diff --git a/app/assets/stylesheets/sections/events.scss b/app/assets/stylesheets/sections/events.scss
index 28551d9a..71042644 100644
--- a/app/assets/stylesheets/sections/events.scss
+++ b/app/assets/stylesheets/sections/events.scss
@@ -31,7 +31,6 @@
  *
  */
 .event-item {
-  min-height: 40px;
   border-bottom: 1px solid #eee;
   .event-title {
     color: #333;
@@ -50,14 +49,18 @@
     }
   }
   .avatar {
-    width: 32px;
+    position: relative;
+    top: -3px;
   }
   .event_icon {
+    position: relative;
     float: right;
     border: 1px solid #EEE;
     padding: 5px;
     @include border-radius(5px);
     background: #F9F9F9;
+    margin-left: 10px;
+    top: -6px;
     img {
       width: 20px;
     }
@@ -71,7 +74,7 @@
     }
   }
 
-  padding: 15px 5px;
+  padding: 16px 5px;
   &:last-child { border:none }
   .wll:hover { background:none }
 
diff --git a/app/controllers/milestones_controller.rb b/app/controllers/milestones_controller.rb
index 276317d1..a0c824e8 100644
--- a/app/controllers/milestones_controller.rb
+++ b/app/controllers/milestones_controller.rb
@@ -43,6 +43,7 @@ class MilestonesController < ProjectResourceController
 
   def create
     @milestone = @project.milestones.new(params[:milestone])
+    @milestone.author_id_of_changes = current_user.id
 
     if @milestone.save
       redirect_to project_milestone_path(@project, @milestone)
@@ -52,7 +53,7 @@ class MilestonesController < ProjectResourceController
   end
 
   def update
-    @milestone.update_attributes(params[:milestone])
+    @milestone.update_attributes(params[:milestone].merge(author_id_of_changes: current_user.id))
 
     respond_to do |format|
       format.js
diff --git a/app/models/event.rb b/app/models/event.rb
index 2b92783c..90376e73 100644
--- a/app/models/event.rb
+++ b/app/models/event.rb
@@ -15,6 +15,7 @@
 #
 
 class Event < ActiveRecord::Base
+  include NoteEvent
   include PushEvent
 
   attr_accessible :project, :action, :data, :author_id, :project_id,
@@ -58,12 +59,14 @@ class Event < ActiveRecord::Base
     end
   end
 
-  # Next events currently enabled for system
-  #  - push
-  #  - new issue
-  #  - merge request
-  def allowed?
-    push? || issue? || merge_request? || membership_changed?
+  def proper?
+    if push?
+      true
+    elsif membership_changed?
+      true
+    else
+      (issue? || merge_request? || note? || milestone?) && target
+    end
   end
 
   def project_name
@@ -94,6 +97,14 @@ class Event < ActiveRecord::Base
     action == self.class::Reopened
   end
 
+  def milestone?
+    target_type == "Milestone"
+  end
+
+  def note?
+    target_type == "Note"
+  end
+
   def issue?
     target_type == "Issue"
   end
diff --git a/app/models/milestone.rb b/app/models/milestone.rb
index e700cc2f..4be08736 100644
--- a/app/models/milestone.rb
+++ b/app/models/milestone.rb
@@ -13,7 +13,8 @@
 #
 
 class Milestone < ActiveRecord::Base
-  attr_accessible :title, :description, :due_date, :closed
+  attr_accessible :title, :description, :due_date, :closed, :author_id_of_changes
+  attr_accessor :author_id_of_changes
 
   belongs_to :project
   has_many :issues
@@ -67,4 +68,8 @@ class Milestone < ActiveRecord::Base
   def open?
     !closed
   end
+
+  def author_id
+    author_id_of_changes
+  end
 end
diff --git a/app/models/note.rb b/app/models/note.rb
index da15a173..219ed9b9 100644
--- a/app/models/note.rb
+++ b/app/models/note.rb
@@ -121,4 +121,12 @@ class Note < ActiveRecord::Base
   def downvote?
     note.start_with?('-1') || note.start_with?(':-1:')
   end
+
+  def noteable_type_name
+    if noteable_type.present?
+      noteable_type.downcase
+    else
+      "wall"
+    end
+  end
 end
diff --git a/app/observers/activity_observer.rb b/app/observers/activity_observer.rb
index 48351bac..c188e572 100644
--- a/app/observers/activity_observer.rb
+++ b/app/observers/activity_observer.rb
@@ -1,18 +1,27 @@
 class ActivityObserver < ActiveRecord::Observer
-  observe :issue, :merge_request
+  observe :issue, :merge_request, :note, :milestone
 
   def after_create(record)
-    Event.create(
-      project: record.project,
-      target_id: record.id,
-      target_type: record.class.name,
-      action: Event.determine_action(record),
-      author_id: record.author_id
-    )
+    event_author_id = record.author_id
+
+    # Skip status notes
+    if record.kind_of?(Note) && record.note.include?("_Status changed to ")
+      return true
+    end
+
+    if event_author_id
+      Event.create(
+        project: record.project,
+        target_id: record.id,
+        target_type: record.class.name,
+        action: Event.determine_action(record),
+        author_id: event_author_id
+      )
+    end
   end
 
   def after_save(record)
-    if record.changed.include?("closed") 
+    if record.changed.include?("closed") && record.author_id_of_changes
       Event.create(
         project: record.project,
         target_id: record.id,
diff --git a/app/roles/note_event.rb b/app/roles/note_event.rb
new file mode 100644
index 00000000..cc6d7338
--- /dev/null
+++ b/app/roles/note_event.rb
@@ -0,0 +1,21 @@
+module NoteEvent
+  def note_commit_id
+    target.noteable_id
+  end
+
+  def note_short_commit_id
+    note_commit_id[0..8]
+  end
+
+  def note_commit?
+    target.noteable_type == "Commit"
+  end
+
+  def note_target
+    target.noteable
+  end
+
+  def note_target_id
+    target.noteable_id
+  end
+end
diff --git a/app/views/dashboard/index.atom.builder b/app/views/dashboard/index.atom.builder
index ffa15258..2bb42a65 100644
--- a/app/views/dashboard/index.atom.builder
+++ b/app/views/dashboard/index.atom.builder
@@ -7,7 +7,7 @@ xml.feed "xmlns" => "http://www.w3.org/2005/Atom", "xmlns:media" => "http://sear
   xml.updated @events.maximum(:updated_at).strftime("%Y-%m-%dT%H:%M:%SZ") if @events.any?
 
   @events.each do |event|
-    if event.allowed?
+    if event.proper?
       event = EventDecorator.decorate(event)
       xml.entry do
         event_link = event.feed_url
diff --git a/app/views/events/_event.html.haml b/app/views/events/_event.html.haml
index 2446b764..191aed07 100644
--- a/app/views/events/_event.html.haml
+++ b/app/views/events/_event.html.haml
@@ -1,15 +1,15 @@
-- if event.allowed?
+- if event.proper?
   %div.event-item
-    = event_image(event)
+    %span.cgray.right
+      #{time_ago_in_words(event.created_at)} ago.
+
     = image_tag gravatar_icon(event.author_email), class: "avatar s24"
 
     - if event.push?
       = render "events/event/push", event: event
+      .clearfix
+    - elsif event.note?
+      = render "events/event/note", event: event
     - else
       = render "events/event/common", event: event
 
-    .clearfix
-    %span.cgray.right
-      = time_ago_in_words(event.created_at)
-      ago.
-    .clearfix
diff --git a/app/views/events/event/_note.html.haml b/app/views/events/event/_note.html.haml
new file mode 100644
index 00000000..88b8532f
--- /dev/null
+++ b/app/views/events/event/_note.html.haml
@@ -0,0 +1,23 @@
+.event-title
+  %span.author_name= link_to_author event
+  %span.event_label commented on #{event.target.noteable_type_name}
+  - if event.target and event.note_target
+    - if event.note_commit?
+      = link_to event.note_short_commit_id, project_commit_path(event.project, event.note_commit_id), class: "commit_short_id"
+    - else
+      = link_to [event.project, event.note_target] do
+        %strong= truncate event.note_target_id
+
+  - else
+    %strong (deleted)
+  at
+  - if event.project
+    = link_to_project event.project
+  - else
+    = event.project_name
+
+.event-body
+  %span.hint
+    &nbsp;
+    %i.icon-comment
+    = truncate event.target.note, length: 70
diff --git a/app/views/groups/show.atom.builder b/app/views/groups/show.atom.builder
index fa3bfade..9aa52ea5 100644
--- a/app/views/groups/show.atom.builder
+++ b/app/views/groups/show.atom.builder
@@ -7,7 +7,7 @@ xml.feed "xmlns" => "http://www.w3.org/2005/Atom", "xmlns:media" => "http://sear
   xml.updated @events.maximum(:updated_at).strftime("%Y-%m-%dT%H:%M:%SZ") if @events.any?
 
   @events.each do |event|
-    if event.allowed?
+    if event.proper?
       event = EventDecorator.decorate(event)
       xml.entry do
         event_link = event.feed_url
diff --git a/spec/models/event_spec.rb b/spec/models/event_spec.rb
index 49cb49db..82b46b68 100644
--- a/spec/models/event_spec.rb
+++ b/spec/models/event_spec.rb
@@ -59,7 +59,7 @@ describe Event do
     end
 
     it { @event.push?.should be_true }
-    it { @event.allowed?.should be_true }
+    it { @event.proper?.should be_true }
     it { @event.new_branch?.should be_true }
     it { @event.tag?.should be_false }
     it { @event.branch_name.should == "master" }
diff --git a/spec/observers/activity_observer_spec.rb b/spec/observers/activity_observer_spec.rb
index 0eec41f4..6af5d070 100644
--- a/spec/observers/activity_observer_spec.rb
+++ b/spec/observers/activity_observer_spec.rb
@@ -34,15 +34,17 @@ describe ActivityObserver do
     it { @event.target.should == @issue }
   end
 
-  #describe "Issue commented" do
-    #before do
-      #@issue = create(:issue, project: project)
-      #@note = create(:note, noteable: @issue, project: project)
-      #@event = Event.last
-    #end
+  describe "Issue commented" do
+    before do
+      Note.observers.enable :activity_observer do
+        @issue = create(:issue, project: project)
+        @note = create(:note, noteable: @issue, project: project, author: @issue.author)
+        @event = Event.last
+      end
+    end
 
-    #it_should_be_valid_event
-    #it { @event.action.should == Event::Commented }
-    #it { @event.target.should == @note }
-  #end
+    it_should_be_valid_event
+    it { @event.action.should == Event::Commented }
+    it { @event.target.should == @note }
+  end
 end