3 files changed, 8 insertions, 9 deletions
diff --git a/actionpack/lib/action_view/template_handlers/builder.rb b/actionpack/lib/action_view/template_handlers/builder.rb
index f76d89777a..ee02ce1a6f 100644
--- a/actionpack/lib/action_view/template_handlers/builder.rb
+++ b/actionpack/lib/action_view/template_handlers/builder.rb
@@ -11,10 +11,11 @@ module ActionView
 
       def compile(template)
         content_type_handler = (@view.send!(:controller).respond_to?(:response) ? "controller.response" : "controller")
+
         "#{content_type_handler}.content_type ||= Mime::XML\n" +
-        "xml = ::Builder::XmlMarkup.new(:indent => 2)\n" +
-        template.source +
-        "\nxml.target!\n"
+          "xml = ::Builder::XmlMarkup.new(:indent => 2)\n" +
+          template.source +
+          "\nxml.target!\n"
       end
 
       def cache_fragment(block, name = {}, options = nil)
diff --git a/actionpack/lib/action_view/template_handlers/compilable.rb b/actionpack/lib/action_view/template_handlers/compilable.rb
index 25bd0fea7f..1aef81ba1a 100644
--- a/actionpack/lib/action_view/template_handlers/compilable.rb
+++ b/actionpack/lib/action_view/template_handlers/compilable.rb
@@ -106,7 +106,7 @@ module ActionView
           locals_code << "#{key} = local_assigns[:#{key}]\n"
         end
 
-        "def #{render_symbol}(local_assigns)\n#{locals_code}#{body}\nend"
+        "def #{render_symbol}(local_assigns)\nold_output_buffer = output_buffer;#{locals_code}#{body}\nensure\nself.output_buffer = old_output_buffer\nend"
       end
 
       # Return true if the given template was compiled for a superset of the keys in local_assigns
@@ -125,4 +125,4 @@ module ActionView
 
     end
   end
-end
-\ No newline at end of file
+end
diff --git a/actionpack/lib/action_view/template_handlers/erb.rb b/actionpack/lib/action_view/template_handlers/erb.rb
index 15a9064461..ad4ccc7c42 100644
--- a/actionpack/lib/action_view/template_handlers/erb.rb
+++ b/actionpack/lib/action_view/template_handlers/erb.rb
@@ -43,13 +43,11 @@ module ActionView
       include Compilable
 
       def compile(template)
-        ::ERB.new(template.source, nil, @view.erb_trim_mode).src
+        ::ERB.new(template.source, nil, @view.erb_trim_mode, '@output_buffer').src
       end
 
       def cache_fragment(block, name = {}, options = nil) #:nodoc:
-        @view.fragment_for(block, name, options) do
-          eval(ActionView::Base.erb_variable, block.binding)
-        end
+        @view.fragment_for(block, name, options) { @view.response.template.output_buffer ||= '' }
       end
     end
   end