diff --git a/lib/ace/mode/folding/xml.js b/lib/ace/mode/folding/xml.js
index 5e8e4b9a..3e69ddfa 100644
--- a/lib/ace/mode/folding/xml.js
+++ b/lib/ace/mode/folding/xml.js
@@ -3,7 +3,7 @@
  *
  * Copyright (c) 2010, Ajax.org B.V.
  * All rights reserved.
- * 
+ *
  * Redistribution and use in source and binary forms, with or without
  * modification, are permitted provided that the following conditions are met:
  *     * Redistributions of source code must retain the above copyright
@@ -14,7 +14,7 @@
  *     * Neither the name of Ajax.org B.V. nor the
  *       names of its contributors may be used to endorse or promote products
  *       derived from this software without specific prior written permission.
- * 
+ *
  * THIS SOFTWARE IS PROVIDED BY THE COPYRIGHT HOLDERS AND CONTRIBUTORS "AS IS" AND
  * ANY EXPRESS OR IMPLIED WARRANTIES, INCLUDING, BUT NOT LIMITED TO, THE IMPLIED
  * WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE ARE
@@ -113,7 +113,7 @@ oop.inherits(FoldMode, BaseFoldMode);
                     };
                 }
                 value += token.value;
-                if (value.indexOf(">") !== -1) {
+                if (token.type.slice(-4) === ".end") {
                     var tag = this._parseTag(value);
                     tag.start = start;
                     tag.end = {
@@ -195,7 +195,7 @@ oop.inherits(FoldMode, BaseFoldMode);
             var iterator = new TokenIterator(session, row, firstTag.column);
             var start = {
                 row: row,
-                column: firstTag.column + firstTag.tagName.length + 2
+                column: firstTag.column + firstTag.match.length
             };
             while (tag = this._readTagForward(iterator)) {
                 if (tag.selfClosing) {
@@ -209,8 +209,9 @@ oop.inherits(FoldMode, BaseFoldMode);
                 
                 if (tag.closing) {
                     this._pop(stack, tag);
-                    if (stack.length == 0)
+                    if (!stack.length)
                         return Range.fromPoints(start, tag.start);
+
                 }
                 else {
                     stack.push(tag)
@@ -236,9 +237,12 @@ oop.inherits(FoldMode, BaseFoldMode);
                 
                 if (!tag.closing) {
                     this._pop(stack, tag);
-                    if (stack.length == 0) {
-                        tag.start.column += tag.tagName.length + 2;
-                        return Range.fromPoints(tag.start, end);
+                    if (!stack.length) {
+                        if (tag.start.row != tag.end.row) {
+                            tag.end = tag.start;
+                            tag.end.column += session.getLine(tag.end.row).length;
+                        }
+                        return Range.fromPoints(tag.end, end);
                     }
                 }
                 else {
@@ -246,9 +250,9 @@ oop.inherits(FoldMode, BaseFoldMode);
                 }
             }
         }
-        
+
     };
 
-}).call(FoldMode.prototype);
+ }).call(FoldMode.prototype);
 
 });