diff --git a/lib/Target/Mips/AsmParser/MipsAsmParser.cpp b/lib/Target/Mips/AsmParser/MipsAsmParser.cpp
index 088589fbfb1..ade60847528 100644
--- a/lib/Target/Mips/AsmParser/MipsAsmParser.cpp
+++ b/lib/Target/Mips/AsmParser/MipsAsmParser.cpp
@@ -888,7 +888,12 @@ bool MipsAsmParser::parseRelocOperand(const MCExpr *&Res) {
     if (Str == "lo") {
       Val = Val & 0xffff;
     } else if (Str == "hi") {
+      int LoSign = Val & 0x8000;
       Val = (Val & 0xffff0000) >> 16;
+      //lower part is treated as signed int, so if it is negative
+      //we must add 1 to hi part to compensate
+      if (LoSign)
+        Val++;
     }
     Res = MCConstantExpr::Create(Val, getContext());
     return false;
diff --git a/test/MC/Mips/hilo-addressing.s b/test/MC/Mips/hilo-addressing.s
new file mode 100644
index 00000000000..28459c20672
--- /dev/null
+++ b/test/MC/Mips/hilo-addressing.s
@@ -0,0 +1,11 @@
+# RUN: llvm-mc -show-encoding -triple mips-unknown-unknown %s | FileCheck %s
+
+  .ent hilo_test
+     .equ    addr, 0xdeadbeef
+# CHECK: # encoding: [0x3c,0x04,0xde,0xae]
+    lui $4,%hi(addr)
+# CHECK: # encoding: [0x03,0xe0,0x00,0x08]
+    jr  $31
+# CHECK: # encoding: [0x80,0x82,0xbe,0xef]
+    lb  $2,%lo(addr)($4)
+    .end hilo_test
diff --git a/test/MC/Mips/mips_directives.s b/test/MC/Mips/mips_directives.s
index d0a3beaeeaa..65d584dfa8a 100644
--- a/test/MC/Mips/mips_directives.s
+++ b/test/MC/Mips/mips_directives.s
@@ -1,5 +1,5 @@
-# RUN: llvm-mc -triple mips-unknown-unknown %s | FileCheck %s
-#this test produces no output so there isS no FileCheck call
+# RUN: llvm-mc -show-encoding -triple mips-unknown-unknown %s | FileCheck %s
+#
 $BB0_2:
   .ent directives_test
     .frame    $sp,0,$ra
@@ -17,4 +17,3 @@ $JTI0_0:
     .set macro
     .set reorder
     .set  at=$a0
-    .end directives_test