diff --git a/harbour/ChangeLog b/harbour/ChangeLog
index 96b21d8c5a..3e90397f00 100644
--- a/harbour/ChangeLog
+++ b/harbour/ChangeLog
@@ -8,6 +8,12 @@
    2002-12-01 23:12 UTC+0100 Foo Bar <foo.bar@foobar.org>
 */
 
+2004-01-13 09:35 UTC+0100 Przemyslaw Czerpak (druzus/at/priv.onet.pl)
+  * xharbour/source/rtl/mod.c
+    ! fixed mod() function to be Clipper/DBASE III compatible
+      (not the % operator) for combination of psitive and negative
+      numbers
+
 
 2004-01-13 08:15 UTC+0100 Przemyslaw Czerpak (druzus/at/priv.onet.pl)
   + harbour/include/hbfixdj.h
diff --git a/harbour/source/rtl/mod.c b/harbour/source/rtl/mod.c
index 188288584c..53d2d925f7 100644
--- a/harbour/source/rtl/mod.c
+++ b/harbour/source/rtl/mod.c
@@ -76,7 +76,11 @@ HB_FUNC( MOD )
 
       if( dBase )
       {
-         hb_retnd( fmod( dNumber, dBase ) );
+         double dResult = fmod( dNumber, dBase );
+
+         if ( dResult && ( dNumber > 0 ? dBase < 0 : dBase > 0 ) )
+            dResult += dBase;
+         hb_retnd( dResult );
       }
       else
       {