diff --git a/plugins/android-designer/src/com/intellij/android/designer/designSurface/AndroidDesignerEditorPanel.java b/plugins/android-designer/src/com/intellij/android/designer/designSurface/AndroidDesignerEditorPanel.java
index 0d0ccd7fa8d8..9dfb452b8223 100644
--- a/plugins/android-designer/src/com/intellij/android/designer/designSurface/AndroidDesignerEditorPanel.java
+++ b/plugins/android-designer/src/com/intellij/android/designer/designSurface/AndroidDesignerEditorPanel.java
@@ -25,8 +25,14 @@ import com.android.sdklib.IAndroidTarget;
 import com.intellij.android.designer.componentTree.AndroidTreeDecorator;
 import com.intellij.android.designer.model.RadViewComponent;
 import com.intellij.designer.componentTree.TreeComponentDecorator;
+import com.intellij.designer.designSurface.ComponentDecorator;
+import com.intellij.designer.designSurface.DecorationLayer;
 import com.intellij.designer.designSurface.DesignerEditorPanel;
+import com.intellij.designer.designSurface.selection.DirectionResizePoint;
+import com.intellij.designer.designSurface.selection.NonResizeSelectionDecorator;
+import com.intellij.designer.designSurface.selection.ResizeSelectionDecorator;
 import com.intellij.designer.model.RadComponent;
+import com.intellij.designer.utils.Position;
 import com.intellij.openapi.module.Module;
 import com.intellij.openapi.vfs.VirtualFile;
 import org.jetbrains.android.facet.AndroidFacet;
@@ -49,6 +55,7 @@ import java.util.List;
  * @author Alexander Lobas
  */
 public final class AndroidDesignerEditorPanel extends DesignerEditorPanel {
+  private static final Object RENDERING_LOCK = new Object();
   private final TreeComponentDecorator myTreeDecorator = new AndroidTreeDecorator();
   private RenderSession mySession;
 
@@ -86,7 +93,9 @@ public final class AndroidDesignerEditorPanel extends DesignerEditorPanel {
 
       String layoutXmlText = new String(file.contentsToByteArray());
 
-      mySession = RenderUtil.createRenderSession(module.getProject(), layoutXmlText, file, target, facet, config, xdpi, ydpi, theme);
+      synchronized (RENDERING_LOCK) {
+        mySession = RenderUtil.createRenderSession(module.getProject(), layoutXmlText, file, target, facet, config, xdpi, ydpi, theme);
+      }
 
       InputStream stream = file.getInputStream();
       SAXParser parser = SAXParserFactory.newInstance().newSAXParser();
@@ -182,6 +191,13 @@ public final class AndroidDesignerEditorPanel extends DesignerEditorPanel {
     return myTreeDecorator;
   }
 
+  @Override
+  protected ComponentDecorator getRootSelectionDecorator() {
+    return new ResizeSelectionDecorator(Color.RED, 1, new DirectionResizePoint(Position.EAST),
+                                        new DirectionResizePoint(Position.SOUTH_EAST),
+                                        new DirectionResizePoint(Position.SOUTH));
+  }
+
   private static class RootView extends JComponent {
     private final BufferedImage myImage;
 
diff --git a/plugins/android-designer/src/com/intellij/android/designer/model/RadViewComponent.java b/plugins/android-designer/src/com/intellij/android/designer/model/RadViewComponent.java
index e1395669ee78..2aabdf662c38 100644
--- a/plugins/android-designer/src/com/intellij/android/designer/model/RadViewComponent.java
+++ b/plugins/android-designer/src/com/intellij/android/designer/model/RadViewComponent.java
@@ -39,6 +39,7 @@ public class RadViewComponent extends RadComponent {
     if (parent != null) {
       parent.getChildren().add(this);
     }
+    setLayout(new RadViewLayout());
   }
 
   @Override
diff --git a/plugins/android-designer/src/com/intellij/android/designer/model/RadViewLayout.java b/plugins/android-designer/src/com/intellij/android/designer/model/RadViewLayout.java
new file mode 100644
index 000000000000..d2ea3d3dc5d5
--- /dev/null
+++ b/plugins/android-designer/src/com/intellij/android/designer/model/RadViewLayout.java
@@ -0,0 +1,33 @@
+/*
+ * Copyright 2000-2012 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.
+ */
+package com.intellij.android.designer.model;
+
+import com.intellij.designer.designSurface.ComponentDecorator;
+import com.intellij.designer.designSurface.selection.NonResizeSelectionDecorator;
+import com.intellij.designer.model.RadComponent;
+import com.intellij.designer.model.RadLayout;
+
+import java.awt.*;
+
+/**
+ * @author Alexander Lobas
+ */
+public class RadViewLayout extends RadLayout {
+  @Override
+  public ComponentDecorator getChildSelectionDecorator(RadComponent component) {
+    return new NonResizeSelectionDecorator(Color.RED, 1);
+  }
+}
\ No newline at end of file
diff --git a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/ComponentDecorator.java b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/ComponentDecorator.java
new file mode 100644
index 000000000000..82202b6b3fb9
--- /dev/null
+++ b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/ComponentDecorator.java
@@ -0,0 +1,32 @@
+/*
+ * Copyright 2000-2012 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.
+ */
+package com.intellij.designer.designSurface;
+
+import com.intellij.designer.designSurface.tools.InputTool;
+import com.intellij.designer.model.RadComponent;
+import org.jetbrains.annotations.Nullable;
+
+import java.awt.*;
+
+/**
+ * @author Alexander Lobas
+ */
+public interface ComponentDecorator {
+  @Nullable
+  InputTool findTargetTool(DecorationLayer layer, RadComponent component, int x, int y);
+
+  void decorate(DecorationLayer layer, Graphics2D g, RadComponent component);
+}
\ No newline at end of file
diff --git a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/DecorationLayer.java b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/DecorationLayer.java
index da18beb5e39d..fa0e1ddf9ef1 100644
--- a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/DecorationLayer.java
+++ b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/DecorationLayer.java
@@ -15,7 +15,9 @@
  */
 package com.intellij.designer.designSurface;
 
+import com.intellij.designer.designSurface.tools.InputTool;
 import com.intellij.designer.model.RadComponent;
+import org.jetbrains.annotations.Nullable;
 
 import javax.swing.*;
 import java.awt.*;
@@ -32,15 +34,42 @@ public class DecorationLayer extends JComponent {
 
   @Override
   public void paint(Graphics g) {
-    g.setColor(Color.RED);
-    ((Graphics2D)g).setStroke(new BasicStroke(2));
-
-    for (RadComponent component : myArea.getSelection()) {
-      Rectangle bounds = component.getBounds();
-      Point location = component.convertPoint(bounds.x, bounds.y, this);
-      g.drawRect(location.x, location.y, bounds.width, bounds.height);
-    }
-
+    painSelection((Graphics2D)g);
     paintChildren(g);
   }
+
+  @Nullable
+  public InputTool findTargetTool(int x, int y) {
+    for (RadComponent component : myArea.getSelection()) {
+      ComponentDecorator decorator = getDecorator(component);
+      InputTool tracker = decorator.findTargetTool(this, component, x, y);
+      if (tracker != null) {
+        return tracker;
+      }
+    }
+    return null;
+  }
+
+  private void painSelection(Graphics2D g) {
+    for (RadComponent component : myArea.getSelection()) {
+      ComponentDecorator decorator = getDecorator(component);
+      // TODO: set component clipping
+      decorator.decorate(this, g, component);
+      // TODO: restore Graphics state: color, font, stroke etc.
+    }
+  }
+
+  private ComponentDecorator getDecorator(RadComponent component) {
+    RadComponent parent = component.getParent();
+    if (parent == null) {
+      return myArea.getRootSelectionDecorator();
+    }
+    return parent.getLayout().getChildSelectionDecorator(component);
+  }
+
+  public Rectangle getComponentBounds(RadComponent component) {
+    Rectangle bounds = component.getBounds();
+    Point location = component.convertPoint(bounds.x, bounds.y, this);
+    return new Rectangle(location.x, location.y, bounds.width, bounds.height);
+  }
 }
\ No newline at end of file
diff --git a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/DesignerEditorPanel.java b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/DesignerEditorPanel.java
index c03325a2b295..1e05421a3c0e 100644
--- a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/DesignerEditorPanel.java
+++ b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/DesignerEditorPanel.java
@@ -55,6 +55,7 @@ public abstract class DesignerEditorPanel extends JPanel implements ToolProvider
   private JScrollPane myScrollPane;
   protected JLayeredPane myLayeredPane;
   private GlassLayer myGlassLayer;
+  private DecorationLayer myDecorationLayer;
   private InputTool myTool;
   protected EditableArea mySurfaceArea;
 
@@ -89,6 +90,7 @@ public abstract class DesignerEditorPanel extends JPanel implements ToolProvider
     myDesignerCard.add(myHorizontalCaption, gbc);
 
     myLayeredPane = new MyLayeredPane();
+
     mySurfaceArea = new EditableArea() {
       @Override
       public void setCursor(Cursor cursor) {
@@ -116,10 +118,23 @@ public abstract class DesignerEditorPanel extends JPanel implements ToolProvider
         }
         return null;
       }
+
+      @Override
+      public InputTool findTargetTool(int x, int y) {
+        return myDecorationLayer.findTargetTool(x, y);
+      }
+
+      @Override
+      public ComponentDecorator getRootSelectionDecorator() {
+        return DesignerEditorPanel.this.getRootSelectionDecorator();
+      }
     };
+
     myGlassLayer = new GlassLayer(this, mySurfaceArea);
     myLayeredPane.add(myGlassLayer, LAYER_GLASS);
-    myLayeredPane.add(new DecorationLayer(mySurfaceArea), LAYER_DECORATION);
+
+    myDecorationLayer = new DecorationLayer(mySurfaceArea);
+    myLayeredPane.add(myDecorationLayer, LAYER_DECORATION);
 
     gbc.gridx = 1;
     gbc.gridy = 1;
@@ -144,6 +159,8 @@ public abstract class DesignerEditorPanel extends JPanel implements ToolProvider
     return mySurfaceArea;
   }
 
+  protected abstract ComponentDecorator getRootSelectionDecorator();
+
   public InputTool getActiveTool() {
     return myTool;
   }
diff --git a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/EditableArea.java b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/EditableArea.java
index 83bf074f19b3..b733096a3d56 100644
--- a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/EditableArea.java
+++ b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/EditableArea.java
@@ -15,6 +15,7 @@
  */
 package com.intellij.designer.designSurface;
 
+import com.intellij.designer.designSurface.tools.InputTool;
 import com.intellij.designer.model.RadComponent;
 import org.jetbrains.annotations.NotNull;
 import org.jetbrains.annotations.Nullable;
@@ -85,4 +86,9 @@ public abstract class EditableArea {
 
   @Nullable
   public abstract RadComponent findTarget(int x, int y);
+
+  @Nullable
+  public abstract InputTool findTargetTool(int x, int y);
+
+  public abstract ComponentDecorator getRootSelectionDecorator();
 }
\ No newline at end of file
diff --git a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/GlassLayer.java b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/GlassLayer.java
index 90c2c6631122..7ecae96e4059 100644
--- a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/GlassLayer.java
+++ b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/GlassLayer.java
@@ -37,6 +37,7 @@ public final class GlassLayer extends JComponent implements PopupOwner, DataProv
     myToolProvider = provider;
     myArea = area;
     enableEvents(AWTEvent.KEY_EVENT_MASK | AWTEvent.MOUSE_EVENT_MASK | AWTEvent.MOUSE_MOTION_EVENT_MASK);
+    // TODO: DND
   }
 
   @Override
@@ -44,16 +45,18 @@ public final class GlassLayer extends JComponent implements PopupOwner, DataProv
     try {
       InputTool tool = myToolProvider.getActiveTool();
 
-      switch (event.getID()) {
-        case KeyEvent.KEY_PRESSED:
-          tool.keyPressed(event, myArea);
-          break;
-        case KeyEvent.KEY_TYPED:
-          tool.keyTyped(event, myArea);
-          break;
-        case KeyEvent.KEY_RELEASED:
-          tool.keyReleased(event, myArea);
-          break;
+      if (tool != null) {
+        switch (event.getID()) {
+          case KeyEvent.KEY_PRESSED:
+            tool.keyPressed(event, myArea);
+            break;
+          case KeyEvent.KEY_TYPED:
+            tool.keyTyped(event, myArea);
+            break;
+          case KeyEvent.KEY_RELEASED:
+            tool.keyReleased(event, myArea);
+            break;
+        }
       }
     }
     catch (Throwable e) {
@@ -72,24 +75,26 @@ public final class GlassLayer extends JComponent implements PopupOwner, DataProv
     try {
       InputTool tool = myToolProvider.getActiveTool();
 
-      switch (event.getID()) {
-        case MouseEvent.MOUSE_PRESSED:
-          tool.mouseDown(event, myArea);
-          break;
-        case MouseEvent.MOUSE_RELEASED:
-          tool.mouseUp(event, myArea);
-          break;
-        case MouseEvent.MOUSE_ENTERED:
-          tool.mouseEntered(event, myArea);
-          break;
-        case MouseEvent.MOUSE_EXITED:
-          tool.mouseExited(event, myArea);
-          break;
-        case MouseEvent.MOUSE_CLICKED:
-          if (event.getClickCount() == 2) {
-            tool.mouseDoubleClick(event, myArea);
-          }
-          break;
+      if (tool != null) {
+        switch (event.getID()) {
+          case MouseEvent.MOUSE_PRESSED:
+            tool.mouseDown(event, myArea);
+            break;
+          case MouseEvent.MOUSE_RELEASED:
+            tool.mouseUp(event, myArea);
+            break;
+          case MouseEvent.MOUSE_ENTERED:
+            tool.mouseEntered(event, myArea);
+            break;
+          case MouseEvent.MOUSE_EXITED:
+            tool.mouseExited(event, myArea);
+            break;
+          case MouseEvent.MOUSE_CLICKED:
+            if (event.getClickCount() == 2) {
+              tool.mouseDoubleClick(event, myArea);
+            }
+            break;
+        }
       }
     }
     catch (Throwable e) {
@@ -102,13 +107,15 @@ public final class GlassLayer extends JComponent implements PopupOwner, DataProv
     try {
       InputTool tool = myToolProvider.getActiveTool();
 
-      switch (event.getID()) {
-        case MouseEvent.MOUSE_MOVED:
-          tool.mouseMove(event, myArea);
-          break;
-        case MouseEvent.MOUSE_DRAGGED:
-          tool.mouseDrag(event, myArea);
-          break;
+      if (tool != null) {
+        switch (event.getID()) {
+          case MouseEvent.MOUSE_MOVED:
+            tool.mouseMove(event, myArea);
+            break;
+          case MouseEvent.MOUSE_DRAGGED:
+            tool.mouseDrag(event, myArea);
+            break;
+        }
       }
     }
     catch (Throwable e) {
diff --git a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/selection/DirectionResizePoint.java b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/selection/DirectionResizePoint.java
new file mode 100644
index 000000000000..038ae1189ba8
--- /dev/null
+++ b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/selection/DirectionResizePoint.java
@@ -0,0 +1,83 @@
+/*
+ * Copyright 2000-2012 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.
+ */
+package com.intellij.designer.designSurface.selection;
+
+import com.intellij.designer.designSurface.DecorationLayer;
+import com.intellij.designer.designSurface.tools.InputTool;
+import com.intellij.designer.designSurface.tools.ResizeTracker;
+import com.intellij.designer.model.RadComponent;
+import com.intellij.designer.utils.Position;
+
+import java.awt.*;
+
+/**
+ * @author Alexander Lobas
+ */
+public class DirectionResizePoint extends ResizePoint {
+  private int myDirection;
+  private double myXSeparator;
+  private double myYSeparator;
+
+  public DirectionResizePoint(int direction) {
+    setDirection(direction);
+  }
+
+  public DirectionResizePoint(Color color, Color border, int direction) {
+    super(color, border);
+    setDirection(direction);
+  }
+
+  private void setDirection(int direction) {
+    myDirection = direction;
+
+    int yDirection = myDirection & Position.EAST_WEST;
+    if (yDirection == Position.WEST) {
+      myXSeparator = 0;
+    }
+    else if (yDirection == Position.EAST) {
+      myXSeparator = 1;
+    }
+    else {
+      myXSeparator = 0.5;
+    }
+
+    int xDirection = myDirection & Position.NORTH_SOUTH;
+    if (xDirection == Position.NORTH) {
+      myYSeparator = 0;
+    }
+    else if (xDirection == Position.SOUTH) {
+      myYSeparator = 1;
+    }
+    else {
+      myYSeparator = 0.5;
+    }
+  }
+
+  @Override
+  protected InputTool createTool(RadComponent component) {
+    return new ResizeTracker(myDirection);
+  }
+
+  @Override
+  protected Point getLocation(DecorationLayer layer, RadComponent component) {
+    Rectangle bounds = layer.getComponentBounds(component);
+    int size = (getSize() + 1) / 2;
+    int x = bounds.x + (int) (bounds.width * myXSeparator) - size;
+    int y = bounds.y + (int) (bounds.height * myYSeparator) - size;
+
+    return new Point(x, y);
+  }
+}
\ No newline at end of file
diff --git a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/selection/NonResizeSelectionDecorator.java b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/selection/NonResizeSelectionDecorator.java
new file mode 100644
index 000000000000..6f076fc7c8fb
--- /dev/null
+++ b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/selection/NonResizeSelectionDecorator.java
@@ -0,0 +1,65 @@
+/*
+ * Copyright 2000-2012 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.
+ */
+package com.intellij.designer.designSurface.selection;
+
+import com.intellij.designer.designSurface.ComponentDecorator;
+import com.intellij.designer.designSurface.DecorationLayer;
+import com.intellij.designer.designSurface.EditableArea;
+import com.intellij.designer.designSurface.tools.DragTracker;
+import com.intellij.designer.designSurface.tools.InputTool;
+import com.intellij.designer.model.RadComponent;
+
+import java.awt.*;
+
+/**
+ * @author Alexander Lobas
+ */
+public class NonResizeSelectionDecorator implements ComponentDecorator {
+  private final Color myColor;
+  private final int myLineWidth;
+
+  public NonResizeSelectionDecorator(Color color, int lineWidth) {
+    myColor = color;
+    myLineWidth = Math.max(lineWidth, 1);
+  }
+
+  @Override
+  public InputTool findTargetTool(DecorationLayer layer, RadComponent component, int x, int y) {
+    Rectangle bounds = layer.getComponentBounds(component);
+
+    Rectangle top = new Rectangle(bounds.x, bounds.y, bounds.width, myLineWidth);
+    Rectangle bottom = new Rectangle(bounds.x, bounds.y + bounds.height - myLineWidth, bounds.width, myLineWidth);
+    Rectangle left = new Rectangle(bounds.x, bounds.y, myLineWidth, bounds.height);
+    Rectangle right = new Rectangle(bounds.x + bounds.width - myLineWidth, bounds.y, myLineWidth, bounds.height);
+
+    if (top.contains(x, y) || bottom.contains(x, y) || left.contains(x, y) || right.contains(x, y)) {
+      return new DragTracker();
+    }
+
+    return null;
+  }
+
+  @Override
+  public void decorate(DecorationLayer layer, Graphics2D g, RadComponent component) {
+    g.setColor(myColor);
+    if (myLineWidth > 1) {
+      g.setStroke(new BasicStroke(myLineWidth));
+    }
+
+    Rectangle bounds = layer.getComponentBounds(component);
+    g.drawRect(bounds.x, bounds.y, bounds.width, bounds.height);
+  }
+}
\ No newline at end of file
diff --git a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/selection/ResizePoint.java b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/selection/ResizePoint.java
new file mode 100644
index 000000000000..e71cb1b1d334
--- /dev/null
+++ b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/selection/ResizePoint.java
@@ -0,0 +1,72 @@
+/*
+ * Copyright 2000-2012 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.
+ */
+package com.intellij.designer.designSurface.selection;
+
+import com.intellij.designer.designSurface.ComponentDecorator;
+import com.intellij.designer.designSurface.DecorationLayer;
+import com.intellij.designer.designSurface.tools.InputTool;
+import com.intellij.designer.model.RadComponent;
+
+import java.awt.*;
+
+/**
+ * @author Alexander Lobas
+ */
+public abstract class ResizePoint implements ComponentDecorator {
+  private static final int DEFAULT_SIZE = 5;
+  private final Color myColor;
+  private final Color myBorder;
+
+  public ResizePoint() {
+    this(Color.GREEN, Color.BLACK);
+  }
+
+  public ResizePoint(Color color, Color border) {
+    myColor = color;
+    myBorder = border;
+  }
+
+  @Override
+  public InputTool findTargetTool(DecorationLayer layer, RadComponent component, int x, int y) {
+    Point location = getLocation(layer, component);
+    Rectangle bounds = new Rectangle(location.x, location.y, getSize(), getSize());
+
+    if (bounds.contains(x, y)) {
+      return createTool(component);
+    }
+
+    return null;
+  }
+
+  @Override
+  public void decorate(DecorationLayer layer, Graphics2D g, RadComponent component) {
+    Point location = getLocation(layer, component);
+
+    g.setColor(myColor);
+    g.fillRect(location.x, location.y, getSize(), getSize());
+
+    g.setColor(myBorder);
+    g.drawRect(location.x, location.y, getSize(), getSize());
+  }
+
+  protected abstract InputTool createTool(RadComponent component);
+
+  protected abstract Point getLocation(DecorationLayer layer, RadComponent component);
+
+  protected int getSize() {
+    return DEFAULT_SIZE;
+  }
+}
\ No newline at end of file
diff --git a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/selection/ResizeSelectionDecorator.java b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/selection/ResizeSelectionDecorator.java
new file mode 100644
index 000000000000..941e10279109
--- /dev/null
+++ b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/selection/ResizeSelectionDecorator.java
@@ -0,0 +1,55 @@
+/*
+ * Copyright 2000-2012 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.
+ */
+package com.intellij.designer.designSurface.selection;
+
+import com.intellij.designer.designSurface.DecorationLayer;
+import com.intellij.designer.designSurface.tools.InputTool;
+import com.intellij.designer.model.RadComponent;
+
+import java.awt.*;
+
+/**
+ * @author Alexander Lobas
+ */
+public class ResizeSelectionDecorator extends NonResizeSelectionDecorator {
+  private final ResizePoint[] myPoints;
+
+  public ResizeSelectionDecorator(Color color, int lineWidth, ResizePoint... points) {
+    super(color, lineWidth);
+    myPoints = points;
+  }
+
+  @Override
+  public InputTool findTargetTool(DecorationLayer layer, RadComponent component, int x, int y) {
+    for (ResizePoint point : myPoints) {
+      InputTool tracker = point.findTargetTool(layer, component, x, y);
+      if (tracker != null) {
+        return tracker;
+      }
+    }
+
+    return super.findTargetTool(layer, component, x, y);
+  }
+
+  @Override
+  public void decorate(DecorationLayer layer, Graphics2D g, RadComponent component) {
+    super.decorate(layer, g, component);
+
+    for (ResizePoint point : myPoints) {
+      point.decorate(layer, g, component);
+    }
+  }
+}
\ No newline at end of file
diff --git a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/tools/DragTracker.java b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/tools/DragTracker.java
index 7c0a3347ab68..70e0d4667f23 100644
--- a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/tools/DragTracker.java
+++ b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/tools/DragTracker.java
@@ -15,8 +15,13 @@
  */
 package com.intellij.designer.designSurface.tools;
 
+import com.intellij.designer.utils.Cursors;
+
 /**
  * @author Alexander Lobas
  */
 public class DragTracker extends TargetingTool {
+  public DragTracker() {
+    setDefaultCursor(Cursors.RESIZE_ALL);
+  }
 }
\ No newline at end of file
diff --git a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/tools/InputTool.java b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/tools/InputTool.java
index f33a7931587e..dcb9aefedd73 100644
--- a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/tools/InputTool.java
+++ b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/tools/InputTool.java
@@ -34,18 +34,23 @@ public abstract class InputTool {
   protected static final int STATE_DRAG_IN_PROGRESS = 3;
   protected static final int STATE_INVALID = 4;
 
-  private ToolProvider myToolProvider;
+  protected ToolProvider myToolProvider;
   protected EditableArea myArea;
+
   private Object myCommand;
+
   private boolean myActive;
   private boolean myCanUnload = true;
+
   protected int myState;
+
   protected int myCurrentScreenX;
   protected int myCurrentScreenY;
   protected InputEvent myInputEvent;
   protected int myButton;
   protected int myStartScreenX;
   protected int myStartScreenY;
+
   private boolean myCanPastThreshold;
 
   //////////////////////////////////////////////////////////////////////////////////////////
diff --git a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/tools/ResizeTracker.java b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/tools/ResizeTracker.java
index da9c21e022ae..5008ad3efff8 100644
--- a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/tools/ResizeTracker.java
+++ b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/tools/ResizeTracker.java
@@ -15,8 +15,13 @@
  */
 package com.intellij.designer.designSurface.tools;
 
+import com.intellij.designer.utils.Cursors;
+
 /**
  * @author Alexander Lobas
  */
 public class ResizeTracker extends InputTool {
+  public ResizeTracker(int direction) {
+    setDefaultCursor(Cursors.getResizeCursor(direction));
+  }
 }
\ No newline at end of file
diff --git a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/tools/SelectionTool.java b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/tools/SelectionTool.java
index b3a3921edccd..b451ac7cfc51 100644
--- a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/tools/SelectionTool.java
+++ b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/designSurface/tools/SelectionTool.java
@@ -79,6 +79,19 @@ public class SelectionTool extends InputTool {
     refreshCursor();
   }
 
+  @Override
+  protected void handleMove() {
+    if (myState == STATE_INIT) {
+      InputTool tracker = myArea.findTargetTool(myCurrentScreenX, myCurrentScreenY);
+      if (tracker == null) {
+        refreshCursor();
+      }
+      else {
+        myArea.setCursor(tracker.getDefaultCursor());
+      }
+    }
+  }
+
   protected Cursor calculateCursor() {
     return myState == STATE_INIT || myState == STATE_DRAG
            ? getDefaultCursor()
diff --git a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/model/RadComponent.java b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/model/RadComponent.java
index f2b307f7a45b..befc847860b9 100644
--- a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/model/RadComponent.java
+++ b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/model/RadComponent.java
@@ -18,6 +18,7 @@ package com.intellij.designer.model;
 import com.intellij.designer.propertyTable.Property;
 import com.intellij.util.containers.hash.HashMap;
 import org.jetbrains.annotations.NotNull;
+import org.jetbrains.annotations.Nullable;
 
 import javax.swing.*;
 import java.awt.*;
@@ -30,6 +31,7 @@ import java.util.Map;
  */
 public abstract class RadComponent {
   private RadComponent myParent;
+  private RadLayout myLayout;
   private final Map<Object, Object> myClientProperties = new HashMap<Object, Object>();
 
   public RadComponent getRoot() {
@@ -69,9 +71,14 @@ public abstract class RadComponent {
   }
 
   public RadLayout getLayout() {
-    return null;
+    return myLayout;
   }
 
+  public void setLayout(RadLayout layout) {
+    myLayout = layout;
+  }
+
+  @Nullable
   public RadLayoutData getLayoutData() {
     return null;
   }
diff --git a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/model/RadLayout.java b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/model/RadLayout.java
index 57c9b30d0c73..094b581827a2 100644
--- a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/model/RadLayout.java
+++ b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/model/RadLayout.java
@@ -15,8 +15,11 @@
  */
 package com.intellij.designer.model;
 
+import com.intellij.designer.designSurface.ComponentDecorator;
+
 /**
  * @author Alexander Lobas
  */
 public abstract class RadLayout {
+  public abstract ComponentDecorator getChildSelectionDecorator(RadComponent component);
 }
\ No newline at end of file
diff --git a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/utils/Cursors.java b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/utils/Cursors.java
index 858f65f02c52..6eae61c11c08 100644
--- a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/utils/Cursors.java
+++ b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/utils/Cursors.java
@@ -15,12 +15,16 @@
  */
 package com.intellij.designer.utils;
 
+import org.jetbrains.annotations.Nullable;
+
 import java.awt.*;
 
 /**
  * @author Alexander Lobas
  */
 public final class Cursors {
+  public static final Cursor RESIZE_ALL = Cursor.getPredefinedCursor(Cursor.MOVE_CURSOR);
+
   public static Cursor getNoCursor() {
     try {
       return Cursor.getSystemCustomCursor("MoveNoDrop.32x32");
@@ -29,4 +33,37 @@ public final class Cursors {
       return Cursor.getDefaultCursor();
     }
   }
+
+  @Nullable
+  public static Cursor getResizeCursor(int direction) {
+    int cursor;
+    if (direction == Position.NORTH_WEST) {
+      cursor = Cursor.NW_RESIZE_CURSOR;
+    }
+    else if (direction == Position.NORTH) {
+      cursor = Cursor.N_RESIZE_CURSOR;
+    }
+    else if (direction == Position.NORTH_EAST) {
+      cursor = Cursor.NE_RESIZE_CURSOR;
+    }
+    else if (direction == Position.WEST) {
+      cursor = Cursor.W_RESIZE_CURSOR;
+    }
+    else if (direction == Position.EAST) {
+      cursor = Cursor.E_RESIZE_CURSOR;
+    }
+    else if (direction == Position.SOUTH_WEST) {
+      cursor = Cursor.SW_RESIZE_CURSOR;
+    }
+    else if (direction == Position.SOUTH) {
+      cursor = Cursor.S_RESIZE_CURSOR;
+    }
+    else if (direction == Position.SOUTH_EAST) {
+      cursor = Cursor.SE_RESIZE_CURSOR;
+    }
+    else {
+      return null;
+    }
+    return Cursor.getPredefinedCursor(cursor);
+  }
 }
\ No newline at end of file
diff --git a/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/utils/Position.java b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/utils/Position.java
new file mode 100644
index 000000000000..8c05efacbafc
--- /dev/null
+++ b/plugins/ui-designer/ui-designer-new/src/com/intellij/designer/utils/Position.java
@@ -0,0 +1,38 @@
+/*
+ * Copyright 2000-2012 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.
+ */
+package com.intellij.designer.utils;
+
+/**
+ * @author Alexander Lobas
+ */
+public interface Position {
+  //////////////////////////////////////////////////////////////////////////////////////////
+  //
+  // Direction
+  //
+  //////////////////////////////////////////////////////////////////////////////////////////
+  int NONE = 0;
+  int NORTH = 1 << 0;
+  int SOUTH = 1 << 1;
+  int WEST = 1 << 2;
+  int EAST = 1 << 3;
+  int NORTH_EAST = NORTH | EAST;
+  int NORTH_WEST = NORTH | WEST;
+  int SOUTH_EAST = SOUTH | EAST;
+  int SOUTH_WEST = SOUTH | WEST;
+  int NORTH_SOUTH = NORTH | SOUTH;
+  int EAST_WEST = EAST | WEST;
+}
\ No newline at end of file