diff --git a/src/BufferParams.cpp b/src/BufferParams.cpp
index 488508555d..c52255a130 100644
--- a/src/BufferParams.cpp
+++ b/src/BufferParams.cpp
@@ -2026,7 +2026,9 @@ void BufferParams::makeDocumentClass()
 	doc_class_ = &(DocumentClassBundle::get().makeDocumentClass(*baseClass(), layout_modules_));
 
 	if (!local_layout.empty()) {
-		if (!doc_class_->read(local_layout, TextClass::MODULE)) {
+		TextClass::ReturnValues success =
+			doc_class_->read(local_layout, TextClass::MODULE);
+		if (success != TextClass::OK && success != TextClass::OK_OLDFORMAT) {
 			docstring const msg = _("Error reading internal layout information");
 			frontend::Alert::warning(_("Read Error"), msg);
 		}
diff --git a/src/TextClass.cpp b/src/TextClass.cpp
index 00558d5862..32976c35d7 100644
--- a/src/TextClass.cpp
+++ b/src/TextClass.cpp
@@ -268,6 +268,29 @@ bool TextClass::convertLayoutFormat(support::FileName const & filename, ReadType
 }
 
 
+std::string TextClass::convert(std::string const & str)
+{
+	FileName const fn = FileName::tempName("locallayout");
+	ofstream os(fn.toFilesystemEncoding().c_str());
+	os << str;
+	os.close();
+	FileName const tempfile = FileName::tempName("convert_locallayout");
+	bool success = layout2layout(fn, tempfile);
+	if (!success)
+		return "";
+	ifstream is(tempfile.toFilesystemEncoding().c_str());
+	string ret;
+	string tmp;
+	while (!is.eof()) {
+		getline(is, tmp);
+		ret += tmp + '\n';
+	}
+	is.close();
+	tempfile.removeFile();
+	return ret;
+}
+
+
 TextClass::ReturnValues TextClass::readWithoutConv(FileName const & filename, ReadType rt)
 {
 	if (!filename.isReadableFile()) {
@@ -303,23 +326,21 @@ bool TextClass::read(FileName const & filename, ReadType rt)
 		return retval == OK;
 
 	bool const worx = convertLayoutFormat(filename, rt);
-	if (!worx) {
+	if (!worx)
 		LYXERR0 ("Unable to convert " << filename << 
 			" to format " << LAYOUT_FORMAT);
-		return false;
-	}
-	return true;
+	return worx;
 }
 
 
-bool TextClass::validate(std::string const & str)
+TextClass::ReturnValues TextClass::validate(std::string const & str)
 {
 	TextClass tc;
 	return tc.read(str, VALIDATION);
 }
 
 
-bool TextClass::read(std::string const & str, ReadType rt) 
+TextClass::ReturnValues TextClass::read(std::string const & str, ReadType rt)
 {
 	Lexer lexrc(textClassTags);
 	istringstream is(str);
@@ -327,14 +348,14 @@ bool TextClass::read(std::string const & str, ReadType rt)
 	ReturnValues retval = read(lexrc, rt);
 
 	if (retval != FORMAT_MISMATCH) 
-		return retval == OK;
+		return retval;
 
 	// write the layout string to a temporary file
 	FileName const tempfile = FileName::tempName("TextClass_read");
 	ofstream os(tempfile.toFilesystemEncoding().c_str());
 	if (!os) {
 		LYXERR0("Unable to create temporary file");
-		return false;
+		return ERROR;
 	}
 	os << str;
 	os.close();
@@ -344,9 +365,10 @@ bool TextClass::read(std::string const & str, ReadType rt)
 	if (!worx) {
 		LYXERR0("Unable to convert internal layout information to format " 
 			<< LAYOUT_FORMAT);
+		return ERROR;
 	}
 	tempfile.removeFile();
-	return worx;
+	return OK_OLDFORMAT;
 }
 
 
diff --git a/src/TextClass.h b/src/TextClass.h
index f3d2197278..24ee2aa1f2 100644
--- a/src/TextClass.h
+++ b/src/TextClass.h
@@ -153,19 +153,23 @@ public:
 	/// return values for read()
 	enum ReturnValues {
 		OK,
+		OK_OLDFORMAT,
 		ERROR,
 		FORMAT_MISMATCH
 	};
 
 	/// Performs the read of the layout file.
 	/// \return true on success.
+	// FIXME Should return ReturnValues....
 	bool read(support::FileName const & filename, ReadType rt = BASECLASS);
 	///
-	bool read(std::string const & str, ReadType rt = BASECLASS);
+	ReturnValues read(std::string const & str, ReadType rt = MODULE);
 	///
 	ReturnValues read(Lexer & lex, ReadType rt = BASECLASS);
 	/// validates the layout information passed in str
-	static bool validate(std::string const & str);
+	static ReturnValues validate(std::string const & str);
+	///
+	static std::string convert(std::string const & str);
 
 	///////////////////////////////////////////////////////////////////
 	// loading
diff --git a/src/frontends/qt4/GuiDocument.cpp b/src/frontends/qt4/GuiDocument.cpp
index 05414d4039..6089bc8829 100644
--- a/src/frontends/qt4/GuiDocument.cpp
+++ b/src/frontends/qt4/GuiDocument.cpp
@@ -537,6 +537,7 @@ LocalLayout::LocalLayout() : current_id_(0), is_valid_(false)
 {
 	connect(locallayoutTE, SIGNAL(textChanged()), this, SLOT(textChanged()));
 	connect(validatePB, SIGNAL(clicked()), this, SLOT(validatePressed()));
+	connect(convertPB, SIGNAL(clicked()), this, SLOT(convertPressed()));
 }
 
 
@@ -567,8 +568,30 @@ void LocalLayout::textChanged()
 	static const QString unknown = qt_("Press button to check validity...");
 
 	is_valid_ = false;
-	infoLB->setText(unknown);
+	validLB->setText(unknown);
 	validatePB->setEnabled(true);
+	convertPB->setEnabled(false);
+	changed();
+}
+
+
+void LocalLayout::convert() {
+	string const layout =
+		fromqstr(locallayoutTE->document()->toPlainText().trimmed());
+	string const newlayout = TextClass::convert(layout);
+	LYXERR0(newlayout);
+	if (newlayout.empty()) {
+		Alert::error(_("Conversion Failed!"),
+		      _("Failed to convert local layout to current format."));
+	} else {
+		locallayoutTE->setPlainText(toqstr(newlayout));
+	}
+	validate();
+}
+
+
+void LocalLayout::convertPressed() {
+	convert();
 	changed();
 }
 
@@ -587,12 +610,25 @@ void LocalLayout::validate() {
 		fromqstr(locallayoutTE->document()->toPlainText().trimmed());
 	if (layout.empty()) {
 		is_valid_ = true;
-		infoLB->setText("");
+		validatePB->setEnabled(false);
+		validLB->setText("");
+		convertPB->hide();
+		convertLB->hide();
 	} else {
-		is_valid_ = TextClass::validate(layout);
-		infoLB->setText(is_valid_ ? vtext : ivtext);
+		TextClass::ReturnValues const ret = TextClass::validate(layout);
+		is_valid_ = (ret == TextClass::OK) || (ret == TextClass::OK_OLDFORMAT);
+		validatePB->setEnabled(false);
+		validLB->setText(is_valid_ ? vtext : ivtext);
+		if (ret == TextClass::OK_OLDFORMAT) {
+			convertPB->show();
+			convertPB->setEnabled(true);
+			convertLB->setText(qt_("Convert to current format"));
+			convertLB->show();
+		} else {
+			convertPB->hide();
+			convertLB->hide();
+		}
 	}
-	validatePB->setEnabled(false);
 }
 
 
diff --git a/src/frontends/qt4/GuiDocument.h b/src/frontends/qt4/GuiDocument.h
index b438f5f7de..1b5aad13b8 100644
--- a/src/frontends/qt4/GuiDocument.h
+++ b/src/frontends/qt4/GuiDocument.h
@@ -289,9 +289,11 @@ Q_SIGNALS:
 
 private:
 	void validate();
+	void convert();
 private Q_SLOTS:
 	void textChanged();
 	void validatePressed();
+	void convertPressed();
 
 private:
 	BufferId current_id_;
diff --git a/src/frontends/qt4/ui/LocalLayoutUi.ui b/src/frontends/qt4/ui/LocalLayoutUi.ui
index ffee557871..57ef0da37e 100644
--- a/src/frontends/qt4/ui/LocalLayoutUi.ui
+++ b/src/frontends/qt4/ui/LocalLayoutUi.ui
@@ -1,3 +1,4 @@
+<?xml version="1.0" encoding="UTF-8"?>
 <ui version="4.0">
  <class>LocalLayoutUi</class>
  <widget class="QWidget" name="LocalLayoutUi">
@@ -6,14 +7,14 @@
     <x>0</x>
     <y>0</y>
     <width>377</width>
-    <height>371</height>
+    <height>434</height>
    </rect>
   </property>
   <property name="windowTitle">
    <string/>
   </property>
   <layout class="QGridLayout" name="gridLayout">
-   <item row="0" column="0" colspan="4">
+   <item row="0" column="0" colspan="2">
     <widget class="QTextEdit" name="locallayoutTE">
      <property name="toolTip">
       <string>Document-specific layout information</string>
@@ -26,8 +27,18 @@
      </property>
     </widget>
    </item>
-   <item row="2" column="1" colspan="3">
-    <widget class="QLabel" name="infoLB">
+   <item row="1" column="0">
+    <widget class="QPushButton" name="validatePB">
+     <property name="toolTip">
+      <string/>
+     </property>
+     <property name="text">
+      <string>&amp;Validate</string>
+     </property>
+    </widget>
+   </item>
+   <item row="1" column="1">
+    <widget class="QLabel" name="validLB">
      <property name="contextMenuPolicy">
       <enum>Qt::NoContextMenu</enum>
      </property>
@@ -35,7 +46,7 @@
       <string>Errors reported in terminal.</string>
      </property>
      <property name="text">
-      <string>Press button to check validity...</string>
+      <string/>
      </property>
      <property name="alignment">
       <set>Qt::AlignCenter</set>
@@ -43,12 +54,25 @@
     </widget>
    </item>
    <item row="2" column="0">
-    <widget class="QPushButton" name="validatePB">
+    <widget class="QPushButton" name="convertPB">
+     <property name="text">
+      <string>Convert</string>
+     </property>
+    </widget>
+   </item>
+   <item row="2" column="1">
+    <widget class="QLabel" name="convertLB">
+     <property name="contextMenuPolicy">
+      <enum>Qt::NoContextMenu</enum>
+     </property>
      <property name="toolTip">
-      <string/>
+      <string>Errors reported in terminal.</string>
      </property>
      <property name="text">
-      <string>&amp;Validate</string>
+      <string/>
+     </property>
+     <property name="alignment">
+      <set>Qt::AlignCenter</set>
      </property>
     </widget>
    </item>