diff --git a/processor/src/main/java/org/mapstruct/ap/writer/IndentationCorrectingWriter.java b/processor/src/main/java/org/mapstruct/ap/writer/IndentationCorrectingWriter.java
new file mode 100644
index 000000000..8d0c77449
--- /dev/null
+++ b/processor/src/main/java/org/mapstruct/ap/writer/IndentationCorrectingWriter.java
@@ -0,0 +1,137 @@
+/**
+ *  Copyright 2012-2013 Gunnar Morling (http://www.gunnarmorling.de/)
+ *  and/or other contributors as indicated by the @authors tag. See the
+ *  copyright.txt file in the distribution for a full listing of all
+ *  contributors.
+ *
+ *  Licensed under the Apache License, Version 2.0 (the "License");
+ *  you may not use this file except in compliance with the License.
+ *  You may obtain a copy of the License at
+ *
+ *      http://www.apache.org/licenses/LICENSE-2.0
+ *
+ *  Unless required by applicable law or agreed to in writing, software
+ *  distributed under the License is distributed on an "AS IS" BASIS,
+ *  WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ *  See the License for the specific language governing permissions and
+ *  limitations under the License.
+ */
+package org.mapstruct.ap.writer;
+
+import java.io.IOException;
+import java.io.Writer;
+import java.util.Arrays;
+
+/**
+ * EXPERIMENTAL: A writer used to write processed templates which corrects line indentation based on the nesting level
+ * as implied by (normal and curly) braces.
+ * <p>
+ * This writer discards any leading whitespace characters following to a line break character. When the first
+ * non-whitespace character is written after a line break, the correct indentation characters are added, which is four
+ * whitespace characters per indentation level.
+ * <p>
+ * This is a very basic implementation which does not take into account comments, escaping etc.
+ *
+ * @author Gunnar Morling
+ */
+class IndentationCorrectingWriter extends Writer {
+
+    private enum State {
+        IN_TEXT, AFTER_LINE_BREAK;
+
+        State handleCharacter(char c) {
+            if ( this == State.IN_TEXT ) {
+                if ( c == '\n' || c == '\r' ) {
+                    return State.AFTER_LINE_BREAK;
+                }
+                else {
+                    return State.IN_TEXT;
+                }
+            }
+            else if ( this == State.AFTER_LINE_BREAK ) {
+                if ( c == ' ' ) {
+                    return State.AFTER_LINE_BREAK;
+                }
+                else if ( c == '\n' || c == '\r' ) {
+                    return State.AFTER_LINE_BREAK;
+                }
+                else {
+                    return State.IN_TEXT;
+                }
+            }
+
+            throw new IllegalStateException( "Unexpected state or character." );
+        }
+    }
+
+    private final Writer delegate;
+    private State state = State.IN_TEXT;
+
+    /**
+     * Keeps track of the current indentation level, as implied by brace characters.
+     */
+    private int indentationLevel = 0;
+
+    IndentationCorrectingWriter(Writer out) {
+        super( out );
+        this.delegate = out;
+    }
+
+    @Override
+    public void write(char[] cbuf, int off, int len) throws IOException {
+        int start = off;
+        int length = 0;
+
+        for ( int i = off; i < len; i++ ) {
+            char c = cbuf[i];
+            if ( c == '{' || c == '(' ) {
+                indentationLevel++;
+            }
+            else if ( c == '}' || c == ')' ) {
+                indentationLevel--;
+            }
+
+            State newState = state.handleCharacter( c );
+            length++;
+
+            //write characters up to line-breaks
+            if ( state == State.IN_TEXT && newState == State.AFTER_LINE_BREAK ) {
+                delegate.write( cbuf, start, length );
+            }
+            //first non-whitespace character after a line break; write out the correct indentation, discarding any
+            //original leading whitespace characters
+            else if ( state == State.AFTER_LINE_BREAK && newState == State.IN_TEXT ) {
+                char[] indentation = getIndentation( indentationLevel );
+                delegate.write( indentation, 0, indentation.length );
+                start = i;
+                length = 1;
+            }
+            //write out line-breaks following directly to other line breaks
+            else if ( state == State.AFTER_LINE_BREAK && ( c == '\n' || c == '\r' ) ) {
+                delegate.write( c );
+            }
+
+            state = newState;
+        }
+
+        if ( state == State.IN_TEXT ) {
+            delegate.write( cbuf, start, length );
+        }
+    }
+
+    private static char[] getIndentation(int indentationLevel) {
+        char[] indentation = new char[indentationLevel * 4];
+        Arrays.fill( indentation, ' ' );
+        return indentation;
+    }
+
+    @Override
+    public void flush() throws IOException {
+        delegate.flush();
+    }
+
+    @Override
+    public void close() throws IOException {
+        delegate.close();
+    }
+}
diff --git a/processor/src/main/java/org/mapstruct/ap/writer/ModelWriter.java b/processor/src/main/java/org/mapstruct/ap/writer/ModelWriter.java
index 6c59a9cf6..024d3a2e8 100644
--- a/processor/src/main/java/org/mapstruct/ap/writer/ModelWriter.java
+++ b/processor/src/main/java/org/mapstruct/ap/writer/ModelWriter.java
@@ -62,7 +62,7 @@ public class ModelWriter {
 
     public void writeModel(JavaFileObject sourceFile, ModelElement model) {
         try {
-            BufferedWriter writer = new BufferedWriter( sourceFile.openWriter() );
+            BufferedWriter writer = new BufferedWriter( new IndentationCorrectingWriter( sourceFile.openWriter() ) );
 
             Map<Class<?>, Object> values = new HashMap<Class<?>, Object>();
             values.put( Configuration.class, CONFIGURATION );
@@ -87,7 +87,7 @@ public class ModelWriter {
      */
     static class DefaultModelElementWriterContext implements Context {
 
-        private Map<Class<?>, Object> values;
+        private final Map<Class<?>, Object> values;
 
         DefaultModelElementWriterContext(Map<Class<?>, Object> values) {
             this.values = new HashMap<Class<?>, Object>( values );