Index: src/test/groovy/StringTest.groovy
===================================================================
--- src/test/groovy/StringTest.groovy	(revision 15021)
+++ src/test/groovy/StringTest.groovy	(working copy)
@@ -174,8 +174,8 @@
 
     void testNormalize() {
         assert "a".normalize() == "a"
-        assert "a\n".normalize() == "a"
-        assert "a\n\n".normalize() == "a\n"
+        assert "a\n".normalize() == "a\n"
+        assert "a\n\n".normalize() == "a\n\n"
         assert "a\nb\rc\r\nd".normalize() == "a\nb\nc\nd"
         assert "a\n\nb".normalize() == "a\n\nb"
     }
@@ -186,7 +186,7 @@
         assert 'a\n'.denormalize() == 'a' + LS
         assert 'a\n\n'.denormalize() == 'a' + LS + LS
         assert 'a\n\nb'.denormalize() == 'a' + LS + LS + 'b'
-        assert 'a\nb\r\nc\n\rd'.denormalize() == 'a' + LS + 'b' + LS + 'c' + LS + 'd'
+        assert 'a\nb\r\nc\n\rd'.denormalize() == 'a' + LS + 'b\r' + LS + 'c' + LS + '\rd'
     }
 
     void testSplitEqualsTokenize() {
Index: src/test/groovy/bugs/Groovy3235Bug.groovy
===================================================================
--- src/test/groovy/bugs/Groovy3235Bug.groovy	(revision 15021)
+++ src/test/groovy/bugs/Groovy3235Bug.groovy	(working copy)
@@ -2,9 +2,12 @@
 
 public class Groovy3235Bug extends GroovyTestCase {
 
-   void testBug () {
+void testBug () {
       def d = """This is one line.
-      This is another.
+
+      That was an empty line.
+      Another empty line follows.
+
       All these lines should be written.
 """
       def f = File.createTempFile("groovy.bugs.Groovy3235Bug", ".txt")
@@ -13,6 +16,10 @@
           d.eachLine { w.println it }
       }
 
-      assert d.readLines() == f.readLines()
+      def t = f.text
+
+      assert d == t.normalize()
+      
+      assert d.denormalize() == t
    }
 }
Index: src/main/org/codehaus/groovy/runtime/DefaultGroovyMethods.java
===================================================================
--- src/main/org/codehaus/groovy/runtime/DefaultGroovyMethods.java	(revision 15021)
+++ src/main/org/codehaus/groovy/runtime/DefaultGroovyMethods.java	(working copy)
@@ -9110,57 +9110,50 @@
         return readLines(new StringReader(self));
     }
 
+    static String lineSeparator = null;
+    
     /**
-     * Return a String with linefeeds denormalized to the platform specific
-     * end of line character. Algorithm used is throw away all '\r' chars
-     * and replace all '\n' chars with platform 'line.separator' char.
+     * Return a String with linefeeds replaced by the platform specific
+     * end of line character. 
      *
      * @param self a String object
      * @return the denormalized string
-     * @throws java.io.IOException if an error occurs
      * @since 1.6.0
-     * @see groovy.io.PlatformLineWriter
      */
-    public static String denormalize(String self) throws IOException {
-        StringWriter result = new StringWriter(self.length());
-        PlatformLineWriter w = new PlatformLineWriter(result, self.length());
-        try {
-            w.write(self);
-        } finally {
-            closeWithWarning(w);
+    public static String denormalize(String self) {
+        if (lineSeparator == null) {
+            StringWriter sw = new StringWriter(2);
+            try {
+                BufferedWriter bw = new BufferedWriter(sw);
+                bw.newLine();
+                bw.flush();
+                lineSeparator = sw.toString();
+            } catch (IOException ioe) {
+                lineSeparator = "\n";
+            }
         }
-        return result.toString();
+        
+        if (!lineSeparator.equals("\n")) {
+            self = self.replace("\n", lineSeparator);
+        }
+        
+        return self;
     }
 
     /**
      * Return a String with linefeeds and carriage returns normalized to linefeeds.
-     * The last trailing linefeed (after normalization) if found is removed.
      *
      * @param self a String object
      * @return the normalized string
-     * @throws java.io.IOException if an error occurs
      * @since 1.6.0
      */
-    public static String normalize(String self) throws IOException {
-        // for efficiency, we don't use: return join(readLines(self), "\n");
-        BufferedReader br = new BufferedReader(new StringReader(self));
-        StringBuilder sb = new StringBuilder(self.length());
-        boolean first = true;
-        try {
-            while (true) {
-                String line = br.readLine();
-                if (line == null) {
-                    break;
-                } else {
-                    if (first) first = false;
-                    else sb.append("\n");
-                    sb.append(line);
-                }
-            }
-        } finally {
-            closeWithWarning(br);
+    public static String normalize(String self) {
+        if (self.contains("\r")) {
+            self = self.replace("\r\n", "\n");
+            self = self.replace('\r', '\n');
         }
-        return sb.toString();
+        
+        return self;
     }
 
     /**