diff --git a/Compiler/TplCodegen.mo b/Compiler/TplCodegen.mo
index d3e1f919036..5a3896e0f68 100644
--- a/Compiler/TplCodegen.mo
+++ b/Compiler/TplCodegen.mo
@@ -195,9 +195,9 @@ algorithm
         txt = Tpl.writeTok(txt, Tpl.ST_NEW_LINE());
         txt = typedIdentsEx(txt, i_mf_outArgs, "output", "out_");
         txt = Tpl.softNewLine(txt);
+        txt = Tpl.popBlock(txt);
         txt = fun_5(txt, i_mf_locals);
         txt = Tpl.softNewLine(txt);
-        txt = Tpl.popBlock(txt);
         txt = Tpl.writeTok(txt, Tpl.ST_LINE("algorithm\n"));
         txt = Tpl.pushBlock(txt, Tpl.BT_INDENT(2));
         txt = Tpl.pushIter(txt, Tpl.ITER_OPTIONS(0, NONE, SOME(Tpl.ST_NEW_LINE()), 0, 0, Tpl.ST_NEW_LINE(), 0, Tpl.ST_NEW_LINE()));
@@ -467,8 +467,8 @@ algorithm
       local
         TplAbsyn.TypedIdents i_locals;
       equation
-        txt = Tpl.writeTok(txt, Tpl.ST_LINE("      local\n"));
-        txt = Tpl.pushBlock(txt, Tpl.BT_INDENT(8));
+        txt = Tpl.writeTok(txt, Tpl.ST_LINE("  local\n"));
+        txt = Tpl.pushBlock(txt, Tpl.BT_INDENT(4));
         txt = typedIdents(txt, i_locals);
         txt = Tpl.popBlock(txt);
       then txt;
@@ -532,8 +532,8 @@ algorithm
       local
         list<TplAbsyn.MMExp> i_statements;
       equation
-        txt = Tpl.writeTok(txt, Tpl.ST_LINE("      equation\n"));
-        txt = Tpl.pushBlock(txt, Tpl.BT_INDENT(8));
+        txt = Tpl.writeTok(txt, Tpl.ST_LINE("  equation\n"));
+        txt = Tpl.pushBlock(txt, Tpl.BT_INDENT(4));
         txt = Tpl.pushIter(txt, Tpl.ITER_OPTIONS(0, NONE, SOME(Tpl.ST_NEW_LINE()), 0, 0, Tpl.ST_NEW_LINE(), 0, Tpl.ST_NEW_LINE()));
         txt = lm_14(txt, i_statements);
         txt = Tpl.popIter(txt);
@@ -639,7 +639,7 @@ algorithm
         list<TplAbsyn.MatchingExp> i_mexps;
       equation
         txt = Tpl.writeTok(txt, Tpl.ST_NEW_LINE());
-        txt = Tpl.pushBlock(txt, Tpl.BT_INDENT(4));
+        txt = Tpl.pushBlock(txt, Tpl.BT_INDENT(2));
         txt = Tpl.writeTok(txt, Tpl.ST_STRING("case ( "));
         txt = Tpl.pushBlock(txt, Tpl.BT_ANCHOR(0));
         txt = Tpl.pushIter(txt, Tpl.ITER_OPTIONS(0, NONE, SOME(Tpl.ST_LINE(",\n")), 0, 0, Tpl.ST_NEW_LINE(), 0, Tpl.ST_NEW_LINE()));
@@ -647,16 +647,16 @@ algorithm
         txt = Tpl.popIter(txt);
         txt = Tpl.popBlock(txt);
         txt = Tpl.writeTok(txt, Tpl.ST_LINE(" )\n"));
-        txt = Tpl.popBlock(txt);
         txt = fun_13(txt, i_locals);
         txt = Tpl.softNewLine(txt);
         txt = fun_15(txt, i_statements);
         txt = Tpl.softNewLine(txt);
-        txt = Tpl.pushBlock(txt, Tpl.BT_INDENT(6));
+        txt = Tpl.pushBlock(txt, Tpl.BT_INDENT(2));
         txt = Tpl.writeTok(txt, Tpl.ST_STRING("then "));
         txt = fun_17(txt, i_outArgs);
         txt = Tpl.writeTok(txt, Tpl.ST_STRING(";"));
         txt = Tpl.popBlock(txt);
+        txt = Tpl.popBlock(txt);
         txt = Tpl.nextIter(txt);
         txt = lm_18(txt, rest, i_outArgs);
       then txt;
@@ -706,12 +706,12 @@ algorithm
   out_txt := typedIdents(out_txt, i_locals);
   out_txt := Tpl.softNewLine(out_txt);
   out_txt := Tpl.popBlock(out_txt);
-  out_txt := Tpl.popBlock(out_txt);
   out_txt := Tpl.pushIter(out_txt, Tpl.ITER_OPTIONS(0, NONE, SOME(Tpl.ST_NEW_LINE()), 0, 0, Tpl.ST_NEW_LINE(), 0, Tpl.ST_NEW_LINE()));
   out_txt := lm_18(out_txt, i_matchCases, i_outArgs);
   out_txt := Tpl.popIter(out_txt);
   out_txt := Tpl.softNewLine(out_txt);
-  out_txt := Tpl.writeTok(out_txt, Tpl.ST_STRING("  end matchcontinue;"));
+  out_txt := Tpl.writeTok(out_txt, Tpl.ST_STRING("end matchcontinue;"));
+  out_txt := Tpl.popBlock(out_txt);
 end mmMatchFunBody;
 
 public function pathIdent
@@ -1271,8 +1271,8 @@ public function mmEscapeStringConst
   input Boolean i_escapeNewLine;
 
   output Tpl.Text out_txt;
-  protected
-    list<String> ret_0;
+protected
+  list<String> ret_0;
 algorithm
   ret_0 := stringListStringChar(i_internalValue);
   out_txt := lm_32(txt, ret_0, i_escapeNewLine);
@@ -1846,7 +1846,6 @@ algorithm
         TplAbsyn.PathIdent i_importPackage;
         Boolean i_isDefault;
       equation
-        txt = Tpl.pushBlock(txt, Tpl.BT_INDENT(2));
         txt = fun_44(txt, i_isDefault);
         txt = Tpl.writeTok(txt, Tpl.ST_STRING("absyn "));
         txt = pathIdent(txt, i_importPackage);
@@ -1864,7 +1863,6 @@ algorithm
         txt = pathIdent(txt, i_importPackage);
         txt = Tpl.writeTok(txt, Tpl.ST_STRING(";"));
         txt = Tpl.writeTok(txt, Tpl.ST_NEW_LINE());
-        txt = Tpl.popBlock(txt);
         txt = Tpl.nextIter(txt);
         txt = lm_46(txt, rest);
       then txt;
@@ -1937,11 +1935,13 @@ algorithm
         txt = Tpl.writeTok(txt, Tpl.ST_STRING("spackage "));
         txt = pathIdent(txt, i_name);
         txt = Tpl.softNewLine(txt);
+        txt = Tpl.pushBlock(txt, Tpl.BT_INDENT(2));
         txt = Tpl.pushIter(txt, Tpl.ITER_OPTIONS(0, NONE, SOME(Tpl.ST_NEW_LINE()), 0, 0, Tpl.ST_NEW_LINE(), 0, Tpl.ST_NEW_LINE()));
         txt = lm_46(txt, i_astDefs);
         txt = Tpl.popIter(txt);
         txt = Tpl.softNewLine(txt);
         txt = Tpl.writeTok(txt, Tpl.ST_NEW_LINE());
+        txt = Tpl.popBlock(txt);
         txt = Tpl.pushIter(txt, Tpl.ITER_OPTIONS(0, NONE, SOME(Tpl.ST_STRING_LIST({
                                                                    "\n",
                                                                    "\n"
diff --git a/Compiler/TplMain.mo b/Compiler/TplMain.mo
index 9173c3c062f..e0b659f4a8f 100644
--- a/Compiler/TplMain.mo
+++ b/Compiler/TplMain.mo
@@ -394,10 +394,10 @@ public function MuchFun
   input list<String> jokes;
 
   output Tpl.Text out_txt;
-  protected
-    Tpl.Text txt;
-    Integer laughLevel;
-    list<String> jokes;
+protected
+  Tpl.Text txt;
+  Integer laughLevel;
+  list<String> jokes;
 algorithm
   out_txt := Tpl.writeStr(txt, \"Susan\");
   out_txt := Tpl.writeTok(out_txt, Tpl.ST_LINE(\"Susan is cosmic!\\n\"));
diff --git a/Compiler/TplParser.mo b/Compiler/TplParser.mo
index 9bd91caa5ff..9392e4f9bea 100644
--- a/Compiler/TplParser.mo
+++ b/Compiler/TplParser.mo
@@ -2866,7 +2866,7 @@ public function templateExp
 algorithm
   (outChars, outLineInfo, outExpression) := matchcontinue (inChars, inLineInfo, inLeftEsc, inRightEsc)
     local
-      list<String> chars;
+      list<String> chars, solChars;
       LineInfo linfo;
       String c, lesc, resc;
       Boolean isD;
@@ -2877,48 +2877,45 @@ algorithm
       Tpl.StringToken st;
       TplAbsyn.Expression exp, bexp;
       list<TplAbsyn.Expression> expLst;
+      Integer baseInd, lineInd;
     
    case ("'" :: chars, linfo, lesc, resc)
       equation
+        //single quotes has no special treatment of indent and new lines
+        //i.e., it takes O as the base indent, and it counts every new line 
         (chars, linfo, exp) = templateBody(chars, linfo, lesc, resc, true, {},{},0);
       then (chars, linfo, exp);
    
    case ("<"::"<":: chars, linfo, lesc, resc)
       equation
-        (chars, linfo) = templStripFirstNewLine(chars, linfo);
-        (chars, linfo, exp) = templateBody(chars, linfo, lesc, resc, false, {},{},0);
+        //the base indent is the indent of the line where the << appears
+        LINE_INFO(startOfLineChars = solChars) = linfo;
+        (_, baseInd) = lineIndent(solChars,0);
+        //the case when nothing visible is after <<        
+        (chars, linfo) = takeSpaceAndNewLine(chars, linfo);
+        //(chars, linfo) = templStripFirstNewLine(chars, linfo);
+        //push the staring indent on the indentStack
+        (chars, linfo, exp) = templateBody(chars, linfo, lesc, resc, false, {}, {}, baseInd);
       then (chars, linfo, exp);
-        
+   
+   //special treatment when some non-space is right after << 
+   case ("<"::"<":: chars, linfo, lesc, resc)
+      equation
+        //the base indent is the indent of the line where the << appears
+        LINE_INFO(startOfLineChars = solChars) = linfo;
+        (_, baseInd) = lineIndent(solChars,0);
+        //some non-space char(s) is after <<        
+        failure( (_,_) = takeSpaceAndNewLine(chars, linfo) );
+        (chars, lineInd) = lineIndent(chars,0);
+        //correct the indent of the line right after << to baseInd
+        lineInd = lineInd + baseInd;
+        //push the base indent on the indentStack
+        (chars, linfo, exp) = restOfTemplLine(chars, linfo, lesc, resc, false, {}, {}, baseInd, lineInd, {});
+      then (chars, linfo, exp);     
   end matchcontinue;
 end templateExp;
 
-/*
-templStripFirstNewLine:
-	takeSpaceAndNewLine
-	|
-	_ //just nothing
-*/
-public function templStripFirstNewLine
-  input list<String> inChars;
-  input LineInfo inLineInfo;
-  output list<String> outChars;
-  output LineInfo outLineInfo;
-algorithm
-  (outChars, outLineInfo) := matchcontinue (inChars, inLineInfo)
-    local
-      list<String> chars;
-      LineInfo linfo;
-    
-   case (chars, linfo)
-     equation
-       (chars, linfo) = takeSpaceAndNewLine(chars, linfo);
-     then (chars, linfo);
-   
-   case (chars, linfo)
-      then (chars, linfo);
-        
-  end matchcontinue;
-end templStripFirstNewLine;
+
 
 /*
 takeSpaceAndNewLine:
@@ -3191,7 +3188,7 @@ algorithm
   end matchcontinue;
 end restOfTemplLine;
 
-
+/* obsolete
 public function restOfTemplLineAfterEmptyExp
   input list<String> inChars;
   input LineInfo inLineInfo;
@@ -3226,8 +3223,8 @@ algorithm
    //and [space] and newLine() after it 
    case (chars, linfo, lesc, resc, isSQ, expLst, indStack, actInd, _, {})
       equation
-        (chars, _) = lineIndent(chars,0); //try take a space before newLine() 
-        (chars, linfo) = newLine(chars, linfo);
+        //try take a space and new line
+        (chars, linfo) = takeSpaceAndNewLine(chars, linfo);
         (chars, linfo, exp) = templateBody(chars, linfo, lesc, resc, isSQ, expLst, indStack, actInd);
       then (chars, linfo, exp);
    
@@ -3239,7 +3236,7 @@ algorithm
     
   end matchcontinue;
 end restOfTemplLineAfterEmptyExp;
-
+*/
 
 public function dropNewLineAfterEmptyExp
   input list<String> inChars;
@@ -3324,7 +3321,7 @@ algorithm
       list<String> chars, accChars;
       String c, lesc, resc;
       Boolean isSQ;
-      Integer actInd, lineInd;
+      Integer actInd, lineInd, baseInd;
       TplAbsyn.Ident id;
       TplAbsyn.PathIdent name;
       TplAbsyn.TypedIdents fields,inargs,outargs;
@@ -3334,6 +3331,15 @@ algorithm
       list<TplAbsyn.Expression> expLst;
       list<tuple<Integer,list<TplAbsyn.Expression>>> indStack;
    
+   
+   //TODO: optimization for <\n>
+   //we need a flag for having something non-space on the line 
+   //case (TplAbsyn.STR_TOKEN(value = Tpl.ST_NEW_LINE()), expLst, indStack, actInd, lineInd, accChars)
+   //   equation
+   //     //equality( lineInd = actInd);
+   //     expLst = addAccStringChars(expLst, "\n" :: accChars);        
+   //   then (expLst, indStack,  actInd);
+        
    //the same indent level 
    case (exp, expLst, indStack, actInd, lineInd, accChars)
       equation
@@ -3354,8 +3360,17 @@ algorithm
         expLst = exp :: expLst;
       then (expLst, indStack,  lineInd);
    
-   //pop indent level and try again
-   case (exp, expLst, indStack, actInd, lineInd, accChars)
+   //if the indent is under the base indent level, warn and make it 0 level
+   case (exp, expLst, {}, baseInd, lineInd, accChars)
+      equation
+        true = ( lineInd < baseInd );
+        Debug.fprint("failtrace", "Parse warning onEscapedExp() - indent level is under the level of the '<<' determined level.\n");
+        //call again as  lineInd = baseInd 
+        (expLst, indStack,  actInd) = onEscapedExp(exp, expLst, {}, baseInd, baseInd, accChars);        
+      then (expLst, indStack,  actInd);
+   
+   //pop indent level and try again (indStack must have at least one pushed indent level)
+   case (exp, expLst, indStack as (_::_), actInd, lineInd, accChars)
       equation
         true = ( lineInd < actInd );
         expLst = finalizeLastStringToken(expLst);
@@ -3390,7 +3405,7 @@ algorithm
       list<String> chars, accChars, strLst;
       String c, lesc, resc;
       Boolean isSQ;
-      Integer actInd, lineInd;
+      Integer actInd, lineInd, baseInd;
       TplAbsyn.Ident id;
       TplAbsyn.PathIdent name;
       TplAbsyn.TypedIdents fields,inargs,outargs;
@@ -3425,6 +3440,7 @@ algorithm
         expLst = addAccStringChars(expLst, {"\n"} );        
       then (expLst, indStack,  actInd);
 
+   //TODO: this does not work, because the <\n> finalizes the previous ST to be closed 
    //AccStringChars = {}
    // expLst = <\n> :: _ -> a forced new line - make permanent - replace with \n
    // ignore lineInd - must be lineInd = actInd  (because the <\n> exp made it so) 
@@ -3450,7 +3466,7 @@ algorithm
         expLst = TplAbsyn.SOFT_NEW_LINE() :: expLst;        
       then (expLst, indStack,  actInd);
    
-   //AccStringChars <> {}
+   //AccStringChars = (_::_)
    // lineInd >= actInd
    // align the string with prefixed space 
    // put a disposable new line - may be disposed by onTemplEnd() or hardened by addAccStringChars() or finalizeLastStringToken()
@@ -3464,10 +3480,23 @@ algorithm
         expLst = TplAbsyn.STR_TOKEN(Tpl.ST_STRING_LIST(strLst, true)) :: expLst;        
       then (expLst, indStack,  actInd);
    
-   //AccStringChars <> {}
+   //if the indent is under base indent level, warn and make it 0 level
+   //AccStringChars = (_::_)
+   // lineInd < actInd
+   //pop indent level and try again
+   case (expLst, {}, baseInd, lineInd, accChars as (_ :: _))
+      equation
+        true = ( lineInd < baseInd );
+        Debug.fprint("failtrace", "Parse warning onNewLine() - indent level is under the level of the '<<' determined level.\n");
+        //call again as  lineInd = baseInd         
+        (expLst, indStack,  actInd) = onNewLine(expLst, {}, baseInd, baseInd, accChars);        
+      then (expLst, indStack,  actInd);
+   
+   //AccStringChars = (_::_)
    // lineInd < actInd
    //pop indent level and try again
-   case (expLst, indStack, actInd, lineInd, accChars as (_ :: _))
+   //(indStack must have at least one pushed indent level)
+   case (expLst, indStack as (_::_), actInd, lineInd, accChars as (_ :: _))
       equation
         true = ( lineInd < actInd );
         expLst = finalizeLastStringToken(expLst);
@@ -3502,7 +3531,7 @@ algorithm
       list<String> chars, accChars, strLst;
       String c, lesc, resc;
       Boolean dropLastNL;
-      Integer actInd, lineInd;
+      Integer actInd, lineInd, baseInd;
       TplAbsyn.Ident id;
       TplAbsyn.PathIdent name;
       TplAbsyn.TypedIdents fields,inargs,outargs;
@@ -3515,12 +3544,25 @@ algorithm
    //AccStringChars = {}
    // expLst = {} - special case, only space in the template  
    // make the space and take it 
-   case (_, {}, {}, 0, lineInd, {})
+   case (_, {}, {}, baseInd, lineInd, {})
       equation
-        expLst = addAccStringChars({}, Util.listFill(" ",lineInd));
+        true = (lineInd >= baseInd);
+        expLst = addAccStringChars({}, Util.listFill(" ",lineInd-baseInd)); 
         expLst = finalizeLastStringToken(expLst);
       then expLst;
    
+   /*
+   //same as previous, but under the '<<' determined level
+   //AccStringChars = {}
+   // expLst = {} - special case, only space in the template  
+   // template is empty 
+   case (_, {}, {}, baseInd, lineInd, {})
+      equation
+        true = (lineInd < baseInd);
+        Debug.fprint("failtrace", "Parse warning onTemplEnd() - indent level is under the level of the '<<' determined level.\n");        
+      then {};
+   */
+   
    //if drop-the-last-new-line is set
    //AccStringChars = {}
    // expLst = SNL :: _ -> dispose the SNL
@@ -3528,19 +3570,20 @@ algorithm
    // pop all indent 
    case (true, TplAbsyn.SOFT_NEW_LINE() :: expLst, indStack, actInd, _, {})
       equation
-        (expLst, {}, 0) = popIndentStack(expLst, indStack, actInd, 0);
+        (expLst, {}, _) = popIndentStack(expLst, indStack, actInd, 0);
       then expLst;
    
    //if drop-the-last-new-line is set
    //AccStringChars = {}
    // expLst = ST opened with disposable new line :: _ -> dispose the \n on the line 
    // ignore lineInd  
-   // pop all indent 
+   // pop all indent
    case (true, TplAbsyn.STR_TOKEN(value = Tpl.ST_STRING_LIST(strList = strLst as (""::_), lastHasNewLine = true)) :: expLst,
        indStack, actInd, _, {})
       equation
         expLst = finalizeLastStringToken(TplAbsyn.STR_TOKEN(Tpl.ST_STRING_LIST(strLst, false)) :: expLst);
-        (expLst, {}, 0) = popIndentStack(expLst, indStack, actInd, 0);        
+        (expLst, {},_) = popIndentStack(expLst, indStack, actInd, 0);        
+        //TODO: warn when >> is under << determined indent         
       then expLst;
 
    //if drop-the-last-new-line is set
@@ -3551,10 +3594,10 @@ algorithm
    case (true, expLst, indStack, actInd, _, {})
       equation
         expLst = finalizeLastStringToken(expLst);
-        (expLst, {}, 0) = popIndentStack(expLst, indStack, actInd, 0);        
+        (expLst, {}, _) = popIndentStack(expLst, indStack, actInd, 0);        
       then expLst;
    
-   //AccStringChars <> {}  or  drop-the-last-new-line is set
+   //AccStringChars = (_::_)  or  drop-the-last-new-line is set
    // lineInd >= actInd
    // align the string with prefixed space
    // pop all indent 
@@ -3564,12 +3607,23 @@ algorithm
         accChars = listAppend(accChars, Util.listFill(" ",lineInd - actInd));
         expLst = addAccStringChars(expLst, accChars);
         expLst = finalizeLastStringToken(expLst);
-        (expLst, {}, 0) = popIndentStack(expLst, indStack, actInd, 0);        
+        (expLst, {}, _) = popIndentStack(expLst, indStack, actInd, 0);        
+      then expLst;
+   
+   // lineInd < baseInd
+   // the indent is under the base indent level, 
+   // warn and make it 0 level
+   //pop indent level and try again (only the previous case will be the end of the recursion)
+   case (dropLastNL, expLst, {}, baseInd, lineInd, accChars)
+      equation
+        true = ( lineInd < baseInd );
+        Debug.fprint("failtrace", "Parse warning onTemplEnd() - indent level is under the level of the '<<' determined level.\n");
+        expLst = onTemplEnd(dropLastNL, expLst, {}, baseInd, baseInd, accChars);         
       then expLst;
    
    // lineInd < actInd
    //pop indent level and try again (only the previous case will be the end of the recursion)
-   case (dropLastNL, expLst, indStack, actInd, lineInd, accChars)
+   case (dropLastNL, expLst, indStack as (_::_), actInd, lineInd, accChars)
       equation
         true = ( lineInd < actInd );
         expLst = finalizeLastStringToken(expLst);
@@ -3600,10 +3654,11 @@ algorithm
   (outExpressionList, outIndentStack, outActualIndent) 
   := matchcontinue (inExpressionList, inIndentStack, inActualIndent, inLineIndent)
     local
-      Integer actInd, lineInd, d, prevInd;
+      Integer actInd, lineInd, baseInd, d, prevInd;
       list<TplAbsyn.Expression> expLst, prevExpLst;
       list<tuple<Integer,list<TplAbsyn.Expression>>> indStack;
    
+        
    case (expLst, (prevInd, prevExpLst) :: indStack, actInd, lineInd)
       equation
         true = (lineInd < actInd); //when actInd > 0 --> something has to be on the stack
@@ -3618,6 +3673,11 @@ algorithm
         true = (lineInd >= actInd);
       then (expLst, indStack,  actInd);
    
+   //base indent
+   case (expLst, {}, baseInd, _)
+      then (expLst, {},  baseInd);
+   
+   
    //should not happen
    case (_,_,_,_) 
       equation
diff --git a/Compiler/susan_codegen/SusanGrammar.txt b/Compiler/susan_codegen/SusanGrammar.txt
index 7aa58d1ba45..c168987ce61 100644
--- a/Compiler/susan_codegen/SusanGrammar.txt
+++ b/Compiler/susan_codegen/SusanGrammar.txt
@@ -715,10 +715,6 @@ templateExp(lesc, resc):
 	   & templateBody(lesc, resc, isSingleQuote = false,{},{},0 ):exp
 	  => exp
 
-templStripFirstNewLine:
-	takeSpaceAndNewLine
-	|
-	_ //just nothing
 
 // & ... no interleave	 
 takeSpaceAndNewLine:
diff --git a/Compiler/susan_codegen/TplCodegen.mo b/Compiler/susan_codegen/TplCodegen.mo
index d3e1f919036..5a3896e0f68 100644
--- a/Compiler/susan_codegen/TplCodegen.mo
+++ b/Compiler/susan_codegen/TplCodegen.mo
@@ -195,9 +195,9 @@ algorithm
         txt = Tpl.writeTok(txt, Tpl.ST_NEW_LINE());
         txt = typedIdentsEx(txt, i_mf_outArgs, "output", "out_");
         txt = Tpl.softNewLine(txt);
+        txt = Tpl.popBlock(txt);
         txt = fun_5(txt, i_mf_locals);
         txt = Tpl.softNewLine(txt);
-        txt = Tpl.popBlock(txt);
         txt = Tpl.writeTok(txt, Tpl.ST_LINE("algorithm\n"));
         txt = Tpl.pushBlock(txt, Tpl.BT_INDENT(2));
         txt = Tpl.pushIter(txt, Tpl.ITER_OPTIONS(0, NONE, SOME(Tpl.ST_NEW_LINE()), 0, 0, Tpl.ST_NEW_LINE(), 0, Tpl.ST_NEW_LINE()));
@@ -467,8 +467,8 @@ algorithm
       local
         TplAbsyn.TypedIdents i_locals;
       equation
-        txt = Tpl.writeTok(txt, Tpl.ST_LINE("      local\n"));
-        txt = Tpl.pushBlock(txt, Tpl.BT_INDENT(8));
+        txt = Tpl.writeTok(txt, Tpl.ST_LINE("  local\n"));
+        txt = Tpl.pushBlock(txt, Tpl.BT_INDENT(4));
         txt = typedIdents(txt, i_locals);
         txt = Tpl.popBlock(txt);
       then txt;
@@ -532,8 +532,8 @@ algorithm
       local
         list<TplAbsyn.MMExp> i_statements;
       equation
-        txt = Tpl.writeTok(txt, Tpl.ST_LINE("      equation\n"));
-        txt = Tpl.pushBlock(txt, Tpl.BT_INDENT(8));
+        txt = Tpl.writeTok(txt, Tpl.ST_LINE("  equation\n"));
+        txt = Tpl.pushBlock(txt, Tpl.BT_INDENT(4));
         txt = Tpl.pushIter(txt, Tpl.ITER_OPTIONS(0, NONE, SOME(Tpl.ST_NEW_LINE()), 0, 0, Tpl.ST_NEW_LINE(), 0, Tpl.ST_NEW_LINE()));
         txt = lm_14(txt, i_statements);
         txt = Tpl.popIter(txt);
@@ -639,7 +639,7 @@ algorithm
         list<TplAbsyn.MatchingExp> i_mexps;
       equation
         txt = Tpl.writeTok(txt, Tpl.ST_NEW_LINE());
-        txt = Tpl.pushBlock(txt, Tpl.BT_INDENT(4));
+        txt = Tpl.pushBlock(txt, Tpl.BT_INDENT(2));
         txt = Tpl.writeTok(txt, Tpl.ST_STRING("case ( "));
         txt = Tpl.pushBlock(txt, Tpl.BT_ANCHOR(0));
         txt = Tpl.pushIter(txt, Tpl.ITER_OPTIONS(0, NONE, SOME(Tpl.ST_LINE(",\n")), 0, 0, Tpl.ST_NEW_LINE(), 0, Tpl.ST_NEW_LINE()));
@@ -647,16 +647,16 @@ algorithm
         txt = Tpl.popIter(txt);
         txt = Tpl.popBlock(txt);
         txt = Tpl.writeTok(txt, Tpl.ST_LINE(" )\n"));
-        txt = Tpl.popBlock(txt);
         txt = fun_13(txt, i_locals);
         txt = Tpl.softNewLine(txt);
         txt = fun_15(txt, i_statements);
         txt = Tpl.softNewLine(txt);
-        txt = Tpl.pushBlock(txt, Tpl.BT_INDENT(6));
+        txt = Tpl.pushBlock(txt, Tpl.BT_INDENT(2));
         txt = Tpl.writeTok(txt, Tpl.ST_STRING("then "));
         txt = fun_17(txt, i_outArgs);
         txt = Tpl.writeTok(txt, Tpl.ST_STRING(";"));
         txt = Tpl.popBlock(txt);
+        txt = Tpl.popBlock(txt);
         txt = Tpl.nextIter(txt);
         txt = lm_18(txt, rest, i_outArgs);
       then txt;
@@ -706,12 +706,12 @@ algorithm
   out_txt := typedIdents(out_txt, i_locals);
   out_txt := Tpl.softNewLine(out_txt);
   out_txt := Tpl.popBlock(out_txt);
-  out_txt := Tpl.popBlock(out_txt);
   out_txt := Tpl.pushIter(out_txt, Tpl.ITER_OPTIONS(0, NONE, SOME(Tpl.ST_NEW_LINE()), 0, 0, Tpl.ST_NEW_LINE(), 0, Tpl.ST_NEW_LINE()));
   out_txt := lm_18(out_txt, i_matchCases, i_outArgs);
   out_txt := Tpl.popIter(out_txt);
   out_txt := Tpl.softNewLine(out_txt);
-  out_txt := Tpl.writeTok(out_txt, Tpl.ST_STRING("  end matchcontinue;"));
+  out_txt := Tpl.writeTok(out_txt, Tpl.ST_STRING("end matchcontinue;"));
+  out_txt := Tpl.popBlock(out_txt);
 end mmMatchFunBody;
 
 public function pathIdent
@@ -1271,8 +1271,8 @@ public function mmEscapeStringConst
   input Boolean i_escapeNewLine;
 
   output Tpl.Text out_txt;
-  protected
-    list<String> ret_0;
+protected
+  list<String> ret_0;
 algorithm
   ret_0 := stringListStringChar(i_internalValue);
   out_txt := lm_32(txt, ret_0, i_escapeNewLine);
@@ -1846,7 +1846,6 @@ algorithm
         TplAbsyn.PathIdent i_importPackage;
         Boolean i_isDefault;
       equation
-        txt = Tpl.pushBlock(txt, Tpl.BT_INDENT(2));
         txt = fun_44(txt, i_isDefault);
         txt = Tpl.writeTok(txt, Tpl.ST_STRING("absyn "));
         txt = pathIdent(txt, i_importPackage);
@@ -1864,7 +1863,6 @@ algorithm
         txt = pathIdent(txt, i_importPackage);
         txt = Tpl.writeTok(txt, Tpl.ST_STRING(";"));
         txt = Tpl.writeTok(txt, Tpl.ST_NEW_LINE());
-        txt = Tpl.popBlock(txt);
         txt = Tpl.nextIter(txt);
         txt = lm_46(txt, rest);
       then txt;
@@ -1937,11 +1935,13 @@ algorithm
         txt = Tpl.writeTok(txt, Tpl.ST_STRING("spackage "));
         txt = pathIdent(txt, i_name);
         txt = Tpl.softNewLine(txt);
+        txt = Tpl.pushBlock(txt, Tpl.BT_INDENT(2));
         txt = Tpl.pushIter(txt, Tpl.ITER_OPTIONS(0, NONE, SOME(Tpl.ST_NEW_LINE()), 0, 0, Tpl.ST_NEW_LINE(), 0, Tpl.ST_NEW_LINE()));
         txt = lm_46(txt, i_astDefs);
         txt = Tpl.popIter(txt);
         txt = Tpl.softNewLine(txt);
         txt = Tpl.writeTok(txt, Tpl.ST_NEW_LINE());
+        txt = Tpl.popBlock(txt);
         txt = Tpl.pushIter(txt, Tpl.ITER_OPTIONS(0, NONE, SOME(Tpl.ST_STRING_LIST({
                                                                    "\n",
                                                                    "\n"
diff --git a/Compiler/susan_codegen/TplCodegen.tpl b/Compiler/susan_codegen/TplCodegen.tpl
index 9c5f3009387..5d25d0b0273 100644
--- a/Compiler/susan_codegen/TplCodegen.tpl
+++ b/Compiler/susan_codegen/TplCodegen.tpl
@@ -6,60 +6,58 @@ typeview "TplCodegenTV.mo"
 
 mmPackage(MMPackage) ::=  
   case MM_PACKAGE then
-  <<
-package <pathIdent(name)>
+    <<
+    package <pathIdent(name)>
 
-protected constant Tpl.Text emptyTxt = Tpl.MEM_TEXT({}, {}); 
+    protected constant Tpl.Text emptyTxt = Tpl.MEM_TEXT({}, {}); 
 
-public import Tpl;
+    public import Tpl;
 
-<mmDeclarations : mmDeclaration()\n>
+    <mmDeclarations : mmDeclaration()\n>
  
-end <pathIdent(name)>;
-  >>
+    end <pathIdent(name)>;
+    >>
 
 
 mmDeclaration(MMDeclaration) ::=
   case MM_IMPORT(packageName = IDENT(ident = "Tpl")) then '' //ignore Tpl as it is always imported
   case MM_IMPORT(packageName = IDENT(ident = "builtin")) then '' //ignore Tpl as it is always imported
   case MM_IMPORT then
-  <<
-<mmPublic(isPublic)> import <pathIdent(packageName)>;
-  >>
+    <<
+    <mmPublic(isPublic)> import <pathIdent(packageName)>;
+    >>
   case MM_STR_TOKEN_DECL then
-  <<
+    <<
   
-<mmPublic(isPublic)> constant Tpl.StringToken <name> = <mmStringTokenConstant(value)>;
-  >>
+    <mmPublic(isPublic)> constant Tpl.StringToken <name> = <mmStringTokenConstant(value)>;
+    >>
   case MM_LITERAL_DECL then
-  <<
+    <<
   
-<mmPublic(isPublic)> constant <typeSig(litType)> <name> = <value>;
-  >>
+    <mmPublic(isPublic)> constant <typeSig(litType)> <name> = <value>;
+    >>
   case mf as MM_FUN then
-  <<
+    <<
   
-<mmPublic(isPublic)> function <name>  
-<   match statements
-      case {c as MM_MATCH} then //match function 
-        mmMatchFunBody(mf.inArgs, mf.outArgs, mf.locals, c.matchCases)       
-      case sts then //simple assignment functions
-      <<
-  <typedIdentsEx(mf.inArgs, "input", "")>
+    <mmPublic(isPublic)> function <name>  
+    <match statements
+     case {c as MM_MATCH} then //match function 
+       mmMatchFunBody(mf.inArgs, mf.outArgs, mf.locals, c.matchCases)       
+     case sts then //simple assignment functions
+       <<
+         <typedIdentsEx(mf.inArgs, "input", "")>
   
-  <typedIdentsEx(mf.outArgs, "output", "out_")>
-  <if mf.locals then 
-   <<
-protected
-  <typedIdents(mf.locals)>
-   >>
-  >
-algorithm
-  <sts : '<mmExp(it, ":=")>;' \n>
-      >>
->
-end <name>;
-  >>
+         <typedIdentsEx(mf.outArgs, "output", "out_")>
+       <if mf.locals then <<
+       protected
+         <typedIdents(mf.locals)>
+       >>>
+       algorithm
+         <sts : '<mmExp(it, ":=")>;' \n>
+       >>
+    >
+    end <name>;
+    >>
 
 
 mmMatchFunBody(TypedIdents inArgs, TypedIdents outArgs, TypedIdents locals, list<MMMatchCase> matchCases) ::=
@@ -75,29 +73,23 @@ algorithm
   matchcontinue(<inArgs of (nm,_) : 'in_<nm>' ", ">)
     local
       <typedIdents(locals)>
-<matchCases of (mexps, locals, statements) :
+  <matchCases of (mexps, locals, statements) :
   <<
     
     case ( <mexps : mmMatchingExp() ",\n"; anchor> )
-<   if locals /*<> {}*/ then 
-    <<
+    <if locals /*<> {}*/ then <<
       local   
         <typedIdents(locals)>
-    >>
->
-<   if statements then
-    <<
+    >>>
+    <if statements then <<
       equation
         <statements : '<mmExp(it, "=")>;' \n>
-    >>
->
+    >>>
       then <match outArgs
             case {(nm,_)} then nm
             case oas then '(<oas of (nm,_): nm ", ">)'
            >;       
-  >>
-  \n
->
+  >>\n>
   end matchcontinue;
 >>
 
@@ -146,11 +138,11 @@ mmStringTokenConstant(StringToken) ::=
   case ST_STRING   then 'Tpl.ST_STRING("<mmEscapeStringConst(value,true)>")'
   case ST_LINE     then 'Tpl.ST_LINE("<mmEscapeStringConst(line,true)>")'
   case ST_STRING_LIST  then 
-  (<<
-Tpl.ST_STRING_LIST({
-    <strList : '"<mmEscapeStringConst(it,true)>"' ",\n">
-}, <lastHasNewLine>)
-  >>; anchor) // perhaps this should be automatic ?
+    (<<
+    Tpl.ST_STRING_LIST({
+        <strList : '"<mmEscapeStringConst(it,true)>"' ",\n">
+    }, <lastHasNewLine>)
+    >>; anchor) // perhaps this should be automatic ?
 
 mmEscapeStringConst(String internalValue, Boolean escapeNewLine) ::= 
   stringListStringChar(internalValue) :
@@ -169,12 +161,12 @@ mmEscapeStringConst(String internalValue, Boolean escapeNewLine) ::=
 
 mmExp(MMExp, String assignStr) ::=
   case MM_ASSIGN  then  
-  <<
-<match lhsArgs
- case {id} then id 
- case args then '(<args", ">)'
-> <assignStr> <mmExp(rhs, assignStr)>
-  >>
+    <<
+    <match lhsArgs
+     case {id} then id 
+     case args then '(<args", ">)'
+    > <assignStr> <mmExp(rhs, assignStr)>
+    >>
   case MM_FN_CALL   then '<pathIdent(fnName)>(<args : mmExp(it,assignStr)", ">)'
   case MM_IDENT     then pathIdent(ident)
   case MM_STR_TOKEN then mmStringTokenConstant(value) 
@@ -187,12 +179,11 @@ mmMatchingExp(MatchingExp) ::=
   case BIND_AS_MATCH then '(<bindIdent> as <mmMatchingExp(matchingExp)>)'
   case BIND_MATCH    then bindIdent
   case RECORD_MATCH  then
-  <<
-<pathIdent(tagName)>(<fieldMatchings of (field, mexp) :
-                        '<field> = <mmMatchingExp(mexp)>'
-                        ", "
-                     >)
-  >>
+    <<
+    <pathIdent(tagName)>(<fieldMatchings of (field, mexp) :
+                            '<field> = <mmMatchingExp(mexp)>'
+                         ", ">)
+    >>
   case SOME_MATCH     then 'SOME(<mmMatchingExp(value)>)'
   case NONE_MATCH     then "NONE"
   case TUPLE_MATCH    then '(<tupleArgs : mmMatchingExp()", ">)'
@@ -210,46 +201,46 @@ mmStatements(list<MMExp> stmts) ::=
 
 
 sTemplPackage(TemplPackage) ::= 
-	case TEMPL_PACKAGE then 
+  case TEMPL_PACKAGE then 
 	<<
-spackage <pathIdent(name)>
-<astDefs of AST_DEF : <<
-  <if isDefault then "default ">absyn <pathIdent(importPackage)>
-    <types of (id, tinfo) : sASTDefType(id, tinfo) \n\n>
-  end <pathIdent(importPackage)>;<\n>
->> \n >
-
-<templateDefs of (id, def) : sTemplateDef(def,id) \n\n>
-end <pathIdent(name)>;
+    spackage <pathIdent(name)>
+      <astDefs of AST_DEF : 
+      <<
+      <if isDefault then "default ">absyn <pathIdent(importPackage)>
+        <types of (id, tinfo) : sASTDefType(id, tinfo) \n\n>
+      end <pathIdent(importPackage)>;<\n>
+      >> \n >
+
+    <templateDefs of (id, def) : sTemplateDef(def,id) \n\n>
+    end <pathIdent(name)>;
 	>>
 
 
 sASTDefType(Ident id, TypeInfo info) ::=
-	match info
-	case TI_UNION_TYPE then
+  match info
+  case TI_UNION_TYPE then
 	<<
-uniontype <id>
-  <recTags of (rid, tids) : sRecordTypeDef(rid, tids) \n>
-end <id>;
+    uniontype <id>
+      <recTags of (rid, tids) : sRecordTypeDef(rid, tids) \n>
+    end <id>;
 	>>
-	case TI_RECORD_TYPE then  sRecordTypeDef(id, fields)
-	case TI_ALIAS_TYPE  then  'type <id> = <typeSig(aliasType)>;'
-	case TI_FUN_TYPE    then
-	<<
-function <id>
-  <inArgs of (aid,ts)  : 'input <typeSig(ts)> <aid>;<\n>'>
-  <outArgs of (aid,ts) : 'output <typeSig(ts)> <aid>;<\n>'>
-end <id>;
+  case TI_RECORD_TYPE then  sRecordTypeDef(id, fields)
+  case TI_ALIAS_TYPE  then  'type <id> = <typeSig(aliasType)>;'
+  case TI_FUN_TYPE    then
+    <<
+    function <id>
+      <inArgs of (aid,ts)  : 'input <typeSig(ts)> <aid>;<\n>'>
+      <outArgs of (aid,ts) : 'output <typeSig(ts)> <aid>;<\n>'>
+    end <id>;
 	>>
-	case TI_CONST_TYPE then 'constant <typeSig(constType)> <id>;'
+  case TI_CONST_TYPE then 'constant <typeSig(constType)> <id>;'
 
 
 sRecordTypeDef(Ident id, TypedIdents fields) ::= 
 <<
-record <id> <if fields then 
-  <<<\n>
+record <id> <if fields then <<<\n>
   <fields of (fid, ts) : '<typeSig(ts)> <fid>;<\n>'>
-  >>
+>>
 >end <id>;
 >>
 
diff --git a/Compiler/susan_codegen/paper.mo b/Compiler/susan_codegen/paper.mo
index ee14d3f661e..88f79e17d42 100644
--- a/Compiler/susan_codegen/paper.mo
+++ b/Compiler/susan_codegen/paper.mo
@@ -320,9 +320,9 @@ public function pok2
   input String i_sep;
 
   output Tpl.Text out_txt;
-  protected
-    Tpl.StringToken ret_1;
-    Tpl.Text txt_0;
+protected
+  Tpl.StringToken ret_1;
+  Tpl.Text txt_0;
 algorithm
   txt_0 := Tpl.writeTok(emptyTxt, Tpl.ST_STRING("o"));
   txt_0 := Tpl.writeStr(txt_0, i_sep);
diff --git a/Compiler/susan_codegen/paper.tpl b/Compiler/susan_codegen/paper.tpl
index f71a7740182..1747ae0b670 100644
--- a/Compiler/susan_codegen/paper.tpl
+++ b/Compiler/susan_codegen/paper.tpl
@@ -38,12 +38,12 @@ spackage paper
 
 statement(Statement) ::=
   case ASSIGN then <<
-<exp(lhs)> = <exp(rhs)>;
+  <exp(lhs)> = <exp(rhs)>;
   >>	
   case WHILE  then <<
-while(<exp(condition)>) {
-  <statements : statement() \n>
-}
+  while(<exp(condition)>) {
+    <statements : statement() \n>
+  }
   >>
 
 exp(Exp) ::=
diff --git a/Compiler/susan_codegen/test.mo b/Compiler/susan_codegen/test.mo
index 1df38856113..473ed4b784d 100644
--- a/Compiler/susan_codegen/test.mo
+++ b/Compiler/susan_codegen/test.mo
@@ -135,13 +135,13 @@ public function test
   input Integer i_ind;
 
   output Tpl.Text out_txt;
-  protected
-    String ret_5;
-    Integer ret_4;
-    Tpl.StringToken ret_3;
-    Tpl.Text txt_2;
-    Integer ret_1;
-    String ret_0;
+protected
+  String ret_5;
+  Integer ret_4;
+  Tpl.StringToken ret_3;
+  Tpl.Text txt_2;
+  Integer ret_1;
+  String ret_0;
 algorithm
   ret_0 := intString(i_ind);
   ret_1 := testfn(intString(i_ind));
@@ -830,11 +830,11 @@ public function test3
   input Integer i_ii;
 
   output Tpl.Text out_txt;
-  protected
-    String str_3;
-    Tpl.Text txt_2;
-    Tpl.Text txt_1;
-    Tpl.Text txt_0;
+protected
+  String str_3;
+  Tpl.Text txt_2;
+  Tpl.Text txt_1;
+  Tpl.Text txt_0;
 algorithm
   out_txt := Tpl.pushIter(txt, Tpl.ITER_OPTIONS(0, NONE, SOME(Tpl.ST_NEW_LINE()), 0, 0, Tpl.ST_NEW_LINE(), 0, Tpl.ST_NEW_LINE()));
   out_txt := lm_9(out_txt, i_items);
@@ -1454,9 +1454,9 @@ public function ifTest
   input Integer i_i;
 
   output Tpl.Text out_txt;
-  protected
-    String str_1;
-    Tpl.Text txt_0;
+protected
+  String str_1;
+  Tpl.Text txt_0;
 algorithm
   txt_0 := mapInt(emptyTxt, i_i);
   str_1 := Tpl.textString(txt_0);
@@ -1479,8 +1479,10 @@ algorithm
       local
         Tpl.Text i_ii;
       equation
+        txt = Tpl.pushBlock(txt, Tpl.BT_INDENT(2));
         txt = Tpl.writeTok(txt, Tpl.ST_STRING("some hej"));
         txt = Tpl.writeText(txt, i_ii);
+        txt = Tpl.popBlock(txt);
       then txt;
   end matchcontinue;
 end smf_59;
@@ -1489,8 +1491,8 @@ public function bindTest
   input Tpl.Text txt;
 
   output Tpl.Text out_txt;
-  protected
-    Tpl.Text txt_0;
+protected
+  Tpl.Text txt_0;
 algorithm
   txt_0 := ifTest(emptyTxt, 1);
   out_txt := smf_59(txt, txt_0);
@@ -1500,8 +1502,8 @@ public function txtTest
   input Tpl.Text txt;
 
   output Tpl.Text out_txt;
-  protected
-    Tpl.Text i_txt;
+protected
+  Tpl.Text i_txt;
 algorithm
   i_txt := Tpl.writeTok(emptyTxt, Tpl.ST_STRING("ahoj"));
   i_txt := Tpl.writeTok(i_txt, Tpl.ST_STRING("hej"));
@@ -1512,8 +1514,8 @@ public function txtTest2
   input Tpl.Text txt;
 
   output Tpl.Text out_txt;
-  protected
-    Tpl.Text i_txt;
+protected
+  Tpl.Text i_txt;
 algorithm
   i_txt := Tpl.writeTok(emptyTxt, Tpl.ST_STRING("ahoj2"));
   i_txt := Tpl.writeTok(i_txt, Tpl.ST_STRING("hej2"));
@@ -1530,8 +1532,8 @@ public function txtTest3
 
   output Tpl.Text out_txt;
   output Tpl.Text out_i_buf;
-  protected
-    Tpl.Text i_txt;
+protected
+  Tpl.Text i_txt;
 algorithm
   i_txt := Tpl.writeTok(emptyTxt, Tpl.ST_STRING("aahoj2"));
   i_txt := Tpl.writeTok(i_txt, Tpl.ST_STRING("ahej2"));
@@ -1590,8 +1592,8 @@ public function txtTest5
   output Tpl.Text out_txt;
   output Tpl.Text out_i_buf;
   output Tpl.Text out_i_nobuf;
-  protected
-    Tpl.Text i_txt;
+protected
+  Tpl.Text i_txt;
 algorithm
   i_txt := Tpl.writeTok(emptyTxt, Tpl.ST_STRING("aahoj2"));
   i_txt := Tpl.writeTok(i_txt, Tpl.ST_STRING("ahej2"));
@@ -1759,9 +1761,9 @@ public function txtTest6
 
   output Tpl.Text out_txt;
   output Tpl.Text out_i_buf;
-  protected
-    Tpl.Text i_nomut;
-    Tpl.Text i_mytxt;
+protected
+  Tpl.Text i_nomut;
+  Tpl.Text i_mytxt;
 algorithm
   i_mytxt := Tpl.writeTok(emptyTxt, Tpl.ST_STRING("bolo"));
   i_nomut := Tpl.writeTok(emptyTxt, Tpl.ST_STRING(","));
diff --git a/Compiler/susan_codegen/test.tpl b/Compiler/susan_codegen/test.tpl
index b01f049ec3f..0eacba6692c 100644
--- a/Compiler/susan_codegen/test.tpl
+++ b/Compiler/susan_codegen/test.tpl
@@ -78,9 +78,9 @@ ifTest(Integer i) ::= if mapInt(i) then '<it> name;' else "/* weird I */"
 
 bindTest() ::= 
   ifTest(1) of ii : 
-  <<
-some hej<ii>
-  >>
+    <<
+      some hej<ii>
+    >>
 
 txtTest() ::= 
   # txt = "ahoj"
@@ -114,9 +114,9 @@ if hej then
   # txt += hej
   # buf += txt
   <<
-bláá <txt>
+  bláá <txt>
   </* jhgjhgjh  */>  
-jo
+  jo
   >>
 
 txtTest5(String hej, Text buf, Text nobuf) ::=