle-wrapper.jar b/samples/gradle/wrapper/gradle-wrapper.jar
index 6e739805dbb..7a3265ee94c 100644
Binary files a/samples/gradle/wrapper/gradle-wrapper.jar and b/samples/gradle/wrapper/gradle-wrapper.jar differ
diff --git a/samples/gradle/wrapper/gradle-wrapper.properties b/samples/gradle/wrapper/gradle-wrapper.properties
index a4056400d8e..52dd1f04434 100644
--- a/samples/gradle/wrapper/gradle-wrapper.properties
+++ b/samples/gradle/wrapper/gradle-wrapper.properties
@@ -1,6 +1,5 @@
-#Fri Mar 31 14:34:32 NOVT 2017
 distributionBase=GRADLE_USER_HOME
 distributionPath=wrapper/dists
 zipStoreBase=GRADLE_USER_HOME
 zipStorePath=wrapper/dists
-distributionUrl=https\://services.gradle.org/distributions/gradle-3.3-bin.zip
+distributionUrl=https\://services.gradle.org/distributions/gradle-4.2-bin.zip
diff --git a/samples/gradlew b/samples/gradlew
index 4453ccea33d..cccdd3d517f 100755
--- a/samples/gradlew
+++ b/samples/gradlew
@@ -33,11 +33,11 @@ DEFAULT_JVM_OPTS=""
 # Use the maximum available, or set MAX_FD != -1 to use that value.
 MAX_FD="maximum"
 
-warn ( ) {
+warn () {
     echo "$*"
 }
 
-die ( ) {
+die () {
     echo
     echo "$*"
     echo
@@ -155,7 +155,7 @@ if $cygwin ; then
 fi
 
 # Escape application args
-save ( ) {
+save () {
     for i do printf %s\\n "$i" | sed "s/'/'\\\\''/g;1s/^/'/;\$s/\$/' \\\\/" ; done
     echo " "
 }
diff --git a/samples/gradlew.bat b/samples/gradlew.bat
index f9553162f12..e95643d6a2c 100644
--- a/samples/gradlew.bat
+++ b/samples/gradlew.bat
@@ -1,84 +1,84 @@
-@if "%DEBUG%" == "" @echo off
-@rem ##########################################################################
-@rem
-@rem  Gradle startup script for Windows
-@rem
-@rem ##########################################################################
-
-@rem Set local scope for the variables with windows NT shell
-if "%OS%"=="Windows_NT" setlocal
-
-set DIRNAME=%~dp0
-if "%DIRNAME%" == "" set DIRNAME=.
-set APP_BASE_NAME=%~n0
-set APP_HOME=%DIRNAME%
-
-@rem Add default JVM options here. You can also use JAVA_OPTS and GRADLE_OPTS to pass JVM options to this script.
-set DEFAULT_JVM_OPTS=
-
-@rem Find java.exe
-if defined JAVA_HOME goto findJavaFromJavaHome
-
-set JAVA_EXE=java.exe
-%JAVA_EXE% -version >NUL 2>&1
-if "%ERRORLEVEL%" == "0" goto init
-
-echo.
-echo ERROR: JAVA_HOME is not set and no 'java' command could be found in your PATH.
-echo.
-echo Please set the JAVA_HOME variable in your environment to match the
-echo location of your Java installation.
-
-goto fail
-
-:findJavaFromJavaHome
-set JAVA_HOME=%JAVA_HOME:"=%
-set JAVA_EXE=%JAVA_HOME%/bin/java.exe
-
-if exist "%JAVA_EXE%" goto init
-
-echo.
-echo ERROR: JAVA_HOME is set to an invalid directory: %JAVA_HOME%
-echo.
-echo Please set the JAVA_HOME variable in your environment to match the
-echo location of your Java installation.
-
-goto fail
-
-:init
-@rem Get command-line arguments, handling Windows variants
-
-if not "%OS%" == "Windows_NT" goto win9xME_args
-
-:win9xME_args
-@rem Slurp the command line arguments.
-set CMD_LINE_ARGS=
-set _SKIP=2
-
-:win9xME_args_slurp
-if "x%~1" == "x" goto execute
-
-set CMD_LINE_ARGS=%*
-
-:execute
-@rem Setup the command line
-
-set CLASSPATH=%APP_HOME%\gradle\wrapper\gradle-wrapper.jar
-
-@rem Execute Gradle
-"%JAVA_EXE%" %DEFAULT_JVM_OPTS% %JAVA_OPTS% %GRADLE_OPTS% "-Dorg.gradle.appname=%APP_BASE_NAME%" -classpath "%CLASSPATH%" org.gradle.wrapper.GradleWrapperMain %CMD_LINE_ARGS%
-
-:end
-@rem End local scope for the variables with windows NT shell
-if "%ERRORLEVEL%"=="0" goto mainEnd
-
-:fail
-rem Set variable GRADLE_EXIT_CONSOLE if you need the _script_ return code instead of
-rem the _cmd.exe /c_ return code!
-if  not "" == "%GRADLE_EXIT_CONSOLE%" exit 1
-exit /b 1
-
-:mainEnd
-if "%OS%"=="Windows_NT" endlocal
-
-:omega
+@if "%DEBUG%" == "" @echo off
+@rem ##########################################################################
+@rem
+@rem  Gradle startup script for Windows
+@rem
+@rem ##########################################################################
+
+@rem Set local scope for the variables with windows NT shell
+if "%OS%"=="Windows_NT" setlocal
+
+set DIRNAME=%~dp0
+if "%DIRNAME%" == "" set DIRNAME=.
+set APP_BASE_NAME=%~n0
+set APP_HOME=%DIRNAME%
+
+@rem Add default JVM options here. You can also use JAVA_OPTS and GRADLE_OPTS to pass JVM options to this script.
+set DEFAULT_JVM_OPTS=
+
+@rem Find java.exe
+if defined JAVA_HOME goto findJavaFromJavaHome
+
+set JAVA_EXE=java.exe
+%JAVA_EXE% -version >NUL 2>&1
+if "%ERRORLEVEL%" == "0" goto init
+
+echo.
+echo ERROR: JAVA_HOME is not set and no 'java' command could be found in your PATH.
+echo.
+echo Please set the JAVA_HOME variable in your environment to match the
+echo location of your Java installation.
+
+goto fail
+
+:findJavaFromJavaHome
+set JAVA_HOME=%JAVA_HOME:"=%
+set JAVA_EXE=%JAVA_HOME%/bin/java.exe
+
+if exist "%JAVA_EXE%" goto init
+
+echo.
+echo ERROR: JAVA_HOME is set to an invalid directory: %JAVA_HOME%
+echo.
+echo Please set the JAVA_HOME variable in your environment to match the
+echo location of your Java installation.
+
+goto fail
+
+:init
+@rem Get command-line arguments, handling Windows variants
+
+if not "%OS%" == "Windows_NT" goto win9xME_args
+
+:win9xME_args
+@rem Slurp the command line arguments.
+set CMD_LINE_ARGS=
+set _SKIP=2
+
+:win9xME_args_slurp
+if "x%~1" == "x" goto execute
+
+set CMD_LINE_ARGS=%*
+
+:execute
+@rem Setup the command line
+
+set CLASSPATH=%APP_HOME%\gradle\wrapper\gradle-wrapper.jar
+
+@rem Execute Gradle
+"%JAVA_EXE%" %DEFAULT_JVM_OPTS% %JAVA_OPTS% %GRADLE_OPTS% "-Dorg.gradle.appname=%APP_BASE_NAME%" -classpath "%CLASSPATH%" org.gradle.wrapper.GradleWrapperMain %CMD_LINE_ARGS%
+
+:end
+@rem End local scope for the variables with windows NT shell
+if "%ERRORLEVEL%"=="0" goto mainEnd
+
+:fail
+rem Set variable GRADLE_EXIT_CONSOLE if you need the _script_ return code instead of
+rem the _cmd.exe /c_ return code!
+if  not "" == "%GRADLE_EXIT_CONSOLE%" exit 1
+exit /b 1
+
+:mainEnd
+if "%OS%"=="Windows_NT" endlocal
+
+:omega