diff --git a/src/env_info.rs b/src/env_info.rs
index 88367fca9..9620dd7b8 100644
--- a/src/env_info.rs
+++ b/src/env_info.rs
@@ -45,7 +45,7 @@ impl EnvInfo {
 			difficulty: u256_from_json(&json["currentDifficulty"]),
 			gas_limit: u256_from_json(&json["currentGasLimit"]),
 			timestamp: u64_from_json(&json["currentTimestamp"]),
-			last_hashes: (1..257).map(|i| format!("{}", current_number - i).as_bytes().sha3()).collect(),
+			last_hashes: (0..current_number).map(|i| format!("{}", current_number - i).as_bytes().sha3()).collect(),
 			gas_used: x!(0),
 		}
 	}
diff --git a/src/executive.rs b/src/executive.rs
index 36ed48a6a..de65e183f 100644
--- a/src/executive.rs
+++ b/src/executive.rs
@@ -219,11 +219,23 @@ impl<'a> Executive<'a> {
 	}
 
 	/// Finalizes the transaction (does refunds and suicides).
-	fn finalize(&mut self, t: &Transaction, substate: Substate, backup: State, result: evm::Result) -> ExecutionResult {
+	fn finalize(&mut self, t: &Transaction, substate: Substate, mut backup: State, result: evm::Result) -> ExecutionResult {
 		match result { 
 			Err(evm::Error::Internal) => Err(ExecutionError::Internal),
 			Err(evm::Error::OutOfGas) => {
-				*self.state = backup;
+				// apply first transfer to backup, and then revert everything
+				let sender = t.sender().unwrap();
+				match t.action() {
+					&Action::Create => {
+						let nonce = backup.nonce(&sender);
+						let address = contract_address(&sender, &nonce);
+						backup.new_contract(&address);
+						backup.transfer_balance(&sender, &address, &t.value);
+					}
+					&Action::Call(ref address) => backup.transfer_balance(&sender, address, &t.value)
+				}
+				
+				self.state.revert(backup);
 				Ok(Executed {
 					gas: t.gas,
 					gas_used: t.gas,
@@ -832,9 +844,9 @@ mod tests {
 		};
 
 		assert_eq!(executed.gas, U256::from(100_000));
-		assert_eq!(executed.gas_used, U256::from(20_025));
-		assert_eq!(executed.refunded, U256::from(79_975));
-		assert_eq!(executed.cumulative_gas_used, U256::from(20_025));
+		assert_eq!(executed.gas_used, U256::from(41_301));
+		assert_eq!(executed.refunded, U256::from(58_699));
+		assert_eq!(executed.cumulative_gas_used, U256::from(41_301));
 		assert_eq!(executed.logs.len(), 0);
 		assert_eq!(executed.out_of_gas, false);
 		assert_eq!(executed.contracts_created.len(), 0);
diff --git a/src/state.rs b/src/state.rs
index 1f58f638c..fc7ffdb4c 100644
--- a/src/state.rs
+++ b/src/state.rs
@@ -138,10 +138,15 @@ impl State {
 	/// This will change the state accordingly.
 	pub fn apply(&mut self, env_info: &EnvInfo, engine: &Engine, t: &Transaction) -> ApplyResult {
 		let e = try!(Executive::new(self, env_info, engine).transact(t));
+		println!("Executed: {:?}", e);
 		self.commit();
 		Ok(Receipt::new(self.root().clone(), e.gas_used, e.logs))
 	}
 
+	pub fn revert(&mut self, backup: State) {
+		self.cache = backup.cache;
+	}
+
 	/// Convert into a JSON representation.
 	pub fn as_json(&self) -> String {
 		unimplemented!();
diff --git a/src/tests/state.rs b/src/tests/state.rs
index 080bdf979..10ad3a657 100644
--- a/src/tests/state.rs
+++ b/src/tests/state.rs
@@ -57,4 +57,4 @@ fn do_json_test(json_data: &[u8]) -> Vec<String> {
 }
 
 declare_test!{StateTests_stExample, "StateTests/stExample"}
-declare_test!{StateTests_stLogTests, "StateTests/stLogTests"}
\ No newline at end of file
+declare_test!{StateTests_stLogTests, "StateTests/stLogTests"}