diff --git a/clientloop.c b/clientloop.c
index 76de372..2f2424a 100644
--- a/clientloop.c
+++ b/clientloop.c
@@ -85,6 +85,7 @@
 #include <termios.h>
 #include <pwd.h>
 #include <unistd.h>
+#include <readline/readline.h>
 
 #include "openbsd-compat/sys-queue.h"
 #include "xmalloc.h"
@@ -161,6 +162,8 @@ static int connection_out;	/* Connection to server (output). */
 static int need_rekeying;	/* Set to non-zero if rekeying is requested. */
 static int session_closed = 0;	/* In SSH2: login session closed. */
 
+static int got_prompt;
+
 static void client_init_dispatch(void);
 int	session_ident = -1;
 
@@ -1277,14 +1280,52 @@ client_filter_cleanup(int cid, void *ctx)
 	xfree(ctx);
 }
 
+static Buffer *rl_buf;
+static void readline_cb(char *line)
+{
+	if (!line) {
+		buffer_put_char(rl_buf, '\004');
+	} else {
+		buffer_append(rl_buf, line, strlen(line));
+		buffer_put_char(rl_buf, '\n');
+	}
+	got_prompt = 0;
+}
+
 int
 client_simple_escape_filter(Channel *c, char *buf, int len)
 {
+	struct termios *tio;
+	int ret, oldlen;
 	if (c->extended_usage != CHAN_EXTENDED_WRITE)
 		return 0;
 
-	return process_escapes(c, &c->input, &c->output, &c->extended,
+	oldlen = c->input.end - c->input.offset;
+	ret = process_escapes(c, &c->input, &c->output, &c->extended,
 	    buf, len);
+	if (ret < 0)
+		return ret;
+	tio = get_saved_tio();
+	/* If we're canonical, use readline */
+	if ((tio->c_lflag & (ECHO|ICANON)) == (ECHO|ICANON)) {
+		if (!got_prompt) {
+			char *ptr = c->output.buf + c->output.end;
+			c->output.buf[c->output.end] = 0;
+			while (ptr >= c->output.buf && *ptr != '\n')
+				ptr--;
+			rl_set_prompt(ptr+1);
+			rl_already_prompted = 1;
+			got_prompt = 1;
+		}
+		len = c->input.end - c->input.offset - oldlen;
+		c->input.end -= len;
+		memcpy(buf, c->input.buf + c->input.end, len);
+		while (len) {
+			rl_stuff_char(*buf++);
+			rl_callback_read_char();
+			len--;
+		}
+	}
 }
 
 static void
@@ -1863,6 +1904,17 @@ client_input_channel_req(int type, u_int32_t seq, void *ctxt)
 			    __func__, id);
 		}
 		packet_check_eom();
+	} else if (strcmp(rtype, "tty-change") == 0 ) {
+		ttyext tx = { fileno(stdin), 0, get_saved_tio() };
+		int nbytes;
+		tty_parse_modes(&tx, &nbytes);
+		/* server supports passthru, just use cooked mode now */
+		cooked_mode();
+		if (!rl_buf) {
+			rl_callback_handler_install(NULL, readline_cb);
+			rl_already_prompted = 1;
+			rl_buf = &c->input;
+		}
 	}
 	if (reply) {
 		packet_start(success ?
@@ -1872,6 +1924,7 @@ client_input_channel_req(int type, u_int32_t seq, void *ctxt)
 	}
 	xfree(rtype);
 }
+
 static void
 client_input_global_request(int type, u_int32_t seq, void *ctxt)
 {
diff --git a/packet.h b/packet.h
index 33523d7..9a94c95 100644
--- a/packet.h
+++ b/packet.h
@@ -87,8 +87,15 @@ int	 packet_remaining(void);
 void	 packet_send_ignore(int);
 void	 packet_add_padding(u_char);
 
+typedef struct ttyext {
+	int ttyfd;
+	int have_extproc;
+	struct termios *tio;
+} ttyext;
+
 void	 tty_make_modes(int, struct termios *);
-void	 tty_parse_modes(int, int *);
+void	 tty_parse_modes(ttyext *, int *);
+void	 tty_new_modes(void *old, char *buf, int len, int all);
 
 void	 packet_set_alive_timeouts(int);
 int	 packet_inc_alive_timeouts(void);
diff --git a/session.c b/session.c
index b49d08d..2fe48e7 100644
--- a/session.c
+++ b/session.c
@@ -43,6 +43,7 @@
 #include <sys/socket.h>
 #include <sys/un.h>
 #include <sys/wait.h>
+#include <sys/ioctl.h>
 
 #include <arpa/inet.h>
 
@@ -253,6 +254,40 @@ auth_input_request_forwarding(struct passwd * pw)
 	return 0;
 }
 
+static int
+pty_pkt_filter(Channel *c, char *buf, int len)
+{
+	if (buf[0] & TIOCPKT_IOCTL) {
+		Session *s = c->filter_ctx;
+		/* read termios struct and send diff */
+		packet_start(SSH2_MSG_CHANNEL_REQUEST);
+		packet_put_int(c->remote_id);
+		packet_put_cstring("tty-change");
+		packet_put_char(0);
+		tty_new_modes(s->termios, buf+1, len-1, !s->set_modes);
+		packet_send();
+		s->set_modes = 1;
+		len = 1;
+	}
+	if (buf[0] & TIOCPKT_FLUSHWRITE) {
+		packet_write_wait();
+	}
+	if (buf[0] & (TIOCPKT_NOSTOP|TIOCPKT_DOSTOP)) {
+		/* send xon-xoff msg */
+		packet_start(SSH2_MSG_CHANNEL_REQUEST);
+		packet_put_int(c->remote_id);
+		packet_put_cstring("xon-xoff");
+		packet_put_char(0);
+		packet_put_char((buf[0] & TIOCPKT_DOSTOP) != 0);
+		packet_send();
+	}
+	buf++;
+	len--;
+	if (len)
+		buffer_append(&c->input, buf, len);
+	return 0;
+}
+
 static void
 display_loginmsg(void)
 {
@@ -767,7 +802,11 @@ do_exec_pty(Session *s, const char *command)
 	s->ptymaster = ptymaster;
 	packet_set_interactive(1);
 	if (compat20) {
+		pty_pkt_mode(ptyfd);
+		if (s->have_extproc)
+			pty_line_mode(ptyfd, 1);
 		session_set_fds(s, ptyfd, fdout, -1, 1);
+		channel_register_filter(s->chanid, pty_pkt_filter, NULL, NULL, s);
 	} else {
 		server_loop(pid, ptyfd, fdout, -1);
 		/* server_loop _has_ closed ptyfd and fdout. */
@@ -2141,7 +2180,12 @@ session_pty_req(Session *s)
 	/* for SSH1 the tty modes length is not given */
 	if (!compat20)
 		n_bytes = packet_remaining();
-	tty_parse_modes(s->ttyfd, &n_bytes);
+	{
+		ttyext tx = { s->ttyfd, 0, NULL };
+		tty_parse_modes(&tx, &n_bytes);
+		s->have_extproc = tx.have_extproc;
+		s->termios = tx.tio;
+	}
 
 	if (!use_privsep)
 		pty_setowner(s->pw, s->tty);
diff --git a/session.h b/session.h
index cbb8e3a..6d72ab2 100644
--- a/session.h
+++ b/session.h
@@ -39,8 +39,11 @@ struct Session {
 	/* tty */
 	char	*term;
 	int	ptyfd, ttyfd, ptymaster;
+	int	have_extproc;
+	int set_modes;
 	u_int	row, col, xpixel, ypixel;
 	char	tty[TTYSZ];
+	void	*termios;
 
 	/* X11 */
 	u_int	display_number;
diff --git a/sshpty.c b/sshpty.c
index bbbc0fe..c5a081b 100644
--- a/sshpty.c
+++ b/sshpty.c
@@ -256,3 +256,18 @@ pty_setowner(struct passwd *pw, const char *tty)
 		}
 	}
 }
+
+void pty_line_mode(int fd, int on) {
+	struct termios tio;
+	tcgetattr(fd, &tio);
+	if (on) tio.c_lflag |= EXTPROC;
+	else tio.c_lflag &= ~EXTPROC;
+	tcsetattr(fd, TCSANOW, &tio);
+	debug("pty linemode %d\n", on);
+}
+
+void pty_pkt_mode(int fd) {
+	int on = 1;
+	ioctl(fd, TIOCPKT, (char *)&on);
+	debug("pty pktmode\n");
+}
diff --git a/sshpty.h b/sshpty.h
index cfa3224..0a2fb3e 100644
--- a/sshpty.h
+++ b/sshpty.h
@@ -20,6 +20,9 @@ struct termios *get_saved_tio(void);
 void	 leave_raw_mode(int);
 void	 enter_raw_mode(int);
 
+void pty_line_mode(int, int);
+void pty_pkt_mode(int);
+
 int	 pty_allocate(int *, int *, char *, size_t);
 void	 pty_release(const char *);
 void	 pty_make_controlling_tty(int *, const char *);
diff --git a/sshtty.c b/sshtty.c
index d214ce3..11580b9 100644
--- a/sshtty.c
+++ b/sshtty.c
@@ -45,7 +45,10 @@
 #include "sshpty.h"
 
 static struct termios _saved_tio;
+static struct termios _orig_tio;
 static int _in_raw_mode = 0;
+static int _saved_orig = 0;
+static int _cooked = 0;
 
 struct termios *
 get_saved_tio(void)
@@ -58,7 +61,7 @@ leave_raw_mode(int quiet)
 {
 	if (!_in_raw_mode)
 		return;
-	if (tcsetattr(fileno(stdin), TCSADRAIN, &_saved_tio) == -1) {
+	if (tcsetattr(fileno(stdin), TCSADRAIN, &_orig_tio) == -1) {
 		if (!quiet)
 			perror("tcsetattr");
 	} else
@@ -70,12 +73,18 @@ enter_raw_mode(int quiet)
 {
 	struct termios tio;
 
+	if (_cooked) return;
+
 	if (tcgetattr(fileno(stdin), &tio) == -1) {
 		if (!quiet)
 			perror("tcgetattr");
 		return;
 	}
 	_saved_tio = tio;
+	if (!_saved_orig) {
+		_saved_orig = 1;
+		_orig_tio = _saved_tio;
+	}
 	tio.c_iflag |= IGNPAR;
 	tio.c_iflag &= ~(ISTRIP | INLCR | IGNCR | ICRNL | IXON | IXANY | IXOFF);
 #ifdef IUCLC
@@ -94,3 +103,9 @@ enter_raw_mode(int quiet)
 	} else
 		_in_raw_mode = 1;
 }
+
+void
+cooked_mode()
+{
+	_cooked = 1;
+}
diff --git a/ttymodes.c b/ttymodes.c
index 6f51b8a..0659793 100644
--- a/ttymodes.c
+++ b/ttymodes.c
@@ -57,6 +57,7 @@
 #include "ssh1.h"
 #include "compat.h"
 #include "buffer.h"
+#include "xmalloc.h"
 
 #define TTY_OP_END		0
 /*
@@ -346,14 +347,15 @@ end:
  * manner from a packet being read.
  */
 void
-tty_parse_modes(int fd, int *n_bytes_ptr)
+tty_parse_modes(ttyext *tx, int *n_bytes_ptr)
 {
-	struct termios tio;
+	struct termios *tio;
 	int opcode, baud;
 	int n_bytes = 0;
 	int failure = 0;
 	u_int (*get_arg)(void);
 	int arg_size;
+	int fd = tx->ttyfd;
 
 	if (compat20) {
 		*n_bytes_ptr = packet_get_int();
@@ -366,19 +368,30 @@ tty_parse_modes(int fd, int *n_bytes_ptr)
 		arg_size = 1;
 	}
 
+	if (!tx->tio) {
+		tio = xmalloc(sizeof(struct termios));
+		tx->tio = tio;
+
 	/*
 	 * Get old attributes for the terminal.  We will modify these
 	 * flags. I am hoping that if there are any machine-specific
 	 * modes, they will initially have reasonable values.
 	 */
-	if (tcgetattr(fd, &tio) == -1) {
-		logit("tcgetattr: %.100s", strerror(errno));
-		failure = -1;
+		if (tcgetattr(fd, tio) == -1) {
+			logit("tcgetattr: %.100s", strerror(errno));
+			failure = -1;
+		}
+	} else {
+		tio = tx->tio;
 	}
 
 	for (;;) {
 		n_bytes += 1;
 		opcode = packet_get_char();
+#ifdef EXTPROC
+		if (opcode == 63)
+			tx->have_extproc = 1;
+#endif
 		switch (opcode) {
 		case TTY_OP_END:
 			goto set;
@@ -389,7 +402,7 @@ tty_parse_modes(int fd, int *n_bytes_ptr)
 			n_bytes += 4;
 			baud = packet_get_int();
 			if (failure != -1 &&
-			    cfsetispeed(&tio, baud_to_speed(baud)) == -1)
+			    cfsetispeed(tio, baud_to_speed(baud)) == -1)
 				error("cfsetispeed failed for %d", baud);
 			break;
 
@@ -399,22 +412,22 @@ tty_parse_modes(int fd, int *n_bytes_ptr)
 			n_bytes += 4;
 			baud = packet_get_int();
 			if (failure != -1 &&
-			    cfsetospeed(&tio, baud_to_speed(baud)) == -1)
+			    cfsetospeed(tio, baud_to_speed(baud)) == -1)
 				error("cfsetospeed failed for %d", baud);
 			break;
 
 #define TTYCHAR(NAME, OP) \
 	case OP: \
 	  n_bytes += arg_size; \
-	  tio.c_cc[NAME] = special_char_decode(get_arg()); \
+	  tio->c_cc[NAME] = special_char_decode(get_arg()); \
 	  break;
 #define TTYMODE(NAME, FIELD, OP) \
 	case OP: \
 	  n_bytes += arg_size; \
 	  if (get_arg()) \
-	    tio.FIELD |= NAME; \
+	    tio->FIELD |= NAME; \
 	  else \
-	    tio.FIELD &= ~NAME;	\
+	    tio->FIELD &= ~NAME;	\
 	  break;
 
 #include "ttymodes.h"
@@ -485,6 +498,54 @@ set:
 		return;		/* Packet parsed ok but tcgetattr() failed */
 
 	/* Set the new modes for the terminal. */
-	if (tcsetattr(fd, TCSANOW, &tio) == -1)
+	if (tcsetattr(fd, TCSANOW, tio) == -1)
 		logit("Setting tty modes failed: %.100s", strerror(errno));
 }
+
+/*
+ * Encodes difference between old and new terminal modes
+ * in a portable manner, and appends the modes to a packet
+ * being constructed.
+ */
+void
+tty_new_modes(void *old, char *cnew, int len, int all)
+{
+	struct termios *told = old, tnew = *told;
+	Buffer buf;
+	void (*put_arg)(Buffer *, u_int);
+
+	buffer_init(&buf);
+	if (compat20) {
+		put_arg = buffer_put_int;
+	} else {
+		put_arg = (void (*)(Buffer *, u_int)) buffer_put_char;
+	}
+
+	memcpy(&tnew, cnew, len);
+
+	/* Store values of changed mode flags. */
+#define TTYCHAR(NAME, OP) \
+	if (all || (told->c_cc[NAME] != tnew.c_cc[NAME])) { \
+		buffer_put_char(&buf, OP); \
+		put_arg(&buf, special_char_encode(tnew.c_cc[NAME])); }
+
+#define TTYMODE(NAME, FIELD, OP) \
+	if (all || (NAME != EXTPROC && (told->FIELD & NAME) != (tnew.FIELD & NAME))) { \
+		buffer_put_char(&buf, OP); \
+		put_arg(&buf, ((tnew.FIELD & NAME) != 0)); }
+
+#include "ttymodes.h"
+
+#undef TTYCHAR
+#undef TTYMODE
+
+end:
+	/* Mark end of mode data. */
+	buffer_put_char(&buf, TTY_OP_END);
+	if (compat20)
+		packet_put_string(buffer_ptr(&buf), buffer_len(&buf));
+	else
+		packet_put_raw(buffer_ptr(&buf), buffer_len(&buf));
+	buffer_free(&buf);
+	memcpy(told, &tnew, sizeof(told));
+}
diff --git a/ttymodes.h b/ttymodes.h
index 4d848fe..aa62c6e 100644
--- a/ttymodes.h
+++ b/ttymodes.h
@@ -151,6 +151,9 @@ TTYMODE(ECHOKE,	c_lflag, 61)
 #if defined(PENDIN)
 TTYMODE(PENDIN,	c_lflag, 62)
 #endif /* PENDIN */
+#if defined(EXTPROC)
+TTYMODE(EXTPROC,	c_lflag, 63)
+#endif /* EXTPROC */
 
 TTYMODE(OPOST,	c_oflag, 70)
 #if defined(OLCUC)