diff --git a/static/css/iframe_editor.css b/static/css/iframe_editor.css
index 7be570112..86ca99117 100644
--- a/static/css/iframe_editor.css
+++ b/static/css/iframe_editor.css
@@ -32,6 +32,23 @@ ul.list-bullet6 { list-style-type: square; }
 ul.list-bullet7 { list-style-type: disc; }
 ul.list-bullet8 { list-style-type: circle; }
 
+ul.list-indent1 { margin-left: 1.5em; }
+ul.list-indent2 { margin-left: 3em; }
+ul.list-indent3 { margin-left: 4.5em; }
+ul.list-indent4 { margin-left: 6em; }
+ul.list-indent5 { margin-left: 7.5em; }
+ul.list-indent6 { margin-left: 9em; }
+ul.list-indent7 { margin-left: 10.5em; }
+ul.list-indent8 { margin-left: 12em; }
+
+ul.list-indent1 { list-style-type: none; }
+ul.list-indent2 { list-style-type: none; }
+ul.list-indent3 { list-style-type: none; }
+ul.list-indent4 { list-style-type: none; }
+ul.list-indent5 { list-style-type: none; }
+ul.list-indent6 { list-style-type: none; }
+ul.list-indent7 { list-style-type: none; }
+ul.list-indent8 { list-style-type: none; }
 
 body {
   margin: 0;
diff --git a/static/js/ace2_inner.js b/static/js/ace2_inner.js
index 1575fc9ad..6c8ec60e0 100644
--- a/static/js/ace2_inner.js
+++ b/static/js/ace2_inner.js
@@ -3534,7 +3534,8 @@ function OUTER(gscope)
 
   function doIndentOutdent(isOut)
   {
-    if (!(rep.selStart && rep.selEnd))
+    if (!(rep.selStart && rep.selEnd) ||
+        ((rep.selStart[0] == rep.selEnd[0]) && (rep.selStart[1] == rep.selEnd[1]) &&  rep.selEnd[1] > 1))
     {
       return false;
     }
@@ -3544,25 +3545,25 @@ function OUTER(gscope)
     lastLine = Math.max(firstLine, rep.selEnd[0] - ((rep.selEnd[1] == 0) ? 1 : 0));
 
     var mods = [];
-    var foundLists = false;
     for (var n = firstLine; n <= lastLine; n++)
     {
       var listType = getLineListType(n);
+      var t = 'indent';
+      var level = 0;
       if (listType)
       {
         listType = /([a-z]+)([12345678])/.exec(listType);
         if (listType)
         {
-          foundLists = true;
-          var t = listType[1];
-          var level = Number(listType[2]);
-          var newLevel = Math.max(1, Math.min(MAX_LIST_LEVEL, level + (isOut ? -1 : 1)));
-          if (level != newLevel)
-          {
-            mods.push([n, t + newLevel]);
-          }
+          t = listType[1];
+          level = Number(listType[2]);
         }
       }
+      var newLevel = Math.max(0, Math.min(MAX_LIST_LEVEL, level + (isOut ? -1 : 1)));
+      if (level != newLevel)
+      {
+        mods.push([n, (newLevel > 0) ? t + newLevel : '']);
+      }
     }
 
     if (mods.length > 0)
@@ -3570,7 +3571,7 @@ function OUTER(gscope)
       setLineListTypes(mods);
     }
 
-    return foundLists;
+    return true;
   }
   editorInfo.ace_doIndentOutdent = doIndentOutdent;
 
@@ -5231,7 +5232,8 @@ function OUTER(gscope)
     var allLinesAreList = true;
     for (var n = firstLine; n <= lastLine; n++)
     {
-      if (!getLineListType(n))
+      var listType = getLineListType(n);
+      if (!listType || listType.slice(0, 'bullet'.length) != 'bullet')
       {
         allLinesAreList = false;
         break;
@@ -5241,8 +5243,16 @@ function OUTER(gscope)
     var mods = [];
     for (var n = firstLine; n <= lastLine; n++)
     {
+      var t = '';
+      var level = 0;
+      var listType = /([a-z]+)([12345678])/.exec(getLineListType(n));
+      if (listType)
+      {
+        t = listType[1];
+        level = Number(listType[2]);
+      }
       var t = getLineListType(n);
-      mods.push([n, allLinesAreList ? '' : (t ? t : 'bullet1')]);
+      mods.push([n, allLinesAreList ? 'indent' + level : (t ? 'bullet' + level : 'bullet1')]);
     }
     setLineListTypes(mods);
   }
diff --git a/static/js/contentcollector.js b/static/js/contentcollector.js
index a776affec..577b24c6c 100644
--- a/static/js/contentcollector.js
+++ b/static/js/contentcollector.js
@@ -473,7 +473,7 @@ function makeContentCollector(collectStyles, browser, apool, domInterface, class
           if (tname == "ul")
           {
             var type;
-            var rr = cls && /(?:^| )list-(bullet[12345678])\b/.exec(cls);
+            var rr = cls && /(?:^| )list-([a-z]+[12345678])\b/.exec(cls);
             type = rr && rr[1] || "bullet" + String(Math.min(_MAX_LIST_LEVEL, (state.listNesting || 0) + 1));
             oldListTypeOrNull = (_enterList(state, type) || 'none');
           }
diff --git a/static/pad.html b/static/pad.html
index 1186cd8e4..e56e4f169 100644
--- a/static/pad.html
+++ b/static/pad.html
@@ -50,12 +50,12 @@
   </a>
 </li>
 <li onClick="window.pad&&pad.editbarClick('indent');return false;" >
-  <a title="Indent List">
+  <a title="Indent">
     <div class="buttonicon" style="background-position:0px -52px"></div>
   </a>
 </li>
 <li onClick="window.pad&&pad.editbarClick('outdent');return false;" >
-  <a title="Unindent List">
+  <a title="Unindent">
     <div class="buttonicon" style="background-position:0px -134px"></div>
 	</a>
 </li>