--- a/src/share/classes/java/beans/XMLEncoder.java	Tue Oct 16 18:18:55 2012 +0400
+++ b/src/share/classes/java/beans/XMLEncoder.java	Tue Oct 16 18:30:39 2012 +0400
@@ -631,7 +631,12 @@
         }
 
         if (d.name != null) {
-            outputXML(isArgument ? "object" : "void", " idref=" + quote(d.name), value);
+            if (isArgument) {
+                writeln("<object idref=" + quote(d.name) + "/>");
+            }
+            else {
+                outputXML("void", " idref=" + quote(d.name), value);
+            }
         }
         else if (d.exp != null) {
             outputStatement(d.exp, outer, isArgument);
@@ -710,12 +715,14 @@
         }
         else {
             d.refs = 2;
-            getValueData(target).refs++;
-            List<Statement> statements = statementList(target);
-            if (!statements.contains(exp)) {
-                statements.add(exp);
+            if (d.name == null) {
+                getValueData(target).refs++;
+                List<Statement> statements = statementList(target);
+                if (!statements.contains(exp)) {
+                    statements.add(exp);
+                }
+                outputValue(target, outer, false);
             }
-            outputValue(target, outer, false);
             if (expression) {
                 outputValue(value, outer, isArgument);
             }

--- /dev/null	Thu Jan 01 00:00:00 1970 +0000
+++ b/test/java/beans/XMLEncoder/Test7169395.java	Tue Oct 16 18:30:39 2012 +0400
@@ -0,0 +1,101 @@
+/*
+ * Copyright (c) 2012, Oracle and/or its affiliates. All rights reserved.
+ * DO NOT ALTER OR REMOVE COPYRIGHT NOTICES OR THIS FILE HEADER.
+ *
+ * This code is free software; you can redistribute it and/or modify it
+ * under the terms of the GNU General Public License version 2 only, as
+ * published by the Free Software Foundation.
+ *
+ * This code is distributed in the hope that it will be useful, but WITHOUT
+ * ANY WARRANTY; without even the implied warranty of MERCHANTABILITY or
+ * FITNESS FOR A PARTICULAR PURPOSE.  See the GNU General Public License
+ * version 2 for more details (a copy is included in the LICENSE file that
+ * accompanied this code).
+ *
+ * You should have received a copy of the GNU General Public License version
+ * 2 along with this work; if not, write to the Free Software Foundation,
+ * Inc., 51 Franklin St, Fifth Floor, Boston, MA 02110-1301 USA.
+ *
+ * Please contact Oracle, 500 Oracle Parkway, Redwood Shores, CA 94065 USA
+ * or visit www.oracle.com if you need additional information or have any
+ * questions.
+ */
+
+/*
+ * @test
+ * @bug 7169395
+ * @summary Tests that array list initialized correctly
+ * @author Sergey Malenkov
+ */
+
+import java.beans.ConstructorProperties;
+import java.util.ArrayList;
+import java.util.Collection;
+import java.util.Map;
+import java.util.TreeMap;
+
+public class Test7169395 extends AbstractTest {
+
+    public static void main(String[] args) {
+        new Test7169395().test(true);
+    }
+
+    protected Object getObject() {
+        Container container = new Container();
+        container.add("test-null", null);
+        container.add("test-value", "value");
+        container.add("test-other", "other");
+        return container;
+    }
+
+    public static class Component {
+
+        private final Container container;
+        private final String name;
+        private String value;
+
+        @ConstructorProperties({ "container", "name" })
+        public Component(Container container, String name) {
+            this.container = container;
+            this.name = name;
+        }
+
+        public Container getContainer() {
+            return this.container;
+        }
+
+        public String getName() {
+            return this.name;
+        }
+
+        public String getValue() {
+            return this.value;
+        }
+
+        public void setValue(String value) {
+            this.value = value;
+        }
+    }
+
+    public static class Container {
+
+        private final Map<String, Component> map = new TreeMap<String, Component>();
+
+        public Collection<Component> getComponents() {
+            return new ArrayList<Component>(this.map.values());
+        }
+
+        public void setComponents(Collection<Component> components) {
+            this.map.clear();
+            for (Component component : components){
+                this.map.put(component.getName(), component);
+            }
+        }
+
+        public void add(String name, String value) {
+            Component list = new Component(this, name);
+            list.setValue(value);
+            this.map.put(name, list);
+        }
+    }
+}