diff --git a/harbour/ChangeLog b/harbour/ChangeLog
index f03df3768a..c3bccd99d6 100644
--- a/harbour/ChangeLog
+++ b/harbour/ChangeLog
@@ -8,6 +8,16 @@
    2008-12-31 13:59 UTC+0100 Foo Bar (foo.bar foobar.org)
 */
 
+2008-12-24 03:23 UTC+0200 Mindaugas Kavaliauskas (dbtopas/at/dbtopas.lt)
+  * include/hberrors.h
+  * source/compiler/hbgenerr.c
+  * source/compiler/hbopt.c
+    + implemented warning: Variable '%s' is never assigned in function %s(%d).
+      This variable can be replaced by value NIL
+
+  * source/rtl/treport.prg
+    % removed never assigned variable  
+
 2008-12-24 00:04 UTC+0100 Przemyslaw Czerpak (druzus/at/priv.onet.pl)
   * harbour/source/common/expropt1.c
   * harbour/source/common/expropt2.c
diff --git a/harbour/include/hberrors.h b/harbour/include/hberrors.h
index 48ceaf54c4..94b68e979e 100644
--- a/harbour/include/hberrors.h
+++ b/harbour/include/hberrors.h
@@ -165,6 +165,7 @@ HB_EXTERN_BEGIN
 #define HB_COMP_WARN_FORVAR_DUPL                30
 #define HB_COMP_WARN_ENUM_INVALID               31
 #define HB_COMP_WARN_ASSIGNED_UNUSED            32
+#define HB_COMP_WARN_NEVER_ASSIGNED             33
 
 HB_EXTERN_END
 
diff --git a/harbour/source/compiler/hbgenerr.c b/harbour/source/compiler/hbgenerr.c
index d99422309c..e7c1d92556 100644
--- a/harbour/source/compiler/hbgenerr.c
+++ b/harbour/source/compiler/hbgenerr.c
@@ -144,7 +144,8 @@ const char * hb_comp_szWarnings[] =
    "1Redundant 'ANNOUNCE %s' statement ignored",
    "0Duplicate variable '%s' in nested FOR loop",
    "0Invalid variable '%s' for enumerator message",
-   "3Variable '%s' assigned but not used in function '%s'"
+   "3Variable '%s' is assigned but not used in function '%s'",
+   "3Variable '%s' is never assigned in function '%s'"
 };
 
 static void hb_compDispMessage( HB_COMP_DECL, char cPrefix, int iValue,
diff --git a/harbour/source/compiler/hbopt.c b/harbour/source/compiler/hbopt.c
index 2ac3c534d0..3754c85edf 100644
--- a/harbour/source/compiler/hbopt.c
+++ b/harbour/source/compiler/hbopt.c
@@ -1467,12 +1467,18 @@ void hb_compPCodeTraceOptimizer( HB_COMP_DECL )
    pVar = pFunc->pLocals;
    while( pVar )
    {
-      /* TOFIX: PARAMETERS sentence 
-                The temporary solution is to disable optmisation if PARAMETERS is used.
-       */
       /* Compiler and optimizer should have the same opinion about variable usage */
       assert( ( ! ( pVar->iUsed & VU_USED ) && pLocals[ usIndex ].bFlags == 0 ) || 
               (   ( pVar->iUsed & VU_USED ) && pLocals[ usIndex ].bFlags != 0 ) );
+
+      if( usIndex >= pFunc->wParamCount && pLocals[ usIndex ].bFlags == OPT_LOCAL_FLAG_PUSH )
+      {
+         char    szFun[ 256 ];
+
+         hb_snprintf( szFun, sizeof( szFun ), "%s(%i)", pFunc->szName, pVar->iDeclLine );
+         hb_compGenWarning( HB_COMP_PARAM, hb_comp_szWarnings, 'W', HB_COMP_WARN_NEVER_ASSIGNED, pVar->szName, szFun );
+      }
+
       pVar = pVar->pNext;
       usIndex++;
    }
diff --git a/harbour/source/rtl/treport.prg b/harbour/source/rtl/treport.prg
index f638915d9f..065dc60ddb 100644
--- a/harbour/source/rtl/treport.prg
+++ b/harbour/source/rtl/treport.prg
@@ -463,7 +463,6 @@ METHOD ReportHeader() CLASS HBReportForm
    LOCAL nHeadline
    LOCAL nRPageSize
    LOCAL aTempPgHeader
-   LOCAL nHeadSize
 
    nRPageSize := ::aReportData[RPT_WIDTH] - ::aReportData[RPT_RMARGIN]
 
@@ -495,12 +494,12 @@ METHOD ReportHeader() CLASS HBReportForm
    ENDIF
    FOR nLine := 1 TO Len( ::aReportData[ RPT_HEADER])
       nLinesInHeader := Max( XMLCOUNT(LTrim( ::aReportData[RPT_HEADER,;
-         nLine ] ), nHeadSize),1 )
+         nLine ] )),1 )
 
       FOR nHeadLine := 1 to nLinesInHeader
 
-         cHeader := RTrim( XMEMOLINE( LTrim( ::aReportData[RPT_HEADER, nLine ]),;
-            nHeadSize,nHeadLine))
+         cHeader := RTrim( XMEMOLINE( LTrim( ::aReportData[RPT_HEADER, nLine ]),,;
+            nHeadLine))
          AAdd( aPageHeader, Space((nRPageSize - ::aReportData[ RPT_LMARGIN ] -;
              Len( cHeader ) ) / 2   ) + cHeader )