diff --git a/org.springframework.integration/src/main/java/org/springframework/integration/config/xml/PointToPointChannelParser.java b/org.springframework.integration/src/main/java/org/springframework/integration/config/xml/PointToPointChannelParser.java
index bb67d88329..6a664b203c 100644
--- a/org.springframework.integration/src/main/java/org/springframework/integration/config/xml/PointToPointChannelParser.java
+++ b/org.springframework.integration/src/main/java/org/springframework/integration/config/xml/PointToPointChannelParser.java
@@ -27,6 +27,7 @@ import org.springframework.util.xml.DomUtils;
  * Parser for the <channel> element.
  * 
  * @author Mark Fisher
+ * @author Iwein Fuld
  */
 public class PointToPointChannelParser extends AbstractChannelParser {
 
@@ -61,7 +62,7 @@ public class PointToPointChannelParser extends AbstractChannelParser {
 	private void parseQueueCapacity(BeanDefinitionBuilder builder, Element queueElement) {
 		String capacity = queueElement.getAttribute("capacity");
 		if (StringUtils.hasText(capacity)) {
-			builder.addConstructorArgValue(Integer.valueOf(capacity));
+			builder.addConstructorArgValue(capacity);
 		}
 	}
 
diff --git a/org.springframework.integration/src/test/java/org/springframework/integration/config/xml/propertyplaceholder/PropertyPlaceholderTests-context.xml b/org.springframework.integration/src/test/java/org/springframework/integration/config/xml/propertyplaceholder/PropertyPlaceholderTests-context.xml
new file mode 100644
index 0000000000..1d565c430c
--- /dev/null
+++ b/org.springframework.integration/src/test/java/org/springframework/integration/config/xml/propertyplaceholder/PropertyPlaceholderTests-context.xml
@@ -0,0 +1,26 @@
+<?xml version="1.0" encoding="UTF-8"?>
+<beans:beans xmlns="http://www.springframework.org/schema/integration"
+	xmlns:beans="http://www.springframework.org/schema/beans"
+	xmlns:context="http://www.springframework.org/schema/context"
+	xmlns:stream="http://www.springframework.org/schema/integration/stream"
+	xmlns:xsi="http://www.w3.org/2001/XMLSchema-instance"
+	xsi:schemaLocation="http://www.springframework.org/schema/beans
+			http://www.springframework.org/schema/beans/spring-beans-2.5.xsd
+			http://www.springframework.org/schema/context
+			http://www.springframework.org/schema/context/spring-context-2.5.xsd
+			http://www.springframework.org/schema/integration
+			http://www.springframework.org/schema/integration/spring-integration-1.0.xsd
+			http://www.springframework.org/schema/integration/stream
+			http://www.springframework.org/schema/integration/stream/spring-integration-stream-1.0.xsd">
+
+	<channel id="something">
+		<queue capacity="${capacity}" />
+	</channel>
+
+	<beans:bean
+		class="org.springframework.integration.config.xml.propertyplaceholder.PropertyPlaceholderTests$SanityCheck">
+		<beans:constructor-arg value="${capacity}" />
+	</beans:bean>
+	<context:property-placeholder
+		location="org/springframework/integration/config/xml/propertyplaceholder/channel.properties" />
+</beans:beans>
\ No newline at end of file
diff --git a/org.springframework.integration/src/test/java/org/springframework/integration/config/xml/propertyplaceholder/PropertyPlaceholderTests.java b/org.springframework.integration/src/test/java/org/springframework/integration/config/xml/propertyplaceholder/PropertyPlaceholderTests.java
new file mode 100644
index 0000000000..28397624ad
--- /dev/null
+++ b/org.springframework.integration/src/test/java/org/springframework/integration/config/xml/propertyplaceholder/PropertyPlaceholderTests.java
@@ -0,0 +1,43 @@
+/*
+ * Copyright 2002-2008 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.config.xml.propertyplaceholder;
+
+import org.junit.Test;
+import org.junit.runner.RunWith;
+import org.springframework.test.context.ContextConfiguration;
+import org.springframework.test.context.junit4.SpringJUnit4ClassRunner;
+
+/**
+ * 
+ * @author Iwein Fuld
+ *
+ */
+@ContextConfiguration
+@RunWith(SpringJUnit4ClassRunner.class)
+public class PropertyPlaceholderTests {
+
+	@Test
+	public void context() throws Exception {
+		//parsing and instantiating is enough
+	}
+	
+	public static class SanityCheck{
+		public SanityCheck(Integer i) {
+			//this will throw an exception if the placeholder isn't replaced
+		}
+	}
+}
diff --git a/org.springframework.integration/src/test/java/org/springframework/integration/config/xml/propertyplaceholder/channel.properties b/org.springframework.integration/src/test/java/org/springframework/integration/config/xml/propertyplaceholder/channel.properties
new file mode 100644
index 0000000000..e92655969d
--- /dev/null
+++ b/org.springframework.integration/src/test/java/org/springframework/integration/config/xml/propertyplaceholder/channel.properties
@@ -0,0 +1 @@
+capacity=10