diff --git a/Source/Core/Common/Src/LinearDiskCache.cpp b/Source/Core/Common/Src/LinearDiskCache.cpp
index fbad27f670..96d47a3b26 100644
--- a/Source/Core/Common/Src/LinearDiskCache.cpp
+++ b/Source/Core/Common/Src/LinearDiskCache.cpp
@@ -22,7 +22,7 @@ static const char ID[4] = {'D', 'C', 'A', 'C'};
 // Update this to the current SVN revision every time you change shader generation code.
 // We don't automatically get this from SVN_REV because that would mean regenerating the
 // shader cache for every revision, graphics-related or not, which is simply annoying.
-const int version = 5597;
+const int version = 5653;
 
 LinearDiskCache::LinearDiskCache() 
 	: file_(NULL), num_entries_(0) {
diff --git a/Source/Core/VideoCommon/Src/VertexShaderGen.cpp b/Source/Core/VideoCommon/Src/VertexShaderGen.cpp
index afacb65e97..a2a096d0dd 100644
--- a/Source/Core/VideoCommon/Src/VertexShaderGen.cpp
+++ b/Source/Core/VideoCommon/Src/VertexShaderGen.cpp
@@ -270,37 +270,44 @@ const char *GenerateVertexShaderCode(u32 components, bool D3D)
             else // from color
                 WRITE(p, "lacc.w = "I_MATERIALS".C%d.w;\n", j);
         }
-        
-        if (color.enablelighting && alpha.enablelighting && (color.GetFullLightMask() != alpha.GetFullLightMask() || color.lightparams != alpha.lightparams)) {
-
-            // both have lighting, except not using the same lights
-            int mask = 0; // holds already computed lights
-
-            if (color.lightparams == alpha.lightparams && (color.GetFullLightMask() & alpha.GetFullLightMask())) {
-                // if lights are shared, compute those first
-                mask = color.GetFullLightMask() & alpha.GetFullLightMask();
-                for (int i = 0; i < 8; ++i) {
-                    if (mask & (1<<i))
-                        p = GenerateLightShader(p, i, color, "lacc", 3);
-                }
-            }
-
+		
+		if(color.enablelighting && alpha.enablelighting)
+		{
+			// both have lighting, test if they use the same ligths
+            int mask = 0;
+			if(color.lightparams == alpha.lightparams)
+			{
+				mask = color.GetFullLightMask() & alpha.GetFullLightMask();
+				if(mask)
+				{
+					for (int i = 0; i < 8; ++i) 
+					{
+						if (mask & (1<<i))
+							p = GenerateLightShader(p, i, color, "lacc", 3);
+					}
+				}
+			}
             // no shared lights
-            for (int i = 0; i < 8; ++i) {
+            for (int i = 0; i < 8; ++i) 
+			{
                 if (!(mask&(1<<i)) && (color.GetFullLightMask() & (1<<i)) )
                     p = GenerateLightShader(p, i, color, "lacc", 1);
                 if (!(mask&(1<<i)) && (alpha.GetFullLightMask() & (1<<i)) )
                     p = GenerateLightShader(p, i, alpha, "lacc", 2);
             }
-        }
-        else if (color.enablelighting || alpha.enablelighting) {
-            // either one is enabled
-            int coloralpha = (int)color.enablelighting|((int)alpha.enablelighting<<1);
-            for (int i = 0; i < 8; ++i) {
-                if (color.GetFullLightMask() & (1<<i) )
-                    p = GenerateLightShader(p, i, color.enablelighting?color:alpha, "lacc", coloralpha);
+		}
+		else if (color.enablelighting || alpha.enablelighting)
+		{
+			//ligths are disabled in one channel so proccess only te active
+			LitChannel workingchannel = color.enablelighting ? color : alpha;
+			int coloralpha = color.enablelighting ? 1 : 2;
+			for (int i = 0; i < 8; ++i) 
+			{
+                if (workingchannel.GetFullLightMask() & (1<<i))
+                    p = GenerateLightShader(p, i, workingchannel, "lacc", coloralpha);
+                
             }
-        }
+		}
 
         if (color.enablelighting != alpha.enablelighting) {
             if (color.enablelighting)
diff --git a/Source/Plugins/Plugin_VideoDX9/Src/VertexManager.cpp b/Source/Plugins/Plugin_VideoDX9/Src/VertexManager.cpp
index 48d9e97d82..083fa1af2f 100644
--- a/Source/Plugins/Plugin_VideoDX9/Src/VertexManager.cpp
+++ b/Source/Plugins/Plugin_VideoDX9/Src/VertexManager.cpp
@@ -19,6 +19,7 @@
 #include "FileUtil.h"
 
 #include "D3DBase.h"
+#include "D3DUtil.h"
 
 #include "Statistics.h"
 #include "Profiler.h"
@@ -292,25 +293,30 @@ void Flush()
 	int stride = g_nativeVertexFmt->GetVertexStride();
 	g_nativeVertexFmt->SetupVertexPointers();
 	
+	if(bpmem.dstalpha.enable && bpmem.blendmode.alphaupdate)
+	{
+		D3D::SetRenderState(D3DRS_STENCILENABLE, TRUE );
+		D3D::SetRenderState(D3DRS_STENCILFUNC,  D3DCMP_ALWAYS );
+		D3D::SetRenderState(D3DRS_STENCILPASS, D3DSTENCILOP_REPLACE );
+		D3D::SetRenderState(D3DRS_STENCILREF, 1);
+	}
+	
 	Draw(stride);
 
 	if (bpmem.dstalpha.enable && bpmem.blendmode.alphaupdate)
 	{
-		DWORD write = 0;
-		if (!PixelShaderCache::SetShader(true))
-		{
-			DEBUGGER_PAUSE_LOG_AT(NEXT_ERROR,true,{printf("Fail to set pixel shader\n");});
-			goto shader_fail;
-		}
+		
+		D3D::SetRenderState(D3DRS_STENCILFUNC,  D3DCMP_EQUAL );
+		D3D::SetRenderState(D3DRS_STENCILPASS, D3DSTENCILOP_DECR );		
 
-		// update alpha only
 		D3D::ChangeRenderState(D3DRS_COLORWRITEENABLE, D3DCOLORWRITEENABLE_ALPHA);
 		D3D::ChangeRenderState(D3DRS_ALPHABLENDENABLE, false);
-		
-		Draw(stride);
-
+		D3D::ChangeRenderState(D3DRS_ZWRITEENABLE, false);
+		D3D::drawClearQuad((bpmem.dstalpha.hex & 0xff)<<24,0.0f,PixelShaderCache::GetClearProgram(),VertexShaderCache::GetClearVertexShader());
+		D3D::RefreshRenderState(D3DRS_ZWRITEENABLE);
 		D3D::RefreshRenderState(D3DRS_COLORWRITEENABLE);
 		D3D::RefreshRenderState(D3DRS_ALPHABLENDENABLE);
+		D3D::SetRenderState(D3DRS_STENCILENABLE, false );
 	}
 	DEBUGGER_PAUSE_AT(NEXT_FLUSH,true);