diff --git a/ANNOUNCE b/ANNOUNCE
index 9b15902a8..53040c665 100644
--- a/ANNOUNCE
+++ b/ANNOUNCE
@@ -51,6 +51,9 @@ version 1.4.1alpha02 [December 11, 2009]
       instead of in $prefix/include/libpng.  Also revised makefile.sco
       to put them in $prefix/include/libpng14 instead of in
       $prefix/include/libpng/libpng14.
+  Relocated png_do_chop() to its original position in pngrtran.c; the
+    change in version 1.2.41beta08 caused transparency to be handled wrong
+    in some 16-bit datastreams (Yusaku Sugai).
 
 Send comments/corrections/commendations to png-mng-implement at lists.sf.net
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diff --git a/CHANGES b/CHANGES
index 000c84c3a..e95992e02 100644
--- a/CHANGES
+++ b/CHANGES
@@ -2433,6 +2433,9 @@ version 1.4.1alpha02 [December 11, 2009]
       instead of in $prefix/include/libpng.  Also revised makefile.sco
       to put them in $prefix/include/libpng14 instead of in
       $prefix/include/libpng/libpng14.
+  Relocated png_do_chop() to its original position in pngrtran.c; the
+    change in version 1.2.41beta08 caused transparency to be handled wrong
+    in some 16-bit datastreams (Yusaku Sugai).
 
 Send comments/corrections/commendations to png-mng-implement at lists.sf.net
 (subscription required; visit
diff --git a/pngrtran.c b/pngrtran.c
index 66448adc3..03aeb2690 100644
--- a/pngrtran.c
+++ b/pngrtran.c
@@ -1,7 +1,7 @@
 
 /* pngrtran.c - transforms the data in a row for PNG readers
  *
- * Last changed in libpng 1.4.0 [December 4, 2009]
+ * Last changed in libpng 1.4.0 [December 11, 2009]
  * Copyright (c) 1998-2009 Glenn Randers-Pehrson
  * (Version 0.96 Copyright (c) 1996, 1997 Andreas Dilger)
  * (Version 0.88 Copyright (c) 1995, 1996 Guy Eric Schalnat, Group 42, Inc.)
@@ -1475,6 +1475,20 @@ png_do_read_transformations(png_structp png_ptr)
           png_ptr->gamma_shift);
 #endif
 
+#ifdef PNG_READ_16_TO_8_SUPPORTED
+#  ifdef PNG_READ_PREMULTIPLY_ALPHA_SUPPORTED
+   /* Do this after the PREMULTIPLY operation */
+   if (!(png_ptr->transformations & PNG_PREMULTIPLY_ALPHA))
+   {
+     if (png_ptr->transformations & PNG_16_TO_8)
+        png_do_chop(&(png_ptr->row_info), png_ptr->row_buf + 1);
+   }
+#  else
+   if (png_ptr->transformations & PNG_16_TO_8)
+      png_do_chop(&(png_ptr->row_info), png_ptr->row_buf + 1);
+#  endif
+#endif
+
 #ifdef PNG_READ_DITHER_SUPPORTED
    if (png_ptr->transformations & PNG_DITHER)
    {