--- old/src/share/classes/com/sun/tools/javac/comp/TransTypes.java	2009-12-27 19:02:18.000000000 +0100
+++ new/src/share/classes/com/sun/tools/javac/comp/TransTypes.java	2009-12-27 19:02:18.000000000 +0100
@@ -446,12 +446,12 @@
         result = tree;
     }
 
-    JCMethodDecl currentMethod = null;
+    Type currentReturnType = null;
     public void visitMethodDef(JCMethodDecl tree) {
         tree.sym.typeAnnotations = tree.sym.typeAnnotations;
-        JCMethodDecl previousMethod = currentMethod;
+        Type previousReturnType = currentReturnType;
         try {
-            currentMethod = tree;
+            currentReturnType = tree.sym.erasure(types).getReturnType();
             tree.restype = translate(tree.restype, null);
             tree.typarams = List.nil();
             tree.params = translateVarDefs(tree.params);
@@ -460,7 +460,7 @@
             tree.type = erasure(tree.type);
             result = tree;
         } finally {
-            currentMethod = previousMethod;
+          currentReturnType = previousReturnType;
         }
 
         // Check that we do not introduce a name clash by erasing types.
@@ -558,7 +558,7 @@
     }
 
     public void visitReturn(JCReturn tree) {
-        tree.expr = translate(tree.expr, currentMethod.sym.erasure(types).getReturnType());
+        tree.expr = translate(tree.expr, currentReturnType);
         result = tree;
     }
 
@@ -654,6 +654,19 @@
         tree.expr = translate(tree.expr, tree.type);
         result = tree;
     }
+    
+    public void visitLambda(JCLambda tree) {
+        Type previousReturnType = currentReturnType;
+        try {
+            currentReturnType = tree.sym.erasure(types).getReturnType();
+            tree.parameters = translateVarDefs(tree.parameters);
+            tree.bodyOrExpr = translate(tree.bodyOrExpr, tree.sym.erasure(types).getReturnType());
+            tree.type = erasure(tree.type);
+            result = tree;
+        } finally {
+            currentReturnType = previousReturnType;
+        }
+    }
 
     public void visitTypeTest(JCInstanceOf tree) {
         tree.expr = translate(tree.expr, null);