diff --git a/indra/newview/llconversationview.cpp b/indra/newview/llconversationview.cpp
index 7c9027d1b50ca54c376016cbd3f3f1744aebd33e..71346b4b43c6ffa72c9be193cdceb2c316a9ced6 100644
--- a/indra/newview/llconversationview.cpp
+++ b/indra/newview/llconversationview.cpp
@@ -249,8 +249,8 @@ BOOL LLConversationViewSession::postBuild()
 		}
 		case LLConversationItem::CONV_SESSION_NEARBY:
 		{
-			mItemPanel->getChild<LLLayoutPanel>("session_icon_panel")->setVisible(false);
-		
+			LLIconCtrl* icon = mItemPanel->getChild<LLIconCtrl>("nearby_chat_icon");
+			icon->setVisible(true);
 			mSpeakingIndicator->setSpeakerId(gAgentID, LLUUID::null, true);
 			mIsInActiveVoiceChannel = true;
 			if(LLVoiceClient::instanceExists())
diff --git a/indra/newview/llfloaterimsessiontab.cpp b/indra/newview/llfloaterimsessiontab.cpp
index 492f63a700c7508bb573fe6becd0e7223fc01021..e7f428c06a7e9ee0477108dd2fd6ee126dacc014 100644
--- a/indra/newview/llfloaterimsessiontab.cpp
+++ b/indra/newview/llfloaterimsessiontab.cpp
@@ -48,6 +48,7 @@
 
 const F32 REFRESH_INTERVAL = 1.0f;
 const std::string ICN_GROUP("group_chat_icon");
+const std::string ICN_NEARBY("nearby_chat_icon");
 const std::string ICN_AVATAR("avatar_icon");
 
 void cb_group_do_nothing()
@@ -346,8 +347,6 @@ BOOL LLFloaterIMSessionTab::postBuild()
 
 	assignResizeLimits();
 
-	getChild<LLLayoutPanel>("session_icon_layout_panel")->setVisible(mSessionID.notNull());
-
 	return result;
 }
 
@@ -727,6 +726,15 @@ void LLFloaterIMSessionTab::updateChatIcon(const LLUUID& id)
 			icon->setValue(id);
 		}
 	}
+	else
+	{
+		if (mIsNearbyChat)
+		{
+			LLIconCtrl* icon = getChild<LLIconCtrl>(ICN_NEARBY);
+			icon->setVisible(true);
+		}
+	}
+
 }
 
 void LLFloaterIMSessionTab::hideAllStandardButtons()
diff --git a/indra/newview/skins/default/textures/icons/nearby_chat_icon.png b/indra/newview/skins/default/textures/icons/nearby_chat_icon.png
index 2cb577776da8403e0b09ae1c9fe9a3af43dee90f..5ac4258b9da117d316a5abf15c405d136a19fd48 100644
Binary files a/indra/newview/skins/default/textures/icons/nearby_chat_icon.png and b/indra/newview/skins/default/textures/icons/nearby_chat_icon.png differ
diff --git a/indra/newview/skins/default/xui/en/floater_im_session.xml b/indra/newview/skins/default/xui/en/floater_im_session.xml
index f61e5f1acc9b3c0adbce40dccbd0d658c88c3d17..15f02ab9c35f3ab925a733185fc9d1a69b23b0f5 100644
--- a/indra/newview/skins/default/xui/en/floater_im_session.xml
+++ b/indra/newview/skins/default/xui/en/floater_im_session.xml
@@ -265,33 +265,38 @@
                  bottom="-1"
                  left="0"
                  right="-1">
-                    <layout_panel
-                     auto_resize="false"
-                     name="session_icon_layout_panel"
-                     width="24">
-                      <avatar_icon
-                       follows="left|bottom"
-                       name="avatar_icon"
-                       height="20"
-                       default_icon_name="Generic_Person"
-                       layout="topleft"
-                       left="3"
-                       bottom="-9"
-                       visible="false"
-                       width="20" />
-                      <group_icon
-                       follows="left|bottom"
-                       name="group_chat_icon"
-                       height="20"
-                       default_icon_name="Generic_Group"
-                       layout="topleft"
-                       left="3"
-                       bottom="-9"
-                       visible="false"
-                       width="20" />
-                    </layout_panel>
                     <layout_panel
                      name="input_editor_layout_panel">
+                        <avatar_icon
+                         follows="left|bottom"
+                         name="avatar_icon"
+                         height="20"
+                         default_icon_name="Generic_Person"
+                         layout="topleft"
+                         left="3"
+                         bottom="-9"
+                         visible="false"
+                         width="20" />
+                        <group_icon
+                         follows="left|bottom"
+                         name="group_chat_icon"
+                         height="20"
+                         default_icon_name="Generic_Group"
+                         layout="topleft"
+                         left="3"
+                         bottom="-9"
+                         visible="false"
+                         width="20" />
+                        <icon
+                         follows="left|bottom"
+                         height="20"
+                         image_name="Nearby_chat_icon"
+                         layout="topleft"
+                         left="3"
+                         bottom="-9"
+                         name="nearby_chat_icon"
+                         visible="false"
+                         width="20"/>
                         <chat_editor
                          layout="topleft"
                          expand_lines_count="5"
@@ -305,7 +310,7 @@
                          spellcheck="true"
                          tab_group="3"
                          bottom="-8"
-                         left="5"
+                         left_pad="5"
                          right="-5"
                          wrap="true" />
                     </layout_panel>
diff --git a/indra/newview/skins/default/xui/en/panel_conversation_list_item.xml b/indra/newview/skins/default/xui/en/panel_conversation_list_item.xml
index 3be2beb0aa00ed2b2b174cb82028be53d00bbfd0..4372cf69bf208029e88c52361ea6e21d6c48cce5 100644
--- a/indra/newview/skins/default/xui/en/panel_conversation_list_item.xml
+++ b/indra/newview/skins/default/xui/en/panel_conversation_list_item.xml
@@ -6,41 +6,45 @@
  name="conversation_list_item"
  mouse_opaque="false"
  width="120">
-
+    <avatar_icon
+     follows="top|left"
+     height="20"
+     default_icon_name="Generic_Person"
+     layout="topleft"
+     left="9"
+     top="2"
+     visible="false"
+     width="20" />
+    <group_icon
+     follows="top|left"
+     height="20"
+     default_icon_name="Generic_Group"
+     layout="topleft"
+     left="9"
+     top="2"
+     visible="false"
+     width="20" />
+    <icon
+     follows="top|left"
+     height="20"
+     image_name="Nearby_chat_icon"
+     layout="topleft"
+     left="10"
+     name="nearby_chat_icon"
+     top="3"
+     visible="false"
+     width="20"/>
     <layout_stack
      animate="false"
      follows="all"
      height="24"
      layout="topleft"
-     left="9"
+     left="30"
      mouse_opaque="false"
      name="conversation_item_stack"
      orientation="horizontal"
      top="0"
-     width="109">
-      <layout_panel
-        auto_resize="false"
-        name="session_icon_panel"
-        width="24">
-        <avatar_icon
-         follows="top|left"
-         height="20"
-         default_icon_name="Generic_Person"
-         layout="topleft"
-         left="0"
-         top="2"
-         visible="false"
-         width="20" />
-        <group_icon
-         follows="top|left"
-         height="20"
-         default_icon_name="Generic_Group"
-         layout="topleft"
-         left="0"
-         top="2"
-         visible="false"
-         width="20" />
-        </layout_panel>
+     width="90">
         <layout_panel
          auto_resize="false"
          user_resize="false"