diff --git a/src/fsharp/vs/ServiceStructure.fs b/src/fsharp/vs/ServiceStructure.fs
index 0009b3d9ad8..35e3d2383e4 100644
--- a/src/fsharp/vs/ServiceStructure.fs
+++ b/src/fsharp/vs/ServiceStructure.fs
@@ -545,7 +545,9 @@ module Structure =
                     | [], [] -> List.rev res
                     | [], _ -> List.rev (currentBulk::res)
                     | r :: rest, [] -> loop rest res [r]
-                    | r :: rest, last :: _ when r.StartLine = last.EndLine + 1 ->
+                    | r :: rest, last :: _ 
+                        when r.StartLine = last.EndLine + 1 || 
+                             sourceLines.[last.EndLine..r.StartLine - 2] |> Array.forall System.String.IsNullOrWhiteSpace ->
                         loop rest res (r::currentBulk)
                     | r :: rest, _ -> loop rest (currentBulk::res) [r]
                 loop input [] []
diff --git a/tests/service/StructureTests.fs b/tests/service/StructureTests.fs
new file mode 100644
index 00000000000..6e80a66bba2
--- /dev/null
+++ b/tests/service/StructureTests.fs
@@ -0,0 +1,560 @@
+#if INTERACTIVE
+#r "../../Debug/fcs/net45/FSharp.Compiler.Service.dll" // note, run 'build fcs debug' to generate this, this DLL has a public API so can be used from F# Interactive
+#r "../../packages/NUnit.3.5.0/lib/net45/nunit.framework.dll"
+#load "FsUnit.fs"
+#load "Common.fs"
+#else
+module Tests.Service.StructureTests
+#endif
+
+open System.IO
+open NUnit.Framework
+open Microsoft.FSharp.Compiler.SourceCodeServices
+open FSharp.Compiler.Service.Tests.Common
+open System.Text
+
+let fileName = Path.Combine (__SOURCE_DIRECTORY__, __SOURCE_FILE__)
+type Line = int
+type Col = int
+
+let (=>) (source: string) (expectedRanges: (Line * Col * Line * Col) list) =
+    let lines =
+        use reader = new StringReader(source)
+        [| let line = ref (reader.ReadLine())
+           while not (isNull !line) do
+               yield !line
+               line := reader.ReadLine()
+           if source.EndsWith "\n" then
+               // last trailing space not returned
+               // http://stackoverflow.com/questions/19365404/stringreader-omits-trailing-linebreak
+               yield "" |]
+
+    let formatList (xs: _ list) =
+        let sb = StringBuilder("[ ")
+        for r in xs do
+            sb.AppendLine (sprintf "%A" r) |> ignore
+        sprintf "%O ]" sb
+
+    let ast = parseSourceCode(fileName, source)
+    try
+        match ast with
+        | Some tree ->
+            let actual =
+                Structure.getOutliningRanges lines tree
+                |> Seq.filter (fun sr -> sr.Range.StartLine <> sr.Range.EndLine)
+                |> Seq.map (fun r ->  r.Range.StartLine, r.Range.StartColumn, r.Range.EndLine, r.Range.EndColumn)
+                |> Seq.sort
+                |> List.ofSeq
+            let expected = List.sort expectedRanges
+            if actual <> expected then
+            failwithf "Expected %s, but was %s" (formatList expected) (formatList actual)
+        | None -> failwithf "Expected there to be a parse tree for source:\n%s" source
+    with _ ->
+        printfn "AST:\n%+A" ast
+        reraise()
+
+[<Test>]
+let ``empty file``() = "" => [ (1, 0, 2, 0) ]
+
+[<Test>]
+let ``nested module``() =
+    """
+module MyModule =
+    ()
+"""
+    => [ (1, 0, 4, 0)
+         (2, 0, 3, 6) ]
+
+[<Test>]
+let ``module with multiline function``() =
+    """
+module MyModule =
+    let foo() =
+        foo()
+"""
+    => [ (1, 0, 5, 0)
+         (2, 0, 4, 13)
+         (3, 4, 4, 13)
+         (3, 8, 4, 13) ]
+
+[<Test>]
+let ``DU``() =
+    """
+type Color =
+    | Red
+    | Green
+    | Blue
+"""
+    => [ (1, 0, 6, 0)
+         (2, 5, 5, 10)
+         (3, 4, 5, 10) ]
+
+[<Test>]
+let ``DU with interface``() =
+    """
+type Color =
+    | Red
+    | Green
+    | Blue
+
+    interface IDisposable with
+        member __.Dispose() =
+            (docEventListener :> IDisposable).Dispose()
+"""
+    => [ (1, 0, 10, 0)
+         (2, 5, 9, 55)
+         (3, 4, 5, 10)
+         (7, 4, 9, 55)
+         (8, 15, 9, 55)
+         (8, 15, 9, 55) ]
+
+[<Test>]
+let ``record with interface``() =
+    """
+type Color =
+    { Red: int
+        Green: int
+        Blue: int 
+    }
+
+    interface IDisposable with
+        member __.Dispose() =
+            (docEventListener :> IDisposable).Dispose()
+"""
+    =>
+    [ (1, 0, 11, 0)
+      (2, 5, 10, 55)
+      (3, 4, 4, 14)
+      (3, 6, 4, 13)
+      (8, 4, 10, 55)
+      (9, 15, 10, 55)
+      (9, 15, 10, 55) ]
+
+[<Test>]
+let ``type with a do block``() =
+    """
+type Color() =   // 2
+    let foo() =
+        ()
+
+    do
+        foo()
+        ()       // 8
+"""
+    => [ (1, 0, 9, 0)
+         (2, 5, 8, 10)
+         (3, 8, 4, 10)
+         (6, 4, 8, 10) ]
+
+[<Test>]
+let ``complex outlining test``() =
+    """
+module MyModule =       // 2
+    let foo() = ()
+    let bar() =
+        ()
+
+    type Color =        // 7
+        { Red: int
+          Green: int
+          Blue: int 
+        }
+
+        interface IDisposable with      // 13
+            member __.Dispose() =
+                (docEventListener :> IDisposable).Dispose()
+
+    module MyInnerModule =              // 17
+
+        type RecordColor =              // 19
+            { Red: int
+              Green: int
+              Blue: int 
+            }
+
+            interface IDisposable with  // 25
+                member __.Dispose() =
+                    (docEventListener :> IDisposable).Dispose()
+""" 
+    => [ (1, 0, 28, 0)
+         (2, 0, 27, 63)
+         (4, 4, 5, 10)
+         (4, 8, 5, 10)
+         (7, 9, 15, 59)
+         (8, 8, 11, 9)
+         (13, 8, 15, 59)
+         (14, 19, 15, 59)
+         (14, 19, 15, 59)
+         (17, 4, 27, 63)
+         (19, 13, 27, 63)
+         (20, 12, 23, 13)
+         (25, 12, 27, 63)
+         (26, 23, 27, 63)
+         (26, 23, 27, 63) ]
+
+    
+[<Test>]
+let ``open statements``() =
+    """
+open M             
+open N             
+                   
+module M =         
+    let x = 1      
+                   
+    open M         
+    open N         
+                   
+    module M =     
+        open M     
+                   
+        let x = 1  
+                   
+    module M =     
+        open M     
+        open N     
+        let x = 1  
+                   
+open M             
+open N             
+open H             
+                   
+open G             
+open H              
+"""
+    => [ (1, 0, 26, 6)
+         (2, 5, 3, 6)
+         (5, 0, 19, 17)
+         (8, 9, 9, 10)
+         (11, 4, 14, 17)
+         (16, 4, 19, 17)
+         (17, 13, 18, 14)
+         (21, 5, 26, 6) ]
+
+[<Test>]
+let ``hash directives``() =
+    """
+#r @"a"   
+#r "b"    
+          
+#r "c"    
+          
+#r "d"    
+#r "e"    
+let x = 1 
+          
+#r "f"    
+#r "g"    
+#load "x" 
+#r "y"    
+          
+#load "a" 
+      "b" 
+      "c" 
+          
+#load "a" 
+      "b" 
+      "c" 
+#r "d"     
+"""
+    => [ (1, 0, 23, 6)
+         (2, 3, 8, 6)
+         (11, 3, 23, 6) ]
+
+[<Test>]
+let ``nested let bindings``() =
+    """
+let f x =       // 2
+    let g x =   // 3
+        let h = // 4
+            ()  // 5
+        ()      // 6
+    x           // 7
+"""
+    => [ (1, 0, 8, 0)
+         (2, 0, 7, 5)
+         (2, 4, 7, 5)
+         (3, 8, 6, 10)
+         (4, 12, 5, 14) ]
+
+[<Test>]
+let ``match``() =
+    """
+match None with     // 2
+| Some _ ->         // 3
+    ()              // 4
+| None ->           // 5
+    match None with // 6
+    | Some _ -> ()  // 7
+    | None ->       // 8
+        let x = ()  // 9
+        ()          // 10
+"""
+    => [ (1, 0, 11, 0)
+         (2, 0, 10, 10)
+         (6, 4, 10, 10)
+         (6, 4, 10, 10)
+         (9, 8, 10, 10) ]
+         
+[<Test>]
+let ``computation expressions``() =
+    """
+seq {              // 2
+    yield ()       // 3
+    let f x =      // 4
+        ()         // 5
+    yield! seq {   // 6
+        yield () } // 7
+}                  // 8
+"""
+    => [ (1, 0, 8, 1)
+         (2, 0, 8, 1)
+         (4, 8, 5, 10)
+         (6, 4, 7, 18)
+         (6, 11, 7, 18) ]
+
+[<Test>]
+let ``list``() =
+    """
+let _ = 
+    [ 1; 2
+      3 ]
+"""
+  => [ (1, 0, 5, 0)
+       (2, 0, 4, 9)
+       (2, 4, 4, 9)
+       (3, 4, 4, 9) ]
+
+[<Test>]
+let ``object expressions``() =
+    """
+let _ =
+    { new System.IDisposable with
+        member __.Dispose() = () }
+"""
+    => [ (1, 0, 5, 0)
+         (2, 0, 4, 34)
+         (2, 4, 4, 34)
+         (3, 4, 4, 34) ]
+         
+[<Test>]
+let ``try - with``() =
+    """
+try           // 2
+    let f x = // 3
+        ()    // 4
+with _ ->     // 5
+    let f x = // 6
+        ()    // 7
+    ()        // 8
+"""
+    => [ (1, 0, 9, 0)
+         (2, 0, 5, 0)
+         (2, 0, 8, 6)
+         (3, 8, 4, 10)
+         (5, 0, 8, 6)
+         (6, 4, 8, 6)
+         (6, 8, 7, 10) ]
+
+[<Test>]
+let ``try - finally``() =
+    """
+try           // 2
+    let f x = // 3
+        ()    // 4
+finally       // 5
+    let f x = // 6
+        ()    // 7
+    ()        // 8
+"""
+    => [ (1, 0, 9, 0)
+         (2, 0, 8, 6)
+         (3, 8, 4, 10)
+         (5, 0, 8, 6)
+         (6, 8, 7, 10) ]
+
+[<Test>]
+let ``if - then - else``() =
+    """
+if true then
+    let f x = 
+        ()
+    ()
+else
+    let f x =
+        ()
+    ()
+"""
+    => [ (1, 0, 10, 0)
+         (2, 0, 9, 6)
+         (2, 8, 5, 6)
+         (3, 8, 4, 10)
+         (7, 8, 8, 10) ]
+
+[<Test>]
+let ``code quotation``() =
+    """
+<@
+  "code"
+        @>
+"""
+    => [ 1, 0, 4, 10
+         2, 0, 4, 10 ]
+
+[<Test>]
+let ``raw code quotation``() =
+    """
+<@@
+  "code"
+        @@>
+"""
+    => [ (1, 0, 4, 11)
+         (2, 0, 4, 11) ]
+
+[<Test>]
+let ``match lambda aka function``() =
+    """
+function
+| 0 ->  ()
+        ()
+"""
+    => [ (1, 0, 5, 0)
+         (2, 0, 4, 10)
+         (3, 8, 4, 10) ]
+
+[<Test>]
+let ``match guarded clause``() =
+    """
+let matchwith num =
+    match num with
+    | 0 -> ()
+           ()
+"""
+    =>  [ (1, 0, 6, 0)
+          (2, 0, 5, 13)
+          (2, 4, 5, 13)
+          (3, 4, 5, 13)
+          (4, 11, 5, 13) ]
+
+[<Test>]
+let ``for loop``() =
+    """
+for x = 100 downto 10 do
+    ()
+    ()
+"""
+    => [ (1, 0, 5, 0)
+         (2, 0, 4, 6) ]
+
+[<Test>]
+let ``for each``() =
+    """
+for x in 0 .. 100 -> 
+            ()
+            ()
+"""
+    =>  [ (1, 0, 5, 0)
+          (2, 0, 4, 14)
+          (2, 18, 4, 14) ]
+   
+[<Test>]
+let ``tuple``() =
+    """
+( 20340
+, 322
+, 123123 )
+"""
+    => [ (1, 0, 4, 10)
+         (2, 2, 4, 8) ]
+
+[<Test>]
+let ``do!``() =
+    """
+do! 
+    printfn "allo"
+    printfn "allo"
+"""
+    =>  [(1, 0, 5, 0)
+         (2, 0, 4, 18)]
+
+[<Test>]
+let ``cexpr yield yield!``() =
+    """
+cexpr{
+    yield! 
+        cexpr{
+                    yield 
+                                
+                        10
+                }
+    }
+"""
+    =>  [1, 0, 9, 5
+         2, 0, 9, 5
+         3, 4, 8, 17
+         4, 8, 8, 17
+         5, 20, 7, 26]
+
+[<Test>]
+let ``XML doc comments``() =
+    """
+/// Line 1
+/// Line 2
+module M =
+    /// Line 3
+    /// Line 4
+    type T() =
+        /// Line 5
+        /// Line 6
+        /// Line 7
+        let f x = x
+    /// Single line comment
+    let f x = x
+"""
+    => [ (1, 0, 14, 0)
+         (2, 0, 3, 10)
+         (4, 0, 13, 15)
+         (5, 4, 6, 14)
+         (7, 9, 11, 19)
+         (8, 8, 10, 18) ]
+         
+[<Test>]
+let ``regular comments``() =
+    """
+// Line 1
+// Line 2
+module M =
+    // Line 3
+    // Line 4
+    type T() =
+        // Line 5
+        // Line 6
+        // Line 7
+        let f x = x
+    // Single line comment
+    let f x = x
+"""
+    => [ (1, 0, 14, 0)
+         (2, 0, 3, 9)
+         (4, 0, 13, 15)
+         (5, 4, 6, 13)
+         (7, 9, 11, 19)
+         (8, 8, 10, 17) ]
+         
+[<Test>]
+let ``XML doc and regular comments in one block``() =
+    """
+// Line 1
+// Line 2
+/// Line 3
+/// Line 4
+// Line 5
+/// Line 6
+/// Line 7
+/// Line 8
+/// Line 9
+"""
+    => [ (1, 0, 11, 0)
+         (2, 0, 3, 9)
+         (4, 0, 5, 10)
+         (7, 0, 10, 10) ]
\ No newline at end of file
diff --git a/vsintegration/tests/unittests/VisualFSharp.Unittests.fsproj b/vsintegration/tests/unittests/VisualFSharp.Unittests.fsproj
index af3d8ea5024..e590ef7026b 100644
--- a/vsintegration/tests/unittests/VisualFSharp.Unittests.fsproj
+++ b/vsintegration/tests/unittests/VisualFSharp.Unittests.fsproj
@@ -91,6 +91,9 @@
     <Compile Include="..\..\..\tests\service\ProjectOptionsTests.fs">
       <Link>ProjectOptionsTests.fs</Link>
     </Compile>
+    <Compile Include="..\..\..\tests\service\StructureTests.fs">
+      <Link>StructureTests.fs</Link>
+    </Compile>
     <Compile Include="UnusedOpensTests.fs">
       <Link>ServiceAnalysis\UnusedOpensTests.fs</Link>
     </Compile>