diff --git a/new/targets.jam b/new/targets.jam
index 8b89c276e..2a8912cd4 100644
--- a/new/targets.jam
+++ b/new/targets.jam
@@ -512,6 +512,11 @@ class main-target : abstract-target
         return $(usage-requirements) $(result) ;                
     }
         
+    # Generates the main target with the given property set
+    # and returns a list which first element is property-set object
+    # containing usage-requirements of generated target and with
+    # generated virtual target in other elements. It's possible
+    # that no targets are generated.
     local rule generate-really ( property-set )
     {    
         if $(self.property-adjuster)
@@ -530,6 +535,7 @@ class main-target : abstract-target
                 "with properties" [ $(property-set).raw ]
                   "because no best-matching alternative could be found"
                   ; 
+            return [ property-set.empty ] ;
         }
         else if $(best-alternatives[2])
         {
diff --git a/test/skipping.py b/test/skipping.py
new file mode 100644
index 000000000..34e41066c
--- /dev/null
+++ b/test/skipping.py
@@ -0,0 +1,41 @@
+#!/usr/bin/python
+
+#  Copyright (C) Vladimir Prus 2003. Permission to copy, use, modify, sell and
+#  distribute this software is granted provided this copyright notice appears in
+#  all copies. This software is provided "as is" without express or implied
+#  warranty, and with no claim as to its suitability for any purpose.
+
+#  Test that V2 does not fail gracelessy when any target is skipped.
+from BoostBuild import Tester, List
+
+# Create a temporary working directory
+t = Tester()
+t.write("a.cpp", """ 
+int main() {} 
+""")
+
+t.write("b.cpp", """ 
+int main() {} 
+""")
+
+t.write("c.cpp", """ 
+int main() {} 
+""")
+
+t.write("Jamfile", """ 
+import feature : feature ;
+
+feature foo : 1 2 : link-incompatible ;
+
+exe a : a.cpp : <foo>1 ;
+exe b : b.cpp : <foo>2 ;
+exe c : c.cpp ; 
+""")
+
+t.write("project-root.jam", """ 
+""")
+
+t.run_build_system("foo=1")
+
+t.cleanup()
+
diff --git a/test/test_all.py b/test/test_all.py
index 4ab996dae..66a08440f 100644
--- a/test/test_all.py
+++ b/test/test_all.py
@@ -105,6 +105,7 @@ tests = [ "project_test1",
           "tag",
           "suffix",
           "inherit_toolset",
+          "skipping",
 	  ]
 
 if os.name == 'posix':
diff --git a/v2/build/targets.jam b/v2/build/targets.jam
index 8b89c276e..2a8912cd4 100644
--- a/v2/build/targets.jam
+++ b/v2/build/targets.jam
@@ -512,6 +512,11 @@ class main-target : abstract-target
         return $(usage-requirements) $(result) ;                
     }
         
+    # Generates the main target with the given property set
+    # and returns a list which first element is property-set object
+    # containing usage-requirements of generated target and with
+    # generated virtual target in other elements. It's possible
+    # that no targets are generated.
     local rule generate-really ( property-set )
     {    
         if $(self.property-adjuster)
@@ -530,6 +535,7 @@ class main-target : abstract-target
                 "with properties" [ $(property-set).raw ]
                   "because no best-matching alternative could be found"
                   ; 
+            return [ property-set.empty ] ;
         }
         else if $(best-alternatives[2])
         {
diff --git a/v2/test/skipping.py b/v2/test/skipping.py
new file mode 100644
index 000000000..34e41066c
--- /dev/null
+++ b/v2/test/skipping.py
@@ -0,0 +1,41 @@
+#!/usr/bin/python
+
+#  Copyright (C) Vladimir Prus 2003. Permission to copy, use, modify, sell and
+#  distribute this software is granted provided this copyright notice appears in
+#  all copies. This software is provided "as is" without express or implied
+#  warranty, and with no claim as to its suitability for any purpose.
+
+#  Test that V2 does not fail gracelessy when any target is skipped.
+from BoostBuild import Tester, List
+
+# Create a temporary working directory
+t = Tester()
+t.write("a.cpp", """ 
+int main() {} 
+""")
+
+t.write("b.cpp", """ 
+int main() {} 
+""")
+
+t.write("c.cpp", """ 
+int main() {} 
+""")
+
+t.write("Jamfile", """ 
+import feature : feature ;
+
+feature foo : 1 2 : link-incompatible ;
+
+exe a : a.cpp : <foo>1 ;
+exe b : b.cpp : <foo>2 ;
+exe c : c.cpp ; 
+""")
+
+t.write("project-root.jam", """ 
+""")
+
+t.run_build_system("foo=1")
+
+t.cleanup()
+
diff --git a/v2/test/test_all.py b/v2/test/test_all.py
index 4ab996dae..66a08440f 100644
--- a/v2/test/test_all.py
+++ b/v2/test/test_all.py
@@ -105,6 +105,7 @@ tests = [ "project_test1",
           "tag",
           "suffix",
           "inherit_toolset",
+          "skipping",
 	  ]
 
 if os.name == 'posix':