diff --git a/lib/compiler.js b/lib/compiler.js
index aebd15a4..e672e6f5 100644
--- a/lib/compiler.js
+++ b/lib/compiler.js
@@ -233,7 +233,7 @@
     },
 
     format: function(context, node) {
-      return '.w(' + escape(node[1] + node[2]) + ')';
+      return '.w(' + escape(node[1]) + ')';
     },
 
     reference: function(context, node) {
diff --git a/test/jasmine-test/spec/coreTests.js b/test/jasmine-test/spec/coreTests.js
index 33202bac..94dd4e94 100755
--- a/test/jasmine-test/spec/coreTests.js
+++ b/test/jasmine-test/spec/coreTests.js
@@ -1776,7 +1776,39 @@ var coreTests = [
   {
     name: "whitespace test",
     tests: [
-      {
+	  {
+		name: "whitespace on: whitespace-only template",
+		source: "\n     ",
+		context: {},
+		expected: "\n     ",
+		message: "whitespace on: whitespace-only template is preserved",
+		config: { whitespace: true }
+	  },
+	  {
+		name: "whitespace off: whitespace-only template",
+		source: "\n     ",
+		context: {},
+		expected: "",
+		message: "whitespace off: whitespace-only template is removed",
+		config: { whitespace: false }
+	  },
+	  {
+		name: "whitespace on: whitespace-only block",
+		source: "{<foo}\n{/foo}{+foo/}",
+		context: {},
+		expected: "\n",
+		message: "whitespace on: whitespace-only block is preserved",
+		config: { whitespace: true }
+	  },
+	  {
+		name: "whitespace off: whitespace-only block",
+		source: "{<foo}\n{/foo}{+foo/}",
+		context: {},
+		expected: "",
+		message: "whitespace off: whitespace-only block is removed",
+		config: { whitespace: false }
+	  },
+	  {
         name: "whitespace off: multiline text block runs together",
         source: ["<p>",
                  "    foo bar baz",