diff --git a/build/scripts/layouts.gant b/build/scripts/layouts.gant
index e33f920fe146..7d5698fc9aee 100644
--- a/build/scripts/layouts.gant
+++ b/build/scripts/layouts.gant
@@ -554,14 +554,7 @@ public def layoutCommunityPlugins(String home) {
       }
     }
 
-    pluginDir("java-decompiler") {
-      dir("lib") {
-        jar("java-decompiler.jar") {
-          module("java-decompiler")
-        }
-        fileset(file: "$home/plugins/java-decompiler/lib/fernflower.jar")
-      }
-    }
+    layoutPlugin("java-decompiler")
   }
 }
 
diff --git a/build/scripts/libLicenses.gant b/build/scripts/libLicenses.gant
index 5319444eaae6..081cc4cfccc1 100644
--- a/build/scripts/libLicenses.gant
+++ b/build/scripts/libLicenses.gant
@@ -285,4 +285,3 @@ jetbrainsLibrary("JPS")
 jetbrainsLibrary("Maven Embedder")
 jetbrainsLibrary("tcServiceMessages")
 jetbrainsLibrary("optimizedFileManager.jar")
-jetbrainsLibrary("fernflower.jar")
diff --git a/community-tests/src/tests/testGroups.properties b/community-tests/src/tests/testGroups.properties
index a528fa8840df..5104b681ee6f 100644
--- a/community-tests/src/tests/testGroups.properties
+++ b/community-tests/src/tests/testGroups.properties
@@ -4,6 +4,3 @@ org.jetbrains.idea.svn.*
 org.jetbrains.idea.svn16.*
 com.intellij.util.net.ssl.*
 com.intellij.tasks.integration.live.*
-
-[DECOMPILER_TESTS]
-org.jetbrains.java.decompiler.*
diff --git a/plugins/java-decompiler/java-decompiler.iml b/plugins/java-decompiler/java-decompiler.iml
index cf37a2991f2f..b25775f3666b 100644
--- a/plugins/java-decompiler/java-decompiler.iml
+++ b/plugins/java-decompiler/java-decompiler.iml
@@ -5,6 +5,9 @@
     <content url="file://$MODULE_DIR$">
       <sourceFolder url="file://$MODULE_DIR$/src" isTestSource="false" />
       <sourceFolder url="file://$MODULE_DIR$/test" isTestSource="true" />
+      <sourceFolder url="file://$MODULE_DIR$/engine/src" isTestSource="false" />
+      <sourceFolder url="file://$MODULE_DIR$/engine/test" isTestSource="true" />
+      <excludeFolder url="file://$MODULE_DIR$/engine/out" />
     </content>
     <orderEntry type="inheritedJdk" />
     <orderEntry type="sourceFolder" forTests="false" />
@@ -13,15 +16,6 @@
     <orderEntry type="module" module-name="java-psi-impl" />
     <orderEntry type="module" module-name="util" />
     <orderEntry type="module" module-name="testFramework-java" scope="TEST" />
-    <orderEntry type="module-library">
-      <library>
-        <CLASSES>
-          <root url="jar://$MODULE_DIR$/lib/fernflower.jar!/" />
-        </CLASSES>
-        <JAVADOC />
-        <SOURCES />
-      </library>
-    </orderEntry>
     <orderEntry type="library" name="asm5" level="project" />
   </component>
 </module>
diff --git a/plugins/java-decompiler/lib/fernflower.jar b/plugins/java-decompiler/lib/fernflower.jar
deleted file mode 100644
index d8589afbb097..000000000000
Binary files a/plugins/java-decompiler/lib/fernflower.jar and /dev/null differ
diff --git a/plugins/java-decompiler/src/org/jetbrains/java/decompiler/IdeaDecompiler.java b/plugins/java-decompiler/src/org/jetbrains/java/decompiler/IdeaDecompiler.java
index f57ea6a4087b..8acdb8c78ab0 100644
--- a/plugins/java-decompiler/src/org/jetbrains/java/decompiler/IdeaDecompiler.java
+++ b/plugins/java-decompiler/src/org/jetbrains/java/decompiler/IdeaDecompiler.java
@@ -30,12 +30,12 @@ import com.intellij.psi.codeStyle.CommonCodeStyleSettings;
 import com.intellij.psi.compiled.ClassFileDecompilers;
 import com.intellij.psi.impl.compiled.ClsFileImpl;
 import com.intellij.util.containers.ContainerUtil;
-import de.fernflower.main.decompiler.IdeDecompiler;
-import de.fernflower.main.extern.IBytecodeProvider;
-import de.fernflower.main.extern.IDecompilatSaver;
-import de.fernflower.main.extern.IFernflowerLogger;
-import de.fernflower.main.extern.IFernflowerPreferences;
 import org.jetbrains.annotations.NotNull;
+import org.jetbrains.java.decompiler.main.decompiler.IdeDecompiler;
+import org.jetbrains.java.decompiler.main.extern.IBytecodeProvider;
+import org.jetbrains.java.decompiler.main.extern.IDecompilatSaver;
+import org.jetbrains.java.decompiler.main.extern.IFernflowerLogger;
+import org.jetbrains.java.decompiler.main.extern.IFernflowerPreferences;
 import org.jetbrains.org.objectweb.asm.ClassReader;
 import org.jetbrains.org.objectweb.asm.ClassVisitor;
 import org.jetbrains.org.objectweb.asm.Opcodes;
@@ -51,10 +51,10 @@ public class IdeaDecompiler extends ClassFileDecompilers.Light {
   private static final Logger LOG = Logger.getInstance(IdeaDecompiler.class);
 
   private static final String BANNER =
-      "//\n" +
-      "// Source code recreated from a .class file by IntelliJ IDEA\n" +
-      "// (powered by Fernflower decompiler)\n" +
-      "//\n\n";
+    "//\n" +
+    "// Source code recreated from a .class file by IntelliJ IDEA\n" +
+    "// (powered by Fernflower decompiler)\n" +
+    "//\n\n";
 
   private final IFernflowerLogger myLogger = new IdeaLogger();
   private final HashMap<String, Object> myOptions = new HashMap<String, Object>();
diff --git a/plugins/java-decompiler/src/org/jetbrains/java/decompiler/IdeaLogger.java b/plugins/java-decompiler/src/org/jetbrains/java/decompiler/IdeaLogger.java
index 904af9bf31b3..48d9bed21bec 100644
--- a/plugins/java-decompiler/src/org/jetbrains/java/decompiler/IdeaLogger.java
+++ b/plugins/java-decompiler/src/org/jetbrains/java/decompiler/IdeaLogger.java
@@ -16,7 +16,7 @@
 package org.jetbrains.java.decompiler;
 
 import com.intellij.openapi.diagnostic.Logger;
-import de.fernflower.main.extern.IFernflowerLogger;
+import org.jetbrains.java.decompiler.main.extern.IFernflowerLogger;
 
 public class IdeaLogger implements IFernflowerLogger {
   private final static Logger LOG = Logger.getInstance(IdeaDecompiler.class);
diff --git a/plugins/java-decompiler/test/org/jetbrains/java/decompiler/IdeaDecompilerTest.java b/plugins/java-decompiler/test/org/jetbrains/java/decompiler/IdeaDecompilerTest.java
index d7ad94d18fbe..941f677d618b 100644
--- a/plugins/java-decompiler/test/org/jetbrains/java/decompiler/IdeaDecompilerTest.java
+++ b/plugins/java-decompiler/test/org/jetbrains/java/decompiler/IdeaDecompilerTest.java
@@ -15,30 +15,32 @@
  */
 package org.jetbrains.java.decompiler;
 
-import com.intellij.openapi.application.PathManager;
 import com.intellij.openapi.fileTypes.StdFileTypes;
-import com.intellij.openapi.util.io.FileUtil;
 import com.intellij.openapi.vfs.StandardFileSystems;
 import com.intellij.openapi.vfs.VfsUtilCore;
 import com.intellij.openapi.vfs.VirtualFile;
 import com.intellij.openapi.vfs.VirtualFileVisitor;
-import com.intellij.psi.*;
+import com.intellij.psi.PsiElement;
+import com.intellij.psi.PsiFile;
 import com.intellij.psi.impl.compiled.ClsFileImpl;
 import com.intellij.testFramework.PlatformTestUtil;
 import com.intellij.testFramework.fixtures.LightCodeInsightFixtureTestCase;
 import org.jetbrains.annotations.NotNull;
-import org.jetbrains.annotations.Nullable;
-
-import java.io.File;
-import java.io.IOException;
 
 public class IdeaDecompilerTest extends LightCodeInsightFixtureTestCase {
+  private static final String BANNER =
+    "//\n" +
+    "// Source code recreated from a .class file by IntelliJ IDEA\n" +
+    "// (powered by Fernflower decompiler)\n" +
+    "//\n\n";
+
   public void testSimple() {
     String path = PlatformTestUtil.getRtJarPath() + "!/java/lang/String.class";
     VirtualFile file = StandardFileSystems.jar().findFileByPath(path);
     assertNotNull(path, file);
 
     String decompiled = new IdeaDecompiler().getText(file).toString();
+    assertTrue(decompiled.startsWith(BANNER + "package java.lang;\n"));
     assertTrue(decompiled, decompiled.contains("public final class String"));
     assertTrue(decompiled, decompiled.contains("@deprecated"));
     assertTrue(decompiled, decompiled.contains("private static class CaseInsensitiveComparator"));
@@ -46,83 +48,29 @@ public class IdeaDecompilerTest extends LightCodeInsightFixtureTestCase {
     assertFalse(decompiled, decompiled.contains("synthetic"));
   }
 
-  public void testStubCompatibilityRt() {
-    String path = PlatformTestUtil.getRtJarPath() + "!/";
+  public void testStubCompatibility() {
+    String path = PlatformTestUtil.getRtJarPath() + "!/java";
     VirtualFile dir = StandardFileSystems.jar().findFileByPath(path);
     assertNotNull(path, dir);
     doTestStubCompatibility(dir);
   }
 
-  public void testStubCompatibilityIdea() {
-    String path = PathManager.getHomePath() + "/out/production";
-    if (!new File(path).exists()) path = PathManager.getHomePath() + "/out/classes/production";
-    VirtualFile dir = StandardFileSystems.local().refreshAndFindFileByPath(path);
-    assertNotNull(path, dir);
-    doTestStubCompatibility(dir);
-  }
-
   private void doTestStubCompatibility(VirtualFile root) {
-    doTestStubCompatibility(root, null);
-  }
-
-  private void doTestStubCompatibility(VirtualFile root, @Nullable final String textPath) {
-    final int pathStart = root.getPath().length();
-    final boolean compare = textPath != null && new File(textPath).exists();
-
     VfsUtilCore.visitChildrenRecursively(root, new VirtualFileVisitor() {
       @Override
       public boolean visitFile(@NotNull VirtualFile file) {
-        if (!file.isDirectory() && file.getFileType() == StdFileTypes.CLASS && !file.getName().contains("$")) {
+        if (file.isDirectory()) {
+          System.out.println(file.getPath());
+        }
+        else if (file.getFileType() == StdFileTypes.CLASS && !file.getName().contains("$")) {
           PsiFile clsFile = getPsiManager().findFile(file);
           assertNotNull(file.getPath(), clsFile);
-
-          PsiElement mirror = ((ClsFileImpl)clsFile).getMirror().copy();
-          if (textPath != null) {
-            collapseCodeBlocks(mirror);
-          }
+          PsiElement mirror = ((ClsFileImpl)clsFile).getMirror();
           String decompiled = mirror.getText();
           assertTrue(file.getPath(), decompiled.contains(file.getNameWithoutExtension()));
-
-          if (textPath != null) {
-            try {
-              File txtFile = new File(textPath, file.getPath().substring(pathStart));
-              if (!compare) {
-                FileUtil.writeToFile(txtFile, decompiled.getBytes("UTF-8"));
-              }
-              else {
-                String expected = FileUtil.loadFile(txtFile, "UTF-8");
-                assertEquals(file.getPath(), expected, decompiled);
-              }
-            }
-            catch (IOException e) {
-              throw new RuntimeException(e);
-            }
-          }
         }
         return true;
       }
     });
   }
-
-  private static void collapseCodeBlocks(PsiElement original) {
-    final PsiElementFactory factory = PsiElementFactory.SERVICE.getInstance(original.getProject());
-    original.accept(new JavaRecursiveElementWalkingVisitor() {
-      @Override
-      public void visitMethod(PsiMethod method) {
-        PsiCodeBlock body = method.getBody();
-        if (body != null) {
-          body.replace(factory.createCodeBlockFromText("{ /* collapsed */}", null));
-        }
-      }
-
-      @Override
-      public void visitClass(PsiClass aClass) {
-        for (PsiClassInitializer initializer : aClass.getInitializers()) {
-          PsiCodeBlock body = initializer.getBody();
-          body.replace(factory.createCodeBlockFromText("{ /* collapsed */}", null));
-        }
-        super.visitClass(aClass);
-      }
-    });
-  }
 }