diff --git a/spring-integration-core/.springBeans b/spring-integration-core/.springBeans
index 9087afb06f..af61d5c04c 100644
--- a/spring-integration-core/.springBeans
+++ b/spring-integration-core/.springBeans
@@ -1,13 +1,14 @@
 <?xml version="1.0" encoding="UTF-8"?>
 <beansProjectDescription>
 	<version>1</version>
-	<pluginVersion><![CDATA[2.5.0.201010221000-RELEASE]]></pluginVersion>
+	<pluginVersion><![CDATA[2.5.2.201101121000-SR1]]></pluginVersion>
 	<configSuffixes>
 		<configSuffix><![CDATA[xml]]></configSuffix>
 	</configSuffixes>
 	<enableImports><![CDATA[false]]></enableImports>
 	<configs>
 		<config>src/test/java/org/springframework/integration/gateway/GatewayInterfaceTest-context.xml</config>
+		<config>src/test/java/org/springframework/integration/gateway/InnerGatewayWithChainTests-context.xml</config>
 	</configs>
 	<configSets>
 	</configSets>
diff --git a/spring-integration-core/src/main/java/org/springframework/integration/config/xml/GatewayParser.java b/spring-integration-core/src/main/java/org/springframework/integration/config/xml/GatewayParser.java
index 81d03145ff..ad62582ba0 100644
--- a/spring-integration-core/src/main/java/org/springframework/integration/config/xml/GatewayParser.java
+++ b/spring-integration-core/src/main/java/org/springframework/integration/config/xml/GatewayParser.java
@@ -45,7 +45,7 @@ public class GatewayParser extends AbstractSimpleBeanDefinitionParser {
 	};
 
 	private static String[] innerAttributes = new String[] {
-		"request-channel", "reply-channel", "request-timeout", "reply-timeout"
+		"request-channel", "reply-channel", "request-timeout", "reply-timeout", "error-channel"
 	};
 
 
@@ -75,7 +75,8 @@ public class GatewayParser extends AbstractSimpleBeanDefinitionParser {
 		IntegrationNamespaceUtils.setReferenceIfAttributeDefined(builder, element, "request-channel", "defaultRequestChannel");
 		IntegrationNamespaceUtils.setReferenceIfAttributeDefined(builder, element, "reply-channel", "defaultReplyChannel");
 		IntegrationNamespaceUtils.setValueIfAttributeDefined(builder, element, "request-timeout", "defaultRequestTimeout");
-		IntegrationNamespaceUtils.setValueIfAttributeDefined(builder, element, "reply-timeout", "defaultReplyTimeout");
+		IntegrationNamespaceUtils.setValueIfAttributeDefined(builder, element, "reply-timeout", "defaultReplyTimeout");		
+		IntegrationNamespaceUtils.setReferenceIfAttributeDefined(builder, element, "error-channel");
 	}
 
 	private void postProcessGateway(BeanDefinitionBuilder builder, Element element) {
diff --git a/spring-integration-core/src/main/resources/org/springframework/integration/config/xml/spring-integration-2.0.xsd b/spring-integration-core/src/main/resources/org/springframework/integration/config/xml/spring-integration-2.0.xsd
index 148882ad92..e4c27eae83 100644
--- a/spring-integration-core/src/main/resources/org/springframework/integration/config/xml/spring-integration-2.0.xsd
+++ b/spring-integration-core/src/main/resources/org/springframework/integration/config/xml/spring-integration-2.0.xsd
@@ -660,6 +660,15 @@
 				</xsd:documentation>
 			</xsd:annotation>
 		</xsd:attribute>
+		<xsd:attribute name="error-channel" type="xsd:string">
+			<xsd:annotation>
+				<xsd:documentation><![CDATA[
+					Identifies channel that error messages will be sent to if a failure occurs in this
+					adapter's invocation. To completely suppress Exceptions, provide a
+					reference to the "nullChannel" here.
+				]]></xsd:documentation>
+			</xsd:annotation>
+		</xsd:attribute>
 	</xsd:complexType>
 
 	<xsd:element name="inbound-channel-adapter">
diff --git a/spring-integration-core/src/test/java/org/springframework/integration/gateway/InnerGatewayWithChainTests-context.xml b/spring-integration-core/src/test/java/org/springframework/integration/gateway/InnerGatewayWithChainTests-context.xml
new file mode 100644
index 0000000000..cc584d1c1d
--- /dev/null
+++ b/spring-integration-core/src/test/java/org/springframework/integration/gateway/InnerGatewayWithChainTests-context.xml
@@ -0,0 +1,28 @@
+<?xml version="1.0" encoding="UTF-8"?>
+<beans xmlns="http://www.springframework.org/schema/beans"
+	xmlns:xsi="http://www.w3.org/2001/XMLSchema-instance"
+	xmlns:int="http://www.springframework.org/schema/integration"
+	xsi:schemaLocation="http://www.springframework.org/schema/integration http://www.springframework.org/schema/integration/spring-integration-2.0.xsd
+		http://www.springframework.org/schema/beans http://www.springframework.org/schema/beans/spring-beans-3.0.xsd">
+
+	<int:channel id="errorChannelA"/>
+	
+	<int:service-activator input-channel="errorChannelA" expression="'ERROR from errorChannelA'"/>
+		
+	<int:channel id="errorChannelB"/>
+	
+	<int:service-activator input-channel="errorChannelB" expression="'ERROR from errorChannelB'"/>
+		
+
+	<int:gateway id="testGateway" 
+	             service-interface="org.springframework.integration.gateway.InnerGatewayWithChainTests.TestGateway"
+	             default-request-channel="requestChannelA"
+	             error-channel="errorChannelA"/>
+	                    
+	<int:chain input-channel="requestChannelA">
+		<int:service-activator expression="1/(payload-5)"/>
+		<int:gateway request-channel="requestChannelB" error-channel="errorChannelB"/>
+	</int:chain>
+	
+	<int:service-activator input-channel="requestChannelB" expression="10/payload"/>
+</beans>
diff --git a/spring-integration-core/src/test/java/org/springframework/integration/gateway/InnerGatewayWithChainTests.java b/spring-integration-core/src/test/java/org/springframework/integration/gateway/InnerGatewayWithChainTests.java
new file mode 100644
index 0000000000..90bedf5efa
--- /dev/null
+++ b/spring-integration-core/src/test/java/org/springframework/integration/gateway/InnerGatewayWithChainTests.java
@@ -0,0 +1,53 @@
+/*
+ * Copyright 2002-2011 the original author or authors.
+ *
+ * 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 org.springframework.integration.gateway;
+
+import static junit.framework.Assert.assertEquals;
+
+import org.junit.Test;
+import org.junit.runner.RunWith;
+
+import org.springframework.beans.factory.annotation.Autowired;
+import org.springframework.test.context.ContextConfiguration;
+import org.springframework.test.context.junit4.SpringJUnit4ClassRunner;
+
+/**
+ * @author Oleg Zhurakousky
+ *
+ */
+@ContextConfiguration
+@RunWith(SpringJUnit4ClassRunner.class)
+public class InnerGatewayWithChainTests {
+	
+	@Autowired
+	private TestGateway testGateway;
+
+	@Test
+	public void testExceptionHandledByMainGateway(){
+		String reply = testGateway.echo(5);
+		assertEquals("ERROR from errorChannelA", reply);
+	}
+	
+	@Test
+	public void testExceptionHandledByInnerGateway(){
+		String reply = testGateway.echo(0);
+		assertEquals("ERROR from errorChannelB", reply);
+	}
+	
+	public static interface TestGateway{
+		public String echo(int value);
+	}
+}