diff --git a/editor/svg-editor.css b/editor/svg-editor.css
index 9a8b99b9..97bf1601 100644
--- a/editor/svg-editor.css
+++ b/editor/svg-editor.css
@@ -121,7 +121,7 @@ div.color_block {
 	display: none;
 }
 
-#svg_editor #group_panel {
+#svg_editor #g_panel {
 	display: none;
 }
 
diff --git a/editor/svg-editor.html b/editor/svg-editor.html
index 309558d8..e1a7acd6 100644
--- a/editor/svg-editor.html
+++ b/editor/svg-editor.html
@@ -104,7 +104,7 @@
 		</select>
 	</div>
 
-	<div id="group_panel">
+	<div id="g_panel">
 		<img class="tool_sep" src="images/sep.png" alt="|"/>
 		<img class="tool_button" id="tool_ungroup" src="images/shape_ungroup.png" title="Ungroup Elements [G]" alt="Ungroup"/>
 	</div>
diff --git a/editor/svg-editor.js b/editor/svg-editor.js
index 1ae89f5a..de3b4b02 100644
--- a/editor/svg-editor.js
+++ b/editor/svg-editor.js
@@ -81,7 +81,10 @@ function svg_edit_setup() {
 
 	// updates the toolbar (colors, opacity, etc) based on the selected element
 	var updateToolbar = function() {
-		if (selectedElement != null && selectedElement.tagName != "image") { //the image thing might be a hack.
+		if (selectedElement != null && 
+			selectedElement.tagName != "image" &&
+			selectedElement.tagName != "g")
+		{
 			// get opacity values
 			var fillOpacity = parseFloat(selectedElement.getAttribute("fill-opacity"));
 			if (isNaN(fillOpacity)) {
@@ -167,7 +170,7 @@ function svg_edit_setup() {
 			return;
 		}
 		
-		$('#selected_panel, #multiselected_panel, #rect_panel, #circle_panel,\
+		$('#selected_panel, #multiselected_panel, #g_panel, #rect_panel, #circle_panel,\
 			#ellipse_panel, #line_panel, #text_panel, #image_panel').hide();
 		if (elem != null) {
 			$('#angle').val(svgCanvas.getRotationAngle(elem));
@@ -175,6 +178,7 @@ function svg_edit_setup() {
 			
 			// update contextual tools here
 			var panels = {
+				g: [],
 				rect: ['radius','x','y','width','height'],
 				image: ['x','y','width','height'],
 				circle: ['cx','cy','r'],
@@ -557,7 +561,14 @@ function svg_edit_setup() {
 	};
 	
 	var clickGroup = function(){
-		console.log("Group not implemented yet");
+		// group
+		if (multiselected) {
+			svgCanvas.groupSelectedElements();
+		}
+		// ungroup
+		else {
+			svgCanvas.ungroupSelectedElement();
+		}
 	};
 	
 	var clickClone = function(){
diff --git a/editor/svgcanvas.js b/editor/svgcanvas.js
index e8312613..f1a319ef 100644
--- a/editor/svgcanvas.js
+++ b/editor/svgcanvas.js
@@ -13,6 +13,7 @@ var svgWhiteList = {
 	"circle": ["cx", "cy", "fill", "fill-opacity", "id", "opacity", "r", "stroke", "stroke-dasharray", "stroke-opacity", "stroke-width", "transform"],
 	"defs": [],
 	"ellipse": ["cx", "cy", "fill", "fill-opacity", "id", "opacity", "rx", "ry", "stroke", "stroke-dasharray", "stroke-opacity", "stroke-width", "transform"],
+	"g": ["id", "transform"],
 	"image": ["height", "id", "opacity", "transform", "width", "x", "xlink:href", "xlink:title", "y"],
 	"line": ["fill", "fill-opacity", "id", "opacity", "stroke", "stroke-dasharray", "stroke-linecap", "stroke-opacity", "stroke-width",  "transform", "x1", "x2", "y1", "y2"],
 	"linearGradient": ["id", "gradientTransform", "gradientUnits", "spreadMethod", "x1", "x2", "y1", "y2"],
@@ -2456,7 +2457,6 @@ function BatchCommand(text) {
 	};
 
 	this.setFillColor = function(val,preventUndo) {
-		console.log('setFillColor(' + val + ')');
 		cur_properties.fill = val;
 		cur_properties.fill_paint = {type:"solidColor"};
 		// take out any path/line elements when setting fill
@@ -2840,6 +2840,8 @@ function BatchCommand(text) {
 		while (i--) {
 			var elem = elems[i];
 			if (elem == null) continue;
+			// only allow the transform attribute to change on <g> elements, slightly hacky
+			if (elem.tagName == "g" && attr != "transform") continue;
 			var oldval = attr == "#text" ? elem.textContent : elem.getAttribute(attr);
 			if (oldval == null)  oldval = "";
 			if (oldval != newValue) {
@@ -2924,7 +2926,7 @@ function BatchCommand(text) {
 	this.deleteSelectedElements = function() {
 		var batchCmd = new BatchCommand("Delete Elements");
 		var len = selectedElements.length;
-		var selectedCopy = []; //selectedElements is being delted
+		var selectedCopy = []; //selectedElements is being deleted
 		for (var i = 0; i < len; ++i) {
 			var selected = selectedElements[i];
 			if (selected == null) break;
@@ -2941,6 +2943,66 @@ function BatchCommand(text) {
 		if (!batchCmd.isEmpty()) addCommandToHistory(batchCmd);
 		call("selected", selectedCopy);
 	};
+	
+	this.groupSelectedElements = function() {
+		var batchCmd = new BatchCommand("Group Elements");
+		
+		// create and insert the group element
+		var g = addSvgElementFromJson({
+								"element": "g",
+								"attr": {
+									"id": getNextId()
+								}
+							});
+		batchCmd.addSubCommand(new InsertElementCommand(g));
+		
+		// now move all children into the group
+		var i = selectedElements.length;
+		while (i--) {
+			var elem = selectedElements[i];
+			var oldNextSibling = elem.nextSibling;
+			var oldParent = elem.parentNode;
+			g.appendChild(elem);
+			batchCmd.addSubCommand(new MoveElementCommand(elem, oldNextSibling, oldParent));			
+		}
+		if (!batchCmd.isEmpty()) addCommandToHistory(batchCmd);
+		
+		// ensure selectors are at bottom and update selection
+		selectorManager.update();
+		canvas.clearSelection();
+		canvas.addToSelection([g]);
+	};
+
+	this.ungroupSelectedElement = function() {
+		var g = selectedElements[0];
+		if (g.tagName == "g") {
+			var batchCmd = new BatchCommand("Ungroup Elements");
+			var parent = g.parentNode;
+			var anchor = g.previousSibling;
+			var children = new Array(g.childNodes.length);
+			var i = 0;
+			while (g.firstChild) {
+				var elem = g.firstChild;
+				var oldNextSibling = elem.nextSibling;
+				var oldParent = elem.parentNode;
+				children[i++] = elem = parent.insertBefore(elem, anchor);
+				batchCmd.addSubCommand(new MoveElementCommand(elem, oldNextSibling, oldParent));			
+			}
+
+			// remove the group from the selection			
+			canvas.clearSelection();
+			
+			// delete the group element (but make undo-able)
+			g = parent.removeChild(g);
+			batchCmd.addSubCommand(new RemoveElementCommand(g, parent));
+
+			if (!batchCmd.isEmpty()) addCommandToHistory(batchCmd);
+			
+			// ensure selectors are at bottom and update selection
+			selectorManager.update();
+			canvas.addToSelection(children);
+		}
+	};
 
 	this.moveToTopSelectedElement = function() {
 		var selected = selectedElements[0];