diff --git a/plugins/groovy/src/org/jetbrains/plugins/groovy/formatter/GroovyBlock.java b/plugins/groovy/src/org/jetbrains/plugins/groovy/formatter/GroovyBlock.java
index a64a3a535f92..2bc1772906d3 100644
--- a/plugins/groovy/src/org/jetbrains/plugins/groovy/formatter/GroovyBlock.java
+++ b/plugins/groovy/src/org/jetbrains/plugins/groovy/formatter/GroovyBlock.java
@@ -35,7 +35,14 @@ import org.jetbrains.plugins.groovy.lang.groovydoc.psi.api.GrDocTag;
 import org.jetbrains.plugins.groovy.lang.parser.GroovyElementTypes;
 import org.jetbrains.plugins.groovy.lang.psi.GroovyFileBase;
 import org.jetbrains.plugins.groovy.lang.psi.api.auxiliary.GrListOrMap;
+import org.jetbrains.plugins.groovy.lang.psi.api.statements.GrStatement;
+import org.jetbrains.plugins.groovy.lang.psi.api.statements.GrSwitchStatement;
 import org.jetbrains.plugins.groovy.lang.psi.api.statements.arguments.GrArgumentList;
+import org.jetbrains.plugins.groovy.lang.psi.api.statements.branch.GrBreakStatement;
+import org.jetbrains.plugins.groovy.lang.psi.api.statements.branch.GrContinueStatement;
+import org.jetbrains.plugins.groovy.lang.psi.api.statements.branch.GrReturnStatement;
+import org.jetbrains.plugins.groovy.lang.psi.api.statements.branch.GrThrowStatement;
+import org.jetbrains.plugins.groovy.lang.psi.api.statements.clauses.GrCaseSection;
 import org.jetbrains.plugins.groovy.lang.psi.api.statements.expressions.GrBinaryExpression;
 import org.jetbrains.plugins.groovy.lang.psi.api.statements.expressions.GrCommandArgumentList;
 import org.jetbrains.plugins.groovy.lang.psi.api.statements.params.GrParameterList;
@@ -121,15 +128,33 @@ public class GroovyBlock implements Block, GroovyElementTypes {
 
   @NotNull
   public ChildAttributes getChildAttributes(final int newChildIndex) {
-    return getAttributesByParent();
-  }
-
-  private ChildAttributes getAttributesByParent() {
     ASTNode astNode = getNode();
     final PsiElement psiParent = astNode.getPsi();
     if (psiParent instanceof GroovyFileBase) {
       return new ChildAttributes(Indent.getNoneIndent(), null);
     }
+    if (psiParent instanceof GrSwitchStatement) {
+      List<Block> subBlocks = getSubBlocks();
+      if (newChildIndex > 0) {
+        Block block = subBlocks.get(newChildIndex - 1);
+        if (block instanceof GroovyBlock) {
+          PsiElement anchorPsi = ((GroovyBlock)block).getNode().getPsi();
+          if (anchorPsi instanceof GrCaseSection) {
+            for (GrStatement statement : ((GrCaseSection)anchorPsi).getStatements()) {
+              if (statement instanceof GrBreakStatement ||
+                  statement instanceof GrContinueStatement ||
+                  statement instanceof GrReturnStatement ||
+                  statement instanceof GrThrowStatement) {
+                return new ChildAttributes(GroovyIndentProcessor.getSwitchCaseIndent(anchorPsi), null);
+              }
+            }
+            int indentSize = mySettings.getAdditionalIndentOptions(anchorPsi.getContainingFile().getFileType()).INDENT_SIZE;
+            return new ChildAttributes(Indent.getSpaceIndent(mySettings.INDENT_CASE_FROM_SWITCH ? 2 * indentSize : indentSize), null);
+          }
+        }
+      }
+    }
+
     if (BLOCK_SET.contains(astNode.getElementType()) ||
         SWITCH_STATEMENT.equals(astNode.getElementType())) {
       return new ChildAttributes(Indent.getNormalIndent(), null);
diff --git a/plugins/groovy/src/org/jetbrains/plugins/groovy/formatter/processors/GroovyIndentProcessor.java b/plugins/groovy/src/org/jetbrains/plugins/groovy/formatter/processors/GroovyIndentProcessor.java
index ef1d26d2c58b..da414c9655c8 100644
--- a/plugins/groovy/src/org/jetbrains/plugins/groovy/formatter/processors/GroovyIndentProcessor.java
+++ b/plugins/groovy/src/org/jetbrains/plugins/groovy/formatter/processors/GroovyIndentProcessor.java
@@ -232,10 +232,17 @@ public abstract class GroovyIndentProcessor implements GroovyElementTypes {
   }
 
   private static Indent indentForSwitchStatement(PsiElement psiParent, ASTNode child) {
-    if (CASE_SECTION.equals(child.getElementType()) && CodeStyleSettingsManager.getSettings(psiParent.getProject()).INDENT_CASE_FROM_SWITCH) {
-      return Indent.getNormalIndent();
+    if (CASE_SECTION.equals(child.getElementType())) {
+      return getSwitchCaseIndent(psiParent);
     }
     return Indent.getNoneIndent();
   }
+
+  public static Indent getSwitchCaseIndent(PsiElement psiParent) {
+    if (CodeStyleSettingsManager.getSettings(psiParent.getProject()).INDENT_CASE_FROM_SWITCH) {
+        return Indent.getNormalIndent();
+      }
+    return Indent.getNoneIndent();
+  }
 }
 
diff --git a/plugins/groovy/test/org/jetbrains/plugins/groovy/lang/formatter/EnterActionTest.groovy b/plugins/groovy/test/org/jetbrains/plugins/groovy/lang/formatter/EnterActionTest.groovy
index 3c0791d75a8c..45758242c29f 100644
--- a/plugins/groovy/test/org/jetbrains/plugins/groovy/lang/formatter/EnterActionTest.groovy
+++ b/plugins/groovy/test/org/jetbrains/plugins/groovy/lang/formatter/EnterActionTest.groovy
@@ -139,7 +139,59 @@ switch(x) {
     <caret>
 }"""
   }
-  
+
+  public void testCaseBeforeReturn() {
+    doTest """
+switch(x) {
+  case 0: <caret>
+    return x
+}""", """
+switch(x) {
+  case 0:
+    <caret>
+    return x
+}"""
+  }
+
+  public void testCaseAfterBreak() {
+    doTest """
+switch(x) {
+  case 0:
+    break<caret>
+}""", """
+switch(x) {
+  case 0:
+    break
+  <caret>
+}"""
+  }
+
+  public void testCaseAfterCall() {
+    doTest """
+switch(x) {
+  case 0:
+    foo()<caret>
+}""", """
+switch(x) {
+  case 0:
+    foo()
+    <caret>
+}"""
+  }
+
+  public void testCaseAfterReturn() {
+    doTest """
+switch(x) {
+  case 0:
+    return 2<caret>
+}""", """
+switch(x) {
+  case 0:
+    return 2
+  <caret>
+}"""
+  }
+
   public void testAlmostBeforeClosingClosureBrace() throws Throwable {
     doTest  """
 def c = { a ->