--- /dev/null	2014-08-20 22:06:53.000000000 -0700
+++ new/test/javax/xml/jaxp/functional/javax/xml/transform/ptests/SAXTFactoryTest005.java	2014-08-20 22:06:53.000000000 -0700
@@ -0,0 +1,104 @@
+/*
+ * Copyright (c) 2014, Oracle and/or its affiliates. All rights reserved.
+ * DO NOT ALTER OR REMOVE COPYRIGHT NOTICES OR THIS FILE HEADER.
+ *
+ * This code is free software; you can redistribute it and/or modify it
+ * under the terms of the GNU General Public License version 2 only, as
+ * published by the Free Software Foundation.
+ *
+ * This code is distributed in the hope that it will be useful, but WITHOUT
+ * ANY WARRANTY; without even the implied warranty of MERCHANTABILITY or
+ * FITNESS FOR A PARTICULAR PURPOSE.  See the GNU General Public License
+ * version 2 for more details (a copy is included in the LICENSE file that
+ * accompanied this code).
+ *
+ * You should have received a copy of the GNU General Public License version
+ * 2 along with this work; if not, write to the Free Software Foundation,
+ * Inc., 51 Franklin St, Fifth Floor, Boston, MA 02110-1301 USA.
+ *
+ * Please contact Oracle, 500 Oracle Parkway, Redwood Shores, CA 94065 USA
+ * or visit www.oracle.com if you need additional information or have any
+ * questions.
+ */
+package javax.xml.transform.ptests;
+
+import java.io.File;
+import java.io.FileOutputStream;
+import java.io.IOException;
+import java.nio.file.Files;
+import java.nio.file.Path;
+import java.nio.file.Paths;
+import javax.xml.parsers.DocumentBuilder;
+import javax.xml.parsers.DocumentBuilderFactory;
+import javax.xml.parsers.ParserConfigurationException;
+import javax.xml.transform.Result;
+import javax.xml.transform.TransformerConfigurationException;
+import javax.xml.transform.TransformerFactory;
+import javax.xml.transform.dom.DOMSource;
+import static javax.xml.transform.ptests.TransformerTestConst.CLASS_DIR;
+import static javax.xml.transform.ptests.TransformerTestConst.GOLDEN_DIR;
+import static javax.xml.transform.ptests.TransformerTestConst.XML_DIR;
+import javax.xml.transform.sax.SAXTransformerFactory;
+import javax.xml.transform.sax.TransformerHandler;
+import javax.xml.transform.stream.StreamResult;
+import static jaxp.library.JAXPTestUtilities.compareWithGold;
+import static jaxp.library.JAXPTestUtilities.failCleanup;
+import static jaxp.library.JAXPTestUtilities.failUnexpected;
+import static org.testng.Assert.assertTrue;
+import org.testng.annotations.Test;
+import org.w3c.dom.Document;
+import org.w3c.dom.Node;
+import org.xml.sax.SAXException;
+import org.xml.sax.XMLReader;
+import org.xml.sax.helpers.XMLReaderFactory;
+
+/**
+ * Test SAXSource API when relative URI is used in xsl file and SystemId was set
+ */
+public class SAXTFactoryTest005 {
+    /**
+     * Unit test for XMLReader parsing when relative URI is used in xsl file and
+     * SystemId was set. 
+     */
+    @Test
+    public void testcase01() {
+        String outputFile = CLASS_DIR + "saxtf005.out";
+        String goldFile = GOLDEN_DIR + "saxtf005GF.out";
+        String xsltFile = XML_DIR + "citiesinclude.xsl";
+        String xmlFile = XML_DIR + "cities.xml";
+
+        try (FileOutputStream fos = new FileOutputStream(outputFile)) {
+            XMLReader reader = XMLReaderFactory.createXMLReader();
+            SAXTransformerFactory saxTFactory
+                    = (SAXTransformerFactory)TransformerFactory.newInstance();
+            DocumentBuilderFactory dbf = DocumentBuilderFactory.newInstance();
+            dbf.setNamespaceAware(true);
+            DocumentBuilder docBuilder = dbf.newDocumentBuilder();
+            Document document = docBuilder.parse(new File(xsltFile));
+            Node node = (Node)document;
+            DOMSource domSource= new DOMSource(node);
+
+            domSource.setSystemId("file:///" + XML_DIR);
+
+            TransformerHandler handler =
+                        saxTFactory.newTransformerHandler(domSource);
+            Result result = new StreamResult(fos);
+
+            handler.setResult(result);
+            reader.setContentHandler(handler);
+            reader.parse(xmlFile);
+            assertTrue(compareWithGold(goldFile, outputFile));
+        } catch (TransformerConfigurationException | ParserConfigurationException 
+                | SAXException | IOException ex) {
+            failUnexpected(ex);
+        } finally {
+            try {
+                Path outputPath = Paths.get(outputFile);
+                if(Files.exists(outputPath))
+                    Files.delete(outputPath);
+            } catch (IOException ex) {
+                failCleanup(ex, outputFile);
+            }
+        }
+    }
+}