diff --git a/harbour/ChangeLog b/harbour/ChangeLog
index 2d0f46e2f9..3bdc661f18 100644
--- a/harbour/ChangeLog
+++ b/harbour/ChangeLog
@@ -1,3 +1,10 @@
+19990709-18:21 Antonio Linares <alinares@fivetech.com>
+  + source/compiler/harbour.l
+    added support for ppo #line token
+    Described line bug was mine. Fixed!
+  + source/compiler/harbour.y
+    added support for ppo #line syntax (including XBase++ style)
+
 19990709-16:25 Eddie Runia
   * build32.bat; source/runner/runner.c; source/runner/run_exp.h;
     tests/working/hb32.bat; tests/working/runrdos.bat
diff --git a/harbour/source/compiler/harbour.l b/harbour/source/compiler/harbour.l
index 2a4298e676..2b8434afc3 100644
--- a/harbour/source/compiler/harbour.l
+++ b/harbour/source/compiler/harbour.l
@@ -730,7 +730,7 @@ Separator     {SpaceTab}
 %{
 /* ************************************************************************ */
 %}
-"line"         return LINE;
+"#"{Separator}*"line"  return LINE;
 "local"        BEGIN LOCAL_;
 <LOCAL_>{Separator}+[_a-zA-Z]   { /* an identifier after LOCAL */
                  unput( yytext[ yyleng-1 ] );
diff --git a/harbour/source/compiler/harbour.y b/harbour/source/compiler/harbour.y
index 7f6040c27b..7e9c0677be 100644
--- a/harbour/source/compiler/harbour.y
+++ b/harbour/source/compiler/harbour.y
@@ -515,6 +515,7 @@ Source     : Crlf
            | MemvarDef
            | Function
            | Statement
+           | Line
            | Source Crlf
            | Source Extern
            | Source Function
@@ -522,6 +523,11 @@ Source     : Crlf
            | Source VarDefs
            | Source FieldsDef
            | Source MemvarDef
+           | Source Line
+           ;
+
+Line       : LINE INTEGER LITERAL Crlf
+           | LINE INTEGER LITERAL '@' LITERAL Crlf   /* XBase++ style */
            ;
 
 Extern     : EXTERN ExtList { _iState =LOOKUP; } Crlf