diff --git a/demo/kitchen-sink/demo.js b/demo/kitchen-sink/demo.js
index 52f71d20..cf680b53 100644
--- a/demo/kitchen-sink/demo.js
+++ b/demo/kitchen-sink/demo.js
@@ -596,4 +596,7 @@ env.editor.setOptions({
     enableSnippets: true
 });
 
+var beautify = require("ace/ext/beautify");
+env.editor.commands.addCommands(beautify.commands);
+
 });
diff --git a/lib/ace/ext/beautify.js b/lib/ace/ext/beautify.js
new file mode 100644
index 00000000..d0fa1799
--- /dev/null
+++ b/lib/ace/ext/beautify.js
@@ -0,0 +1,57 @@
+/* ***** BEGIN LICENSE BLOCK *****
+ * Distributed under the BSD license:
+ *
+ * Copyright (c) 2012, 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
+ *       notice, this list of conditions and the following disclaimer.
+ *     * Redistributions in binary form must reproduce the above copyright
+ *       notice, this list of conditions and the following disclaimer in the
+ *       documentation and/or other materials provided with the distribution.
+ *     * 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
+ * DISCLAIMED. IN NO EVENT SHALL AJAX.ORG B.V. BE LIABLE FOR ANY
+ * DIRECT, INDIRECT, INCIDENTAL, SPECIAL, EXEMPLARY, OR CONSEQUENTIAL DAMAGES
+ * (INCLUDING, BUT NOT LIMITED TO, PROCUREMENT OF SUBSTITUTE GOODS OR SERVICES;
+ * LOSS OF USE, DATA, OR PROFITS; OR BUSINESS INTERRUPTION) HOWEVER CAUSED AND
+ * ON ANY THEORY OF LIABILITY, WHETHER IN CONTRACT, STRICT LIABILITY, OR TORT
+ * (INCLUDING NEGLIGENCE OR OTHERWISE) ARISING IN ANY WAY OUT OF THE USE OF THIS
+ * SOFTWARE, EVEN IF ADVISED OF THE POSSIBILITY OF SUCH DAMAGE.
+ *
+ * ***** END LICENSE BLOCK ***** */
+
+// [WIP]
+
+define(function(require, exports, module) {
+"use strict";
+var TokenIterator = require("ace/token_iterator").TokenIterator;
+
+var phpTransform = require("./beautify/php_rules").transform;
+
+exports.beautify = function(session) {
+    var iterator = new TokenIterator(session, 0, 0);
+    var token = iterator.getCurrentToken();
+
+    var context = session.$modeId.split("/").pop();
+
+    var code = phpTransform(iterator, context);
+    session.doc.setValue(code);
+};
+
+exports.commands = [{
+    name: "beautify",
+    exec: function(editor) {
+        exports.beautify(editor.session);
+    },
+    bindKey: "Ctrl-Shift-B"
+}]
+
+});
\ No newline at end of file
diff --git a/lib/ace/ext/beautify/php_rules.js b/lib/ace/ext/beautify/php_rules.js
new file mode 100644
index 00000000..9a5bed36
--- /dev/null
+++ b/lib/ace/ext/beautify/php_rules.js
@@ -0,0 +1,366 @@
+/* ***** BEGIN LICENSE BLOCK *****
+ * Distributed under the BSD license:
+ *
+ * Copyright (c) 2012, 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
+ *       notice, this list of conditions and the following disclaimer.
+ *     * Redistributions in binary form must reproduce the above copyright
+ *       notice, this list of conditions and the following disclaimer in the
+ *       documentation and/or other materials provided with the distribution.
+ *     * 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
+ * DISCLAIMED. IN NO EVENT SHALL AJAX.ORG B.V. BE LIABLE FOR ANY
+ * DIRECT, INDIRECT, INCIDENTAL, SPECIAL, EXEMPLARY, OR CONSEQUENTIAL DAMAGES
+ * (INCLUDING, BUT NOT LIMITED TO, PROCUREMENT OF SUBSTITUTE GOODS OR SERVICES;
+ * LOSS OF USE, DATA, OR PROFITS; OR BUSINESS INTERRUPTION) HOWEVER CAUSED AND
+ * ON ANY THEORY OF LIABILITY, WHETHER IN CONTRACT, STRICT LIABILITY, OR TORT
+ * (INCLUDING NEGLIGENCE OR OTHERWISE) ARISING IN ANY WAY OUT OF THE USE OF THIS
+ * SOFTWARE, EVEN IF ADVISED OF THE POSSIBILITY OF SUCH DAMAGE.
+ *
+ * ***** END LICENSE BLOCK ***** */
+
+define(function(require, exports, module) {
+"use strict";
+var TokenIterator = require("ace/token_iterator").TokenIterator;
+exports.newLines = [{
+    type: 'support.php_tag',
+    value: '<?php'
+}, {
+    type: 'support.php_tag',
+    value: '<?'
+}, {
+    type: 'support.php_tag',
+    value: '?>'
+}, {
+    type: 'paren.lparen',
+    value: '{',
+    indent: true
+}, {
+    type: 'paren.rparen',
+    breakBefore: true,
+    value: '}',
+    indent: false
+}, {
+    type: 'paren.rparen',
+    breakBefore: true,
+    value: '})',
+    indent: false,
+    dontBreak: true
+}, {
+    type: 'comment'
+}, {
+    type: 'text',
+    value: ';'
+}, {
+    type: 'text',
+    value: ':',
+    context: 'php'
+}, {
+    type: 'keyword',
+    value: 'case',
+    indent: true,
+    dontBreak: true
+}, {
+    type: 'keyword',
+    value: 'default',
+    indent: true,
+    dontBreak: true
+}, {
+    type: 'keyword',
+    value: 'break',
+    indent: false,
+    dontBreak: true
+}, {
+    type: 'punctuation.doctype.end',
+    value: '>'
+}, {
+    type: 'meta.tag.punctuation.end',
+    value: '>'
+}, {
+    type: 'meta.tag.punctuation.begin',
+    value: '<',
+    blockTag: true,
+    indent: true,
+    dontBreak: true
+}, {
+    type: 'meta.tag.punctuation.begin',
+    value: '</',
+    indent: false,
+    breakBefore: true,
+    dontBreak: true
+}, {
+    type: 'punctuation.operator',
+    value: ';'
+}];
+
+exports.spaces = [{
+    type: 'xml-pe',
+    prepend: true
+},{
+    type: 'entity.other.attribute-name',
+    prepend: true
+}, {
+    type: 'storage.type',
+    value: 'var',
+    append: true
+}, {
+    type: 'storage.type',
+    value: 'function',
+    append: true
+}, {
+    type: 'keyword.operator',
+    value: '='
+}, {
+    type: 'keyword',
+    value: 'as',
+    prepend: true,
+    append: true
+}, {
+    type: 'keyword',
+    value: 'function',
+    append: true
+}, {
+    type: 'support.function',
+    next: /[^\(]/,
+    append: true
+}, {
+    type: 'keyword',
+    value: 'or',
+    append: true,
+    prepend: true
+}, {
+    type: 'keyword',
+    value: 'and',
+    append: true,
+    prepend: true
+}, {
+    type: 'keyword',
+    value: 'case',
+    append: true
+}, {
+    type: 'keyword.operator',
+    value: '||',
+    append: true,
+    prepend: true
+}, {
+    type: 'keyword.operator',
+    value: '&&',
+    append: true,
+    prepend: true
+}];
+exports.singleTags = ['!doctype','area','base','br','hr','input','img','link','meta'];
+
+exports.transform = function(iterator, maxPos, context) {
+    var token = iterator.getCurrentToken();
+    
+    var newLines = exports.newLines;
+    var spaces = exports.spaces;
+    var singleTags = exports.singleTags;
+
+    var code = '';
+    
+    var indentation = 0;
+    var dontBreak = false;
+    var tag;
+    var lastTag;
+    var lastToken = {};
+    var nextTag;
+    var nextToken = {};
+    var breakAdded = false;
+    var value = '';
+
+    while (token!==null) {
+        console.log(token);
+
+        if( !token ){
+            token = iterator.stepForward();
+            continue;
+        }
+
+        //change syntax
+        //php
+        if( token.type == 'support.php_tag' && token.value != '?>' ){
+            context = 'php';
+        }
+        else if( token.type == 'support.php_tag' && token.value == '?>' ){
+            context = 'html';
+        }
+        //css
+        else if( token.type == 'meta.tag.name.style' && context != 'css' ){
+            context = 'css';
+        }
+        else if( token.type == 'meta.tag.name.style' && context == 'css' ){
+            context = 'html';
+        }
+        //js
+        else if( token.type == 'meta.tag.name.script' && context != 'js' ){
+            context = 'js';
+        }
+        else if( token.type == 'meta.tag.name.script' && context == 'js' ){
+            context = 'html';
+        }
+
+        nextToken = iterator.stepForward();
+
+        //tag name
+        if (nextToken && nextToken.type.indexOf('meta.tag.name') == 0) {
+            nextTag = nextToken.value;
+        }
+
+        //don't linebreak
+        if ( lastToken.type == 'support.php_tag' && lastToken.value == '<?=') {
+            dontBreak = true;
+        }
+
+        //lowercase
+        if (token.type == 'meta.tag.name') {
+            token.value = token.value.toLowerCase();
+        }
+
+        //trim spaces
+        if (token.type == 'text') {
+            token.value = token.value.trim();
+        }
+
+        //skip empty tokens
+        if (!token.value) {
+            token = nextToken;
+            continue;
+        }
+
+        //put spaces back in
+        value = token.value;
+        for (var i in spaces) {
+            if (
+                token.type == spaces[i].type &&
+                (!spaces[i].value || token.value == spaces[i].value) &&
+                (
+                    nextToken &&
+                    (!spaces[i].next || spaces[i].next.test(nextToken.value))
+                )
+            ) {
+                if (spaces[i].prepend) {
+                    value = ' ' + token.value;
+                }
+
+                if (spaces[i].append) {
+                    value += ' ';
+                }
+            }
+        }
+
+        //tag name
+        if (token.type.indexOf('meta.tag.name') == 0) {
+            tag = token.value;
+            //console.log(tag);
+        }
+
+        //new line before
+        breakAdded = false;
+
+        //outdent
+        for (i in newLines) {
+            if (
+                token.type == newLines[i].type &&
+                (
+                    !newLines[i].value ||
+                    token.value == newLines[i].value
+                ) &&
+                (
+                    !newLines[i].blockTag ||
+                    singleTags.indexOf(nextTag) === -1
+                ) &&
+                (
+                    !newLines[i].context ||
+                    newLines[i].context === context
+                )
+            ) {
+                if (newLines[i].indent === false) {
+                    indentation--;
+                }
+
+                if (
+                    newLines[i].breakBefore &&
+                    ( !newLines[i].prev || newLines[i].prev.test(lastToken.value) )
+                ) {
+                    code += "\n";
+                    breakAdded = true;
+
+                    //indent
+                    for (i = 0; i < indentation; i++) {
+                        code += "\t";
+                    }
+                }
+
+                break;
+            }
+        }
+
+        if (dontBreak===false) {
+            for (i in newLines) {
+                if (
+                    lastToken.type == newLines[i].type &&
+                    (
+                        !newLines[i].value || lastToken.value == newLines[i].value
+                    ) &&
+                    (
+                        !newLines[i].blockTag ||
+                        singleTags.indexOf(tag) === -1
+                    ) &&
+                    (
+                        !newLines[i].context ||
+                        newLines[i].context === context
+                    )
+                ) {
+                    if (newLines[i].indent === true) {
+                        indentation++;
+                    }
+
+                    if (!newLines[i].dontBreak  && !breakAdded) {
+                        code += "\n";
+
+                        //indent
+                        for (i = 0; i < indentation; i++) {
+                            code += "\t";
+                        }
+                    }
+
+                    break;
+                }
+            }
+        }
+
+        code += value;
+
+        //linebreaks back on after end short php tag
+        if ( lastToken.type == 'support.php_tag' && lastToken.value == '?>' ) {
+            dontBreak = false;
+        }
+
+        //next token
+        lastTag = tag;
+
+        lastToken = token;
+
+        token = nextToken;
+
+        if (token===null) {
+            break;
+        }
+    }
+    
+    return code;
+};
+
+
+
+});
\ No newline at end of file