diff --git a/python/src/com/jetbrains/python/refactoring/unwrap/PyUnwrapDescriptor.java b/python/src/com/jetbrains/python/refactoring/unwrap/PyUnwrapDescriptor.java
index 926fa9cfe744..44c2a260c5fe 100644
--- a/python/src/com/jetbrains/python/refactoring/unwrap/PyUnwrapDescriptor.java
+++ b/python/src/com/jetbrains/python/refactoring/unwrap/PyUnwrapDescriptor.java
@@ -2,6 +2,12 @@ package com.jetbrains.python.refactoring.unwrap;
 
 import com.intellij.codeInsight.unwrap.UnwrapDescriptorBase;
 import com.intellij.codeInsight.unwrap.Unwrapper;
+import com.intellij.openapi.editor.Editor;
+import com.intellij.openapi.editor.SelectionModel;
+import com.intellij.psi.PsiElement;
+import com.intellij.psi.PsiFile;
+import com.jetbrains.python.psi.PyUtil;
+import org.jetbrains.annotations.Nullable;
 
 /**
  * user : ktisha
@@ -21,4 +27,19 @@ public class PyUnwrapDescriptor extends UnwrapDescriptorBase{
       new PyWithUnwrapper()
     };
   }
+
+  @Override
+  @Nullable
+  protected PsiElement findTargetElement(Editor editor, PsiFile file) {
+    int offset = editor.getCaretModel().getOffset();
+    PsiElement endElement = PyUtil.findNonWhitespaceAtOffset(file, offset);
+    SelectionModel selectionModel = editor.getSelectionModel();
+    if (selectionModel.hasSelection() && selectionModel.getSelectionStart() < offset) {
+      PsiElement startElement = PyUtil.findNonWhitespaceAtOffset(file, selectionModel.getSelectionStart());
+      if (startElement != null && startElement != endElement && startElement.getTextRange().getEndOffset() == offset) {
+        return startElement;
+      }
+    }
+    return endElement;
+  }
 }
diff --git a/python/testData/refactoring/unwrap/endOfStatementUnwrap_after.py b/python/testData/refactoring/unwrap/endOfStatementUnwrap_after.py
new file mode 100644
index 000000000000..7d4290a117a4
--- /dev/null
+++ b/python/testData/refactoring/unwrap/endOfStatementUnwrap_after.py
@@ -0,0 +1 @@
+x = 1
diff --git a/python/testData/refactoring/unwrap/endOfStatementUnwrap_before.py b/python/testData/refactoring/unwrap/endOfStatementUnwrap_before.py
new file mode 100644
index 000000000000..09a36679149a
--- /dev/null
+++ b/python/testData/refactoring/unwrap/endOfStatementUnwrap_before.py
@@ -0,0 +1,2 @@
+while True:
+    x = 1<caret>
diff --git a/python/testSrc/com/jetbrains/python/refactoring/PyUnwrapperTest.java b/python/testSrc/com/jetbrains/python/refactoring/PyUnwrapperTest.java
index fba356e2c829..160d88bc0140 100644
--- a/python/testSrc/com/jetbrains/python/refactoring/PyUnwrapperTest.java
+++ b/python/testSrc/com/jetbrains/python/refactoring/PyUnwrapperTest.java
@@ -41,6 +41,8 @@ public class PyUnwrapperTest extends PyTestCase {
 
   public void testWithUnwrap()                        throws Throwable {doTest(LanguageLevel.PYTHON32);}
 
+  public void testEndOfStatementUnwrap()              throws Throwable {doTest();}
+
   private void doTest() {
     doTest(0);
   }