Index: test/unit/helpers/application_helper_test.rb
===================================================================
--- test/unit/helpers/application_helper_test.rb	(revision 2594)
+++ test/unit/helpers/application_helper_test.rb	(working copy)
@@ -50,7 +50,7 @@
       '(see "inline link":http://www.foo.bar/Test)' => '(see <a href="http://www.foo.bar/Test" class="external">inline link</a>)',
       '(see "inline link":http://www.foo.bar/Test).' => '(see <a href="http://www.foo.bar/Test" class="external">inline link</a>).',
       'www.foo.bar' => '<a class="external" href="http://www.foo.bar">www.foo.bar</a>',
-      'http://foo.bar/page?p=1&t=z&s=' => '<a class="external" href="http://foo.bar/page?p=1&#38;t=z&#38;s=">http://foo.bar/page?p=1&#38;t=z&#38;s=</a>',
+      'http://foo.bar/page?p=1&t=z&s=' => '<a class="external" href="http://foo.bar/page?p=1&t=z&s=">http://foo.bar/page?p=1&t=z&s=</a>',
       'http://foo.bar/page#125' => '<a class="external" href="http://foo.bar/page#125">http://foo.bar/page#125</a>',
       'http://foo@www.bar.com' => '<a class="external" href="http://foo@www.bar.com">http://foo@www.bar.com</a>',
       'http://foo:bar@www.bar.com' => '<a class="external" href="http://foo:bar@www.bar.com">http://foo:bar@www.bar.com</a>',
Index: lib/redcloth3.rb
===================================================================
--- lib/redcloth3.rb	(revision 2594)
+++ lib/redcloth3.rb	(working copy)
@@ -309,7 +309,8 @@
         retrieve text
 
         text.gsub!( /<\/?notextile>/, '' )
-        text.gsub!( /x%x%/, '&#38;' )
+        ### Disabled as it just bugs in pre/code blocks!!
+        #text.gsub!( /x%x%/, '&#38;' )
         clean_html text if filter_html
         text.strip!
         text
@@ -968,8 +969,10 @@
         ## turn any incoming ampersands into a dummy character for now.
         ## This uses a negative lookahead for alphanumerics followed by a semicolon,
         ## implying an incoming html entity, to be skipped
-
-        text.gsub!( /&(?![#a-z0-9]+;)/i, "x%x%" )
+        
+        ### Disabled as it just bugs in pre/code blocks
+        ### try: blah.map(&:test) in a code block...
+        #text.gsub!( /&(?![#a-z0-9]+;)/i, "x%x%" )
     end
 
     def no_textile( text ) 
@@ -1050,7 +1053,7 @@
             codepre, used_offtags = 0, {}
             text.gsub!( OFFTAG_MATCH ) do |line|
                 if $3
-                    offtag, aftertag = $4, $5
+                    first, offtag, aftertag = $3, $4, $5
                     codepre += 1
                     used_offtags[offtag] = true
                     if codepre - used_offtags.length > 0
@@ -1058,9 +1061,13 @@
                         @pre_list.last << line
                         line = ""
                     else
-                        htmlesc( aftertag, :NoQuotes ) if aftertag
+                        ### htmlesc is disabled between CODE tags which will be parsed with highlighter
+                        ### Regexp in formatter.rb is : /<code\s+class="(\w+)">\s?(.+)/m
+                        ### NB: some changes were made not to use $N variables, because we use "match" 
+                        ###   and it breaks following lines
+                        htmlesc( aftertag, :NoQuotes ) if (aftertag && !first.match(/<code\s+class="(\w+)">/))
                         line = "<redpre##{ @pre_list.length }>"
-                        $3.match(/<#{ OFFTAGS }([^>]*)>/)
+                        first.match(/<#{ OFFTAGS }([^>]*)>/)
                         tag = $1
                         $2.to_s.match(/(class\=\S+)/i)
                         tag << " #{$1}" if $1