diff --git a/examples/scenario_outline_table_substitution.feature b/examples/scenario_outline_table_substitution.feature
new file mode 100644
index 0000000..7a7d9b7
--- /dev/null
+++ b/examples/scenario_outline_table_substitution.feature
@@ -0,0 +1,12 @@
+Feature: using scenario outlines
+  Scenario Outline: a simple outline
+    Given there is a monster with hitpoints:
+      | hit_points |
+      | <hp>       |
+   When I attack the monster and do <damage> points damage
+    Then the monster should be <state>
+
+    Examples:
+      | hp   | damage | state   |
+      | 10   | 13     | dead    |
+      | 8    | 5      | alive   |
diff --git a/lib/turnip/builder.rb b/lib/turnip/builder.rb
index aa74053..0337f50 100644
--- a/lib/turnip/builder.rb
+++ b/lib/turnip/builder.rb
@@ -81,12 +81,22 @@ def to_scenarios(examples)
         rows.map do |row|
           Scenario.new(@raw).tap do |scenario|
             scenario.steps = steps.map do |step|
-              new_description = step.description.gsub(/<([^>]*)>/) { |_| Hash[headers.zip(row)][$1] }
-              Step.new(new_description, step.extra_args, step.line)
+              new_description = substitute(step.description, headers, row)
+              new_extra_args = step.extra_args.map do |ea|
+                next ea unless ea.instance_of?(Turnip::Table)
+                Turnip::Table.new(ea.map {|t_row| t_row.map {|t_col| substitute(t_col, headers, row) } })
+              end
+              Step.new(new_description, new_extra_args, step.line)
             end
           end
         end
       end
+
+      private
+
+      def substitute(text, headers, row)
+        text.gsub(/<([^>]*)>/) { |_| Hash[headers.zip(row)][$1] }
+      end
     end
 
     class Step < Struct.new(:description, :extra_args, :line)
diff --git a/spec/builder_spec.rb b/spec/builder_spec.rb
index 142b6d1..f1e8c89 100644
--- a/spec/builder_spec.rb
+++ b/spec/builder_spec.rb
@@ -27,4 +27,23 @@
       ])
     end
   end
+
+  context "with example tables in scenario outlines" do
+    let(:feature_file) { File.expand_path('../examples/scenario_outline_table_substitution.feature', File.dirname(__FILE__)) }
+    let(:builder) { Turnip::Builder.build(feature_file) }
+    let(:feature) { builder.features.first }
+
+    it "replaces placeholders in tables in steps" do
+      feature.scenarios[0].steps.map(&:description).should eq([
+        "there is a monster with hitpoints:",
+        "I attack the monster and do 13 points damage",
+        "the monster should be dead"
+      ])
+      table = feature.scenarios[0].steps[0].extra_args.find {|a| a.instance_of?(Turnip::Table)}
+      table.hashes[0]['hit_points'].should == '10'
+      table = feature.scenarios[1].steps[0].extra_args.find {|a| a.instance_of?(Turnip::Table)}
+      table.hashes[0]['hit_points'].should == '8'
+    end
+
+  end
 end
diff --git a/spec/integration_spec.rb b/spec/integration_spec.rb
index b9cdabf..4a04ddb 100644
--- a/spec/integration_spec.rb
+++ b/spec/integration_spec.rb
@@ -11,7 +11,7 @@
   end
 
   it "prints out failures and successes" do
-    @result.should include('33 examples, 3 failures, 3 pending')
+    @result.should include('35 examples, 3 failures, 5 pending')
   end
 
   it "includes features in backtraces" do
diff --git a/spec/table_spec.rb b/spec/table_spec.rb
index 912e7ed..82ba2d9 100644
--- a/spec/table_spec.rb
+++ b/spec/table_spec.rb
@@ -8,6 +8,11 @@
     it 'returns the raw table' do
       table.raw.should == [['foo', 'bar'], ['quox', '42']]
     end
+
+    it 'reflects changes in the raw table' do
+      table.raw[1][1] = '55'
+      table.raw.should == [['foo', 'bar'], ['quox', '55']]
+    end
   end
 
   describe '#to_a' do
@@ -71,4 +76,5 @@
       table.map(&:first).should == ['moo', 'quox']
     end
   end
+
 end