diff --git a/src/SurfStack/Templating/Template_Engine.php b/src/SurfStack/Templating/Template_Engine.php
index 24e6ef9..2736e47 100644
--- a/src/SurfStack/Templating/Template_Engine.php
+++ b/src/SurfStack/Templating/Template_Engine.php
@@ -74,6 +74,8 @@ function setTemplate($template)
         
         // Store the template full path
         $this->template = stream_resolve_include_path($template);
+        
+        $this->setInternal('Template', $this->template);
     }
 
     /**
@@ -539,6 +541,9 @@ protected function stripTags($content)
         // Strip multi-line comments
         //$stripTags[] = '/'.$stripSpace.'\{\*(.[^\}\{]*?)\*\}'.$stripSpace.'/s';
         
+        // Strip section tags and all space around
+        $stripTags[] = '/\s*\{\s*(section)\s*(.*?)\}(.*?)\{\/\s*section\s*\}\s*/si';
+        
         return preg_replace($stripTags, '', $content);
     }
     
@@ -645,7 +650,7 @@ protected function loadPlugins()
                     switch ($parent)
                     {
                     	case 'Block':
-                    	    $return[$name] = '/\{\s*('.$name.')\s*(.*?)\}(.*?)\{\/\s*'.$name.'\s*\}/i';
+                    	    $return[$name] = '/\{\s*('.$name.')\s*(.*?)\}(.*?)\{\/\s*'.$name.'\s*\}/si';
                     	    break;
                     	case 'Slice':
                     	    $return[$name] = '/\{\s*('.$name.')\s*(.*?)\}/i';
diff --git a/src/SurfStack/Templating/plugin/Extend.php b/src/SurfStack/Templating/plugin/Extend.php
new file mode 100644
index 0000000..a9633f0
--- /dev/null
+++ b/src/SurfStack/Templating/plugin/Extend.php
@@ -0,0 +1,228 @@
+<?php
+
+/**
+ * This file is part of the SurfStack package.
+ *
+ * @package SurfStack
+ * @copyright Copyright (C) Joseph Spurrier. All rights reserved.
+ * @author Joseph Spurrier (http://josephspurrier.com)
+ * @license http://www.apache.org/licenses/LICENSE-2.0.html
+ */
+
+namespace SurfStack\Templating\Plugin;
+use SurfStack\Templating\Core\Slice;
+
+/**
+ * SurfStack Template Extend Block
+ *
+ * Allows for template inheritance.
+ * Designated by a single {Extend file='template.tpl'} tag.
+ */
+class Extend extends Slice
+{
+    /**
+     * Array of sections from each template
+     * @var array
+     */
+    protected $sections = array();
+    
+    /**
+     * Number of skipped sections
+     * @var int
+     */
+    protected $skipped = 0;
+    
+    /**
+     * Array of template parents
+     * @var array
+     */
+    protected $parents = array();
+    
+    /**
+     * Path of the final template to render
+     * @var string
+     */
+    protected $finalTemplate = '';
+    
+    /**
+     * RegEx for {section}{/section}
+     * @var string
+     */
+    protected $sectionRegex = '/\{\s*section\s*(.*?)\}(.*?)\{\/\s*section\s*\}/si';
+    
+    /**
+     * RegEx for {extend}
+     * @var unknown
+     */
+    protected $extendRegex = '/\{\s*extend\s*(.*?)\}/i';
+    
+    /**
+     * (non-PHPdoc)
+     * @see \SurfStack\Templating\Core\Slice::render()
+     */
+    function render()
+    {        
+        if (isset($this->arrPluginVariables['file']))
+        {
+            $template = $this->arrPluginVariables['file'];
+            
+            if (!is_file(stream_resolve_include_path($template)))
+            {
+                throw new \ErrorException('The template, '.$template.', cannot be found.');
+            }
+            
+            $this->parents[] = $this->arrEngineInternals['Template'];
+            
+            do
+            {
+                $parentName = array_shift($this->parents);
+                $currentTemplate = stream_resolve_include_path($parentName);
+                //$currentTemplate2 = $this->arrEngineInternals['TemplateDir'].'/'.$parentName;
+                
+                if (is_file($currentTemplate))
+                {
+                    $this->parseTemplate(file_get_contents($currentTemplate));
+                    
+                    $this->finalTemplate = $currentTemplate;
+                }
+                /*else if (is_file($currentTemplate2))
+                {
+                    $this->parseTemplate(file_get_contents($currentTemplate2));
+                    
+                    $this->finalTemplate = $currentTemplate2;
+                }*/
+                else
+                {
+                    throw new \ErrorException("Template parent, $parentName, cannot be found.");
+                }
+            }
+            while ($this->parents);
+            
+            return $this->overlayTemplate();
+        }
+        else
+        {
+            throw new \InvalidArgumentException('You must specify the "file" argument when using the Extend plugin.');
+        }        
+    }
+    
+    /**
+     * Parse a string of name='value' and convert to an array
+     * @param string $strData
+     * @return array
+     */
+    protected function parsePluginVariables($strData)
+    {
+        $arr = array();
+    
+        // Extract the variables
+        if(preg_match_all('/(\w+=\'[^\']*\'|\w+=\"[^"]*"|\w+=[^\s]*)+/', $strData, $m))
+        {
+            foreach($m[0] as $key => $k)
+            {
+                $arrSplit = explode('=', $k);
+    
+                $arr[$arrSplit[0]] = trim(join('', array_slice($arrSplit, 1)), '\'\"');
+            }
+        }
+    
+        return $arr;
+    }
+    
+    /**
+    * Extract section and extend tags
+    * @param string $content
+    * @return string
+    */
+    protected function parseTemplate($content)
+    {        
+        // Extract the sections
+        if(preg_match_all($this->sectionRegex, $content, $m))
+        {            
+            for($i = 0, $total = count($m[0]); $i < $total; $i++)
+            {
+                $arrData = array();
+                
+                $vars = $this->parsePluginVariables($m[1][$i]);
+                
+                if (isset($vars['name']))
+                {
+                    $this->storeSection($vars['name'], array(
+                        'content' => trim($m[2][$i]),
+                        'data' => $vars,
+                    ));
+                }
+            }
+        }
+        
+        // Extract the extend
+        if(preg_match($this->extendRegex, $content, $m))
+        {
+            $vars = $this->parsePluginVariables($m[1]);
+            
+            if (isset($vars['file']))
+            {
+                $this->parents[] = $vars['file'];
+            }
+        }
+    }
+    
+    /**
+     * Store only the first section
+     * @param string $key
+     * @param array $value
+     */
+    protected function storeSection($key, array $value)
+    {
+        if (!isset($this->sections[$key]))
+        {
+            $this->sections[$key] = $value;
+        }
+        else
+        {
+            $this->skipped += 1;
+        }
+    }
+
+    /**
+     * Returns the replacement for the section in the final template
+     * @param array $matches
+     * @return string
+     */
+    protected function dynamicSectionReplacement($matches)
+    {
+        $vars = $this->parsePluginVariables($matches[1]);
+        
+        if (isset($vars['name']))
+        {
+            $name = $vars['name'];
+            
+            if (isset($this->sections[$name]))
+            {
+                $content = $this->sections[$name]['content'];
+                
+                if (strpos($content, '{parent}') !== -1)
+                {
+                    return str_replace('{parent}', trim($matches[2]), $content);
+                }
+                else
+                {
+                    return $content;
+                }
+            }
+            else
+            {
+                return trim($matches[2]);
+            }
+        }
+    }
+    
+    /**
+     * Returns the final template output
+     * @return string
+     */
+    protected function overlayTemplate()
+    {
+        return preg_replace_callback($this->sectionRegex, array($this, 'dynamicSectionReplacement') , file_get_contents($this->finalTemplate));
+    }
+}
\ No newline at end of file
diff --git a/src/SurfStack/Templating/plugin/placeholder b/src/SurfStack/Templating/plugin/placeholder
deleted file mode 100644
index e69de29..0000000
diff --git a/tests/SurfStack/Templating/Template_Engine_Test.php b/tests/SurfStack/Templating/Template_Engine_Test.php
index d2c64f5..7ebc40a 100644
--- a/tests/SurfStack/Templating/Template_Engine_Test.php
+++ b/tests/SurfStack/Templating/Template_Engine_Test.php
@@ -307,6 +307,7 @@ public function testLoadPluginsArray()
         $this->assertSame($this->view->getLoadedPlugins(), array(
             'Blank',
             'Bold',
+            'Extend',
             'Passthru',
             'Time',
         ));
@@ -318,7 +319,7 @@ public function testLoadPluginsCount()
     
         $this->render();
     
-        $this->assertSame($this->view->getNumberLoadedPlugins(), 4);
+        $this->assertSame($this->view->getNumberLoadedPlugins(), 5);
     }
     
     public function testVariableBlock()
@@ -386,6 +387,19 @@ public function testVariableSliceGood()
         $this->assertTrue($this->view->isTemplateValid());
     }
     
+    public function testExtend()
+    {        
+        $this->view->setTemplate('child.tpl');
+        
+        $this->view->setLoadPlugins(true);
+        
+        $this->render();
+        
+        $content = str_replace("\r\n","\n", $this->output);
+        
+        $this->assertSame($content, "<p>Hello world!</p>\n\n<div>\nTest from grandparent\nTest from parent\n</div>\n\n<div>\nSafe from child\nSafe from grandparent\n</div>");
+    }
+    
     public function testNoCacheTemplates()
     {
         $this->view->setCacheTemplates(false);
diff --git a/tests/SurfStack/Templating/plugin/Extend.php b/tests/SurfStack/Templating/plugin/Extend.php
new file mode 100644
index 0000000..a9633f0
--- /dev/null
+++ b/tests/SurfStack/Templating/plugin/Extend.php
@@ -0,0 +1,228 @@
+<?php
+
+/**
+ * This file is part of the SurfStack package.
+ *
+ * @package SurfStack
+ * @copyright Copyright (C) Joseph Spurrier. All rights reserved.
+ * @author Joseph Spurrier (http://josephspurrier.com)
+ * @license http://www.apache.org/licenses/LICENSE-2.0.html
+ */
+
+namespace SurfStack\Templating\Plugin;
+use SurfStack\Templating\Core\Slice;
+
+/**
+ * SurfStack Template Extend Block
+ *
+ * Allows for template inheritance.
+ * Designated by a single {Extend file='template.tpl'} tag.
+ */
+class Extend extends Slice
+{
+    /**
+     * Array of sections from each template
+     * @var array
+     */
+    protected $sections = array();
+    
+    /**
+     * Number of skipped sections
+     * @var int
+     */
+    protected $skipped = 0;
+    
+    /**
+     * Array of template parents
+     * @var array
+     */
+    protected $parents = array();
+    
+    /**
+     * Path of the final template to render
+     * @var string
+     */
+    protected $finalTemplate = '';
+    
+    /**
+     * RegEx for {section}{/section}
+     * @var string
+     */
+    protected $sectionRegex = '/\{\s*section\s*(.*?)\}(.*?)\{\/\s*section\s*\}/si';
+    
+    /**
+     * RegEx for {extend}
+     * @var unknown
+     */
+    protected $extendRegex = '/\{\s*extend\s*(.*?)\}/i';
+    
+    /**
+     * (non-PHPdoc)
+     * @see \SurfStack\Templating\Core\Slice::render()
+     */
+    function render()
+    {        
+        if (isset($this->arrPluginVariables['file']))
+        {
+            $template = $this->arrPluginVariables['file'];
+            
+            if (!is_file(stream_resolve_include_path($template)))
+            {
+                throw new \ErrorException('The template, '.$template.', cannot be found.');
+            }
+            
+            $this->parents[] = $this->arrEngineInternals['Template'];
+            
+            do
+            {
+                $parentName = array_shift($this->parents);
+                $currentTemplate = stream_resolve_include_path($parentName);
+                //$currentTemplate2 = $this->arrEngineInternals['TemplateDir'].'/'.$parentName;
+                
+                if (is_file($currentTemplate))
+                {
+                    $this->parseTemplate(file_get_contents($currentTemplate));
+                    
+                    $this->finalTemplate = $currentTemplate;
+                }
+                /*else if (is_file($currentTemplate2))
+                {
+                    $this->parseTemplate(file_get_contents($currentTemplate2));
+                    
+                    $this->finalTemplate = $currentTemplate2;
+                }*/
+                else
+                {
+                    throw new \ErrorException("Template parent, $parentName, cannot be found.");
+                }
+            }
+            while ($this->parents);
+            
+            return $this->overlayTemplate();
+        }
+        else
+        {
+            throw new \InvalidArgumentException('You must specify the "file" argument when using the Extend plugin.');
+        }        
+    }
+    
+    /**
+     * Parse a string of name='value' and convert to an array
+     * @param string $strData
+     * @return array
+     */
+    protected function parsePluginVariables($strData)
+    {
+        $arr = array();
+    
+        // Extract the variables
+        if(preg_match_all('/(\w+=\'[^\']*\'|\w+=\"[^"]*"|\w+=[^\s]*)+/', $strData, $m))
+        {
+            foreach($m[0] as $key => $k)
+            {
+                $arrSplit = explode('=', $k);
+    
+                $arr[$arrSplit[0]] = trim(join('', array_slice($arrSplit, 1)), '\'\"');
+            }
+        }
+    
+        return $arr;
+    }
+    
+    /**
+    * Extract section and extend tags
+    * @param string $content
+    * @return string
+    */
+    protected function parseTemplate($content)
+    {        
+        // Extract the sections
+        if(preg_match_all($this->sectionRegex, $content, $m))
+        {            
+            for($i = 0, $total = count($m[0]); $i < $total; $i++)
+            {
+                $arrData = array();
+                
+                $vars = $this->parsePluginVariables($m[1][$i]);
+                
+                if (isset($vars['name']))
+                {
+                    $this->storeSection($vars['name'], array(
+                        'content' => trim($m[2][$i]),
+                        'data' => $vars,
+                    ));
+                }
+            }
+        }
+        
+        // Extract the extend
+        if(preg_match($this->extendRegex, $content, $m))
+        {
+            $vars = $this->parsePluginVariables($m[1]);
+            
+            if (isset($vars['file']))
+            {
+                $this->parents[] = $vars['file'];
+            }
+        }
+    }
+    
+    /**
+     * Store only the first section
+     * @param string $key
+     * @param array $value
+     */
+    protected function storeSection($key, array $value)
+    {
+        if (!isset($this->sections[$key]))
+        {
+            $this->sections[$key] = $value;
+        }
+        else
+        {
+            $this->skipped += 1;
+        }
+    }
+
+    /**
+     * Returns the replacement for the section in the final template
+     * @param array $matches
+     * @return string
+     */
+    protected function dynamicSectionReplacement($matches)
+    {
+        $vars = $this->parsePluginVariables($matches[1]);
+        
+        if (isset($vars['name']))
+        {
+            $name = $vars['name'];
+            
+            if (isset($this->sections[$name]))
+            {
+                $content = $this->sections[$name]['content'];
+                
+                if (strpos($content, '{parent}') !== -1)
+                {
+                    return str_replace('{parent}', trim($matches[2]), $content);
+                }
+                else
+                {
+                    return $content;
+                }
+            }
+            else
+            {
+                return trim($matches[2]);
+            }
+        }
+    }
+    
+    /**
+     * Returns the final template output
+     * @return string
+     */
+    protected function overlayTemplate()
+    {
+        return preg_replace_callback($this->sectionRegex, array($this, 'dynamicSectionReplacement') , file_get_contents($this->finalTemplate));
+    }
+}
\ No newline at end of file
diff --git a/tests/SurfStack/Templating/template/child.tpl b/tests/SurfStack/Templating/template/child.tpl
index 079b80b..1536066 100644
--- a/tests/SurfStack/Templating/template/child.tpl
+++ b/tests/SurfStack/Templating/template/child.tpl
@@ -1 +1,6 @@
-{extend file='parent.tpl'}
\ No newline at end of file
+{extend file='parent.tpl'}
+
+{section name='safe'}
+Safe from child
+{parent}
+{/section}
\ No newline at end of file
diff --git a/tests/SurfStack/Templating/template/grandparent.tpl b/tests/SurfStack/Templating/template/grandparent.tpl
index 7186b78..da46b01 100644
--- a/tests/SurfStack/Templating/template/grandparent.tpl
+++ b/tests/SurfStack/Templating/template/grandparent.tpl
@@ -1,9 +1,13 @@
-<p>Sweet</p>
+<p>Hello world!</p>
 
+<div>
 {section name='test'}
-Replace from grandparent
+Test from grandparent
 {/section}
+</div>
 
+<div>
 {section name='safe'}
-leave from grandparent
-{/section}
\ No newline at end of file
+Safe from grandparent
+{/section}
+</div>
\ No newline at end of file
diff --git a/tests/SurfStack/Templating/template/parent.tpl b/tests/SurfStack/Templating/template/parent.tpl
index 01472f9..2bc217e 100644
--- a/tests/SurfStack/Templating/template/parent.tpl
+++ b/tests/SurfStack/Templating/template/parent.tpl
@@ -1,5 +1,6 @@
 {extend file='grandparent.tpl'}
 
 {section name='test'}
+{parent}
 Test from parent
-{/section}
\ No newline at end of file
+{/section}