diff --git a/gcc/testsuite/ChangeLog b/gcc/testsuite/ChangeLog
index 2e61e8ca8a4..6d931c6af47 100644
--- a/gcc/testsuite/ChangeLog
+++ b/gcc/testsuite/ChangeLog
@@ -1,3 +1,8 @@
+2008-10-09  Thomas Koenig  <tkoenig@gcc.gnu.org>
+
+	PR libfortran/37753
+	* gfortran.dg/convert_2.f90:  New test case.
+
 2008-10-09  Daniel Kraft  <d@domob.eu>
 
 	PR fortran/35723
diff --git a/gcc/testsuite/gfortran.dg/convert_2.f90 b/gcc/testsuite/gfortran.dg/convert_2.f90
new file mode 100644
index 00000000000..9f90606885a
--- /dev/null
+++ b/gcc/testsuite/gfortran.dg/convert_2.f90
@@ -0,0 +1,20 @@
+! { dg-do run }
+! Check for correct ordering of character variables with CONVERT
+
+program main
+  implicit none
+  integer, parameter :: two_swap = 2**25
+  integer(kind=4) i,j
+  character(len=2) :: c,d
+  open(20,file="convert.dat",form="unformatted",convert="swap") ! { dg-warning "CONVERT" }
+  write (20) "ab"
+  close (20)
+  open(20,file="convert.dat",form="unformatted",access="stream")
+  read(20) i,c,j
+  if (i .ne. two_swap .or. j .ne. two_swap .or. c .ne. "ab") call abort
+  close (20)
+  open(20,file="convert.dat",form="unformatted",convert="swap") ! { dg-warning "CONVERT" }
+  read (20) d
+  close (20,status="delete")
+  if (d .ne. "ab") call abort
+end program main
diff --git a/libgfortran/ChangeLog b/libgfortran/ChangeLog
index 7905b4cc764..8332fea3522 100644
--- a/libgfortran/ChangeLog
+++ b/libgfortran/ChangeLog
@@ -1,3 +1,11 @@
+2008-10-09  Thomas Koenig  <tkoenig@gcc.gnu.org>
+
+	PR libfortran/37753
+	* io/transfer.c (unformatted_read):  CONVERT_NATIVE
+	is the usual case.  Check for kind==1 for non-byte-reversing
+	operation.
+	(unformatted_write):  Likewise.
+
 2008-10-08  Jerry DeLisle  <jvdelisle@gcc.gnu.org
 
 	PR libfortran/37707
diff --git a/libgfortran/io/transfer.c b/libgfortran/io/transfer.c
index cf93a286f98..acc7cbe9b94 100644
--- a/libgfortran/io/transfer.c
+++ b/libgfortran/io/transfer.c
@@ -738,8 +738,8 @@ unformatted_read (st_parameter_dt *dtp, bt type,
 {
   size_t i, sz;
 
-  if (dtp->u.p.current_unit->flags.convert == GFC_CONVERT_NATIVE
-      || size == 1)
+  if (likely (dtp->u.p.current_unit->flags.convert == GFC_CONVERT_NATIVE)
+      || kind == 1)
     {
       sz = size * nelems;
       if (type == BT_CHARACTER)
@@ -789,8 +789,8 @@ static void
 unformatted_write (st_parameter_dt *dtp, bt type,
 		   void *source, int kind, size_t size, size_t nelems)
 {
-  if (dtp->u.p.current_unit->flags.convert == GFC_CONVERT_NATIVE ||
-      size == 1)
+  if (likely (dtp->u.p.current_unit->flags.convert == GFC_CONVERT_NATIVE) 
+      || kind == 1)
     {
       size_t stride = type == BT_CHARACTER ?
 		  size * GFC_SIZE_OF_CHAR_KIND(kind) : size;