diff --git a/docs/formats.txt b/docs/formats.txt
index 88f67b52..6b6cf354 100644
--- a/docs/formats.txt
+++ b/docs/formats.txt
@@ -1,5 +1,5 @@
 
- Irssi's colors that you can use in text formats etc. :
+ Irssi's colors that you can use in text formats, hilights, etc. :
 
                            text            text            background
    ---------------------------------------------------------------------
@@ -23,8 +23,8 @@
  In .theme files %n works a bit differently. See default.theme
  for more information.
 
- MIRC colors that you can use when writing text to channel and with
- hilighting text:
+
+ MIRC colors that you can use when writing text to channel:
 
                foreground (fg)     background (bg)
    -------------------------------------------------------
diff --git a/docs/help/in/hilight.in b/docs/help/in/hilight.in
index 0b57fd22..2d084fad 100644
--- a/docs/help/in/hilight.in
+++ b/docs/help/in/hilight.in
@@ -6,9 +6,8 @@
    -word: <text> must match to full words
    -nick: Hilight only the nick, not the whole line (default)
    -nonick: Hilight the whole line with the hilight color.
-   -color: Print the message with <color>, it can be either
-           numeric MIRC color (see docs/formats.txt) or
-           a named english color
+   -color: Print the message with <color>. color is in %code format
+           (see docs/formats.txt)
    -level: Match only for <level> messages, default is
            publics,msgs,notices,actions
    -channels: Match only in <channels>
@@ -18,8 +17,8 @@ Examples:
 Hilight lines that have "mynick" word:
   /HILIGHT mynick
 
-Hilight lines that were written by nicks from *.fi
-  /HILIGHT -mask *!*@*.fi
+Hilight lines that were written by nicks from *.fi with bold green
+  /HILIGHT -color %G -mask *!*@*.fi
 
 For regular expressions, see `man 7 regex`.
 
diff --git a/src/core/window-item-rec.h b/src/core/window-item-rec.h
index 134726c2..5c09a5b0 100644
--- a/src/core/window-item-rec.h
+++ b/src/core/window-item-rec.h
@@ -10,6 +10,6 @@ char *name;
 
 time_t createtime;
 int data_level;
-int hilight_color, hilight_bg_color;
+char *hilight_color;
 
 #undef STRUCT_SERVER_REC
diff --git a/src/fe-common/core/fe-windows.h b/src/fe-common/core/fe-windows.h
index 3f710a27..e27897e0 100644
--- a/src/fe-common/core/fe-windows.h
+++ b/src/fe-common/core/fe-windows.h
@@ -42,7 +42,7 @@ typedef struct {
 	int history_lines, history_over_counter;
 
 	int data_level; /* current data level */
-	int hilight_color, hilight_bg_color; /* current hilight color */
+	char *hilight_color; /* current hilight color in %format */
 
 	time_t last_timestamp; /* When was last timestamp printed */
 	time_t last_line; /* When was last line printed */
diff --git a/src/fe-common/core/formats.c b/src/fe-common/core/formats.c
index a11f959c..eb554973 100644
--- a/src/fe-common/core/formats.c
+++ b/src/fe-common/core/formats.c
@@ -31,6 +31,10 @@
 #include "themes.h"
 #include "translation.h"
 
+static const char *format_backs = "04261537";
+static const char *format_fores = "kbgcrmyw";
+static const char *format_boldfores = "KBGCRMYW";
+
 static int signal_gui_print_text;
 static int hide_text_style;
 
@@ -57,9 +61,6 @@ int format_find_tag(const char *module, const char *tag)
 
 int format_expand_styles(GString *out, char format)
 {
-	static const char *backs = "04261537";
-	static const char *fores = "kbgcrmyw";
-	static const char *boldfores = "KBGCRMYW";
 	char *p;
 
 	switch (format) {
@@ -102,30 +103,30 @@ int format_expand_styles(GString *out, char format)
 		break;
 	default:
 		/* check if it's a background color */
-		p = strchr(backs, format);
+		p = strchr(format_backs, format);
 		if (p != NULL) {
 			g_string_append_c(out, 4);
 			g_string_append_c(out, FORMAT_COLOR_NOCHANGE);
-			g_string_append_c(out, (char) ((int) (p-backs)+'0'));
+			g_string_append_c(out, (char) ((int) (p-format_backs)+'0'));
 			break;
 		}
 
 		/* check if it's a foreground color */
 		if (format == 'p') format = 'm';
-		p = strchr(fores, format);
+		p = strchr(format_fores, format);
 		if (p != NULL) {
 			g_string_append_c(out, 4);
-			g_string_append_c(out, (char) ((int) (p-fores)+'0'));
+			g_string_append_c(out, (char) ((int) (p-format_fores)+'0'));
 			g_string_append_c(out, FORMAT_COLOR_NOCHANGE);
 			break;
 		}
 
 		/* check if it's a bold foreground color */
 		if (format == 'P') format = 'M';
-		p = strchr(boldfores, format);
+		p = strchr(format_boldfores, format);
 		if (p != NULL) {
 			g_string_append_c(out, 4);
-			g_string_append_c(out, (char) (8+(int) (p-boldfores)+'0'));
+			g_string_append_c(out, (char) (8+(int) (p-format_boldfores)+'0'));
 			g_string_append_c(out, FORMAT_COLOR_NOCHANGE);
 			break;
 		}
@@ -212,8 +213,7 @@ void format_create_dest(TEXT_DEST_REC *dest,
 		window_find_closest(server, target, level);
 
 	dest->hilight_priority = 0;
-        dest->hilight_color = 0;
-        dest->hilight_bg_color = 0;
+        dest->hilight_color = NULL;
 }
 
 /* Return length of text part in string (ie. without % codes) */
@@ -283,6 +283,40 @@ int format_real_length(const char *str, int len)
         return (int) (str-start);
 }
 
+char *format_string_expand(const char *text)
+{
+	GString *out;
+	char code, *ret;
+
+        g_return_val_if_fail(text != NULL, NULL);
+
+	out = g_string_new(NULL);
+
+	code = 0;
+	while (*text != '\0') {
+		if (code == '%') {
+			/* color code */
+			if (!format_expand_styles(out, *text)) {
+				g_string_append_c(out, '%');
+				g_string_append_c(out, '%');
+				g_string_append_c(out, *text);
+			}
+			code = 0;
+		} else {
+			if (*text == '%')
+				code = *text;
+			else
+				g_string_append_c(out, *text);
+		}
+
+		text++;
+	}
+
+	ret = out->str;
+	g_string_free(out, FALSE);
+	return ret;
+}
+
 static char *format_get_text_args(TEXT_DEST_REC *dest,
 				  const char *text, char **arglist)
 {
diff --git a/src/fe-common/core/formats.h b/src/fe-common/core/formats.h
index 0dd46489..fde5be01 100644
--- a/src/fe-common/core/formats.h
+++ b/src/fe-common/core/formats.h
@@ -37,7 +37,7 @@ typedef struct {
 	int level;
 
 	int hilight_priority;
-	int hilight_color, hilight_bg_color;
+	char *hilight_color;
 } TEXT_DEST_REC;
 
 int format_find_tag(const char *module, const char *tag);
@@ -49,6 +49,8 @@ int format_get_length(const char *str);
    handles %codes. */
 int format_real_length(const char *str, int len);
 
+char *format_string_expand(const char *text);
+
 char *format_get_text(const char *module, WINDOW_REC *window,
 		      void *server, const char *target,
 		      int formatnum, ...);
@@ -96,7 +98,7 @@ char *strip_codes(const char *input);
 /* send a fully parsed text string for GUI to print */
 void format_send_to_gui(TEXT_DEST_REC *dest, const char *text);
 
-#define FORMAT_COLOR_NOCHANGE	('0'-1)
+#define FORMAT_COLOR_NOCHANGE	('0'-1) /* don't change this, at least hilighting depends this value */
 
 #define FORMAT_STYLE_SPECIAL	0x60
 #define FORMAT_STYLE_UNDERLINE	(0x01 + FORMAT_STYLE_SPECIAL)
diff --git a/src/fe-common/core/hilight-text.c b/src/fe-common/core/hilight-text.c
index da7b19a7..80ca2d03 100644
--- a/src/fe-common/core/hilight-text.c
+++ b/src/fe-common/core/hilight-text.c
@@ -161,51 +161,6 @@ static HILIGHT_REC *hilight_find(const char *text, char **channels)
 	return NULL;
 }
 
-/* color name -> mirc color number */
-static int mirc_color_name(const char *name)
-{
-	static const char *names[] = {
-		"bla dbla", /* black */
-		"blu dblu", /* blue */
-		"gree dgree", /* green */
-		"r dr br lr", /* red .. um.. only one of them. */
-		"br dbr dy", /* brown / dark yello */
-		"m p dm dp", /* magenta / purple */
-		"o", /* orange */
-		"y by", /* yellow */
-		"bg lg", /* bright green */
-		"c dc", /* cyan */
-		"bc lc", /* bright cyan */
-		"bb lb", /* bright blue */
-		"bm bp lm lp", /* bright magenta/purple */
-		"dgray dgrey", /* dark grey */
-		"grey gray", /* grey */
-		"w", /* white */
-		NULL
-	};
-
-	const char *p, *pname;
-	int n, ok;
-
-	for (n = 0; names[n] != NULL; n++) {
-		pname = name; ok = TRUE;
-		for (p = names[n]; ; p++) {
-			if (*p == ' ' || *p == '\0') {
-                                if (ok) return n+1;
-				if (*p == '\0') break;
-
-				ok = TRUE;
-				pname = name;
-			} else if (toupper((int) *p) == toupper((int) *pname))
-				pname++;
-			else
-				ok = FALSE;
-		}
-	}
-
-	return -1;
-}
-
 static int hilight_match_text(HILIGHT_REC *rec, const char *text,
 			      int *match_beg, int *match_end)
 {
@@ -291,77 +246,35 @@ HILIGHT_REC *hilight_match(SERVER_REC *server, const char *channel,
         return NULL;
 }
 
-static int get_colors(const char *color, int *fg, int *bg)
+static char *hilight_get_act_color(HILIGHT_REC *rec)
 {
-	const char *p;
+	g_return_val_if_fail(rec != NULL, NULL);
 
-	if (!is_numeric(color, ','))
-                return FALSE;
-
-	*fg = atoi(color);
-        *bg = -1;
-
-	p = strchr(color, ',');
-	if (p != NULL) {
-		p++;
-		if (!is_numeric(p, '\0'))
-                        return FALSE;
-		*bg = atoi(p);
-	}
-
-        return TRUE;
+	return g_strdup(rec->act_color != NULL ? rec->act_color :
+			rec->color != NULL ? rec->color :
+			settings_get_str("hilight_act_color"));
 }
 
-char *hilight_get_color(HILIGHT_REC *rec, int activity)
+static char *hilight_get_color(HILIGHT_REC *rec)
 {
 	const char *color;
-	char number[MAX_INT_STRLEN];
-        int colornum, fg, bg;
 
 	g_return_val_if_fail(rec != NULL, NULL);
 
-	color = activity && rec->act_color != NULL ?
-		rec->act_color : rec->color;
-	if (color == NULL) {
-		color = settings_get_str(activity ? "hilight_act_color" :
-					 "hilight_color");
-	}
+	color = rec->color != NULL ? rec->color :
+		settings_get_str("hilight_color");
 
-	if (isalpha((int) *color)) {
-		/* color was specified with it's name - try to convert it */
-		colornum = mirc_color_name(color);
-		if (colornum <= 0) colornum = 16;
-
-		ltoa(number, colornum);
-		color = number;
-	}
-
-	if (get_colors(color, &fg, &bg)) {
-		return bg == -1 ? g_strdup_printf("\003%02d", fg) :
-			g_strdup_printf("\003%d,%02d", fg, bg);
-	}
-	return g_strdup(color);
+	return format_string_expand(color);
 }
 
 static void hilight_update_text_dest(TEXT_DEST_REC *dest, HILIGHT_REC *rec)
 {
-	char *color, *bgcolor;
-
 	dest->level |= MSGLEVEL_HILIGHT;
 
 	if (rec->priority > 0)
 		dest->hilight_priority = rec->priority;
 
-	color = hilight_get_color(rec, TRUE);
-	if (*color == 3) {
-		dest->hilight_color = atoi(color+1);
-                bgcolor = color+1;
-		while (*bgcolor != ',' && *bgcolor != '\0')
-			bgcolor++;
-		dest->hilight_bg_color = *bgcolor != ',' ? -1 :
-			atoi(bgcolor+1);
-	}
-	g_free(color);
+        dest->hilight_color = hilight_get_act_color(rec);
 }
 
 static void sig_print_text_stripped(TEXT_DEST_REC *dest, const char *str)
@@ -413,7 +326,7 @@ static void sig_print_text(TEXT_DEST_REC *dest, const char *str)
 	if (next_line_hilight == NULL)
                 return;
 
-	color = hilight_get_color(next_line_hilight, FALSE);
+	color = hilight_get_color(next_line_hilight);
 	next_hilight_len = next_hilight_end-next_hilight_start;
 
 	if (!next_line_hilight->word) {
@@ -482,7 +395,7 @@ char *hilight_match_nick(SERVER_REC *server, const char *channel,
 	rec = hilight_match(server, channel, nick, address,
 			    level, msg, NULL, NULL);
 	color = rec == NULL || !rec->nick ? NULL :
-		hilight_get_color(rec, FALSE);
+		hilight_get_color(rec);
 
         next_nick_hilight = rec;
 	return color;
@@ -747,8 +660,8 @@ static void read_settings(void)
 
 void hilight_text_init(void)
 {
-	settings_add_str("lookandfeel", "hilight_color", "8");
-	settings_add_str("lookandfeel", "hilight_act_color", "13");
+	settings_add_str("lookandfeel", "hilight_color", "%Y");
+	settings_add_str("lookandfeel", "hilight_act_color", "%M");
 	settings_add_str("lookandfeel", "hilight_level", "PUBLIC DCCMSGS");
 
 	next_nick_hilight = NULL;
diff --git a/src/fe-common/core/hilight-text.h b/src/fe-common/core/hilight-text.h
index 47629717..92093bb1 100644
--- a/src/fe-common/core/hilight-text.h
+++ b/src/fe-common/core/hilight-text.h
@@ -34,8 +34,6 @@ HILIGHT_REC *hilight_match(SERVER_REC *server, const char *channel,
 			   int level, const char *str,
 			   int *match_beg, int *match_end);
 
-char *hilight_get_color(HILIGHT_REC *rec, int activity);
-
 char *hilight_match_nick(SERVER_REC *server, const char *channel,
 			 const char *nick, const char *address,
 			 int level, const char *msg);
diff --git a/src/fe-common/core/printtext.c b/src/fe-common/core/printtext.c
index 7ee65626..0b4c1d0d 100644
--- a/src/fe-common/core/printtext.c
+++ b/src/fe-common/core/printtext.c
@@ -391,6 +391,11 @@ static void sig_print_text(TEXT_DEST_REC *dest, const char *text)
 	signal_emit_id(signal_print_text_finished, 1, dest->window);
 }
 
+static void sig_print_text_free(TEXT_DEST_REC *dest, const char *text)
+{
+        g_free_and_null(dest->hilight_color);
+}
+
 void printtext_multiline(void *server, const char *target, int level,
 			 const char *format, const char *text)
 {
@@ -438,6 +443,7 @@ void printtext_init(void)
 
 	read_settings();
 	signal_add("print text", (SIGNAL_FUNC) sig_print_text);
+	signal_add_last("print text", (SIGNAL_FUNC) sig_print_text_free);
 	signal_add("gui dialog", (SIGNAL_FUNC) sig_gui_dialog);
 	signal_add("setup changed", (SIGNAL_FUNC) read_settings);
 }
@@ -445,6 +451,7 @@ void printtext_init(void)
 void printtext_deinit(void)
 {
 	signal_remove("print text", (SIGNAL_FUNC) sig_print_text);
+	signal_remove("print text", (SIGNAL_FUNC) sig_print_text_free);
 	signal_remove("gui dialog", (SIGNAL_FUNC) sig_gui_dialog);
 	signal_remove("setup changed", (SIGNAL_FUNC) read_settings);
 }
diff --git a/src/fe-common/core/window-activity.c b/src/fe-common/core/window-activity.c
index c928a498..3e4cd80c 100644
--- a/src/fe-common/core/window-activity.c
+++ b/src/fe-common/core/window-activity.c
@@ -36,15 +36,15 @@ static char **hide_targets;
 static int hide_level, msg_level, hilight_level;
 
 static void window_activity(WINDOW_REC *window, int data_level,
-			    int hilight_color, int hilight_bg_color)
+			    const char *hilight_color)
 {
 	int old_data_level;
 
 	old_data_level = window->data_level;
 	if (data_level == 0 || window->data_level < data_level) {
 		window->data_level = data_level;
-		window->hilight_color = hilight_color;
-		window->hilight_bg_color = hilight_bg_color;
+                g_free_not_null(window->hilight_color);
+		window->hilight_color = g_strdup(hilight_color);
 		signal_emit("window hilight", 1, window);
 	}
 
@@ -53,15 +53,15 @@ static void window_activity(WINDOW_REC *window, int data_level,
 }
 
 static void window_item_activity(WI_ITEM_REC *item, int data_level,
-				 int hilight_color, int hilight_bg_color)
+				 const char *hilight_color)
 {
 	int old_data_level;
 
 	old_data_level = item->data_level;
 	if (data_level == 0 || item->data_level < data_level) {
 		item->data_level = data_level;
-		item->hilight_color = hilight_color;
-		item->hilight_bg_color = hilight_bg_color;
+                g_free_not_null(item->hilight_color);
+		item->hilight_color = g_strdup(hilight_color);
 		signal_emit("window item hilight", 1, item);
 	}
 
@@ -96,12 +96,10 @@ static void sig_hilight_text(TEXT_DEST_REC *dest, const char *msg)
 		item = window_item_find(dest->server, dest->target);
 		if (item != NULL) {
 			window_item_activity(item, data_level,
-					     dest->hilight_color,
-					     dest->hilight_bg_color);
+					     dest->hilight_color);
 		}
 	}
-	window_activity(dest->window, data_level,
-			dest->hilight_color, dest->hilight_bg_color);
+	window_activity(dest->window, data_level, dest->hilight_color);
 }
 
 static void sig_dehilight_window(WINDOW_REC *window)
@@ -111,9 +109,9 @@ static void sig_dehilight_window(WINDOW_REC *window)
 	g_return_if_fail(window != NULL);
 
 	if (window->data_level != 0) {
-		window_activity(window, 0, 0, 0);
+		window_activity(window, 0, NULL);
 		for (tmp = window->items; tmp != NULL; tmp = tmp->next)
-			window_item_activity(tmp->data, 0, 0, 0);
+			window_item_activity(tmp->data, 0, NULL);
 	}
 }
 
diff --git a/src/fe-text/statusbar-items.c b/src/fe-text/statusbar-items.c
index b7db9d24..a11b6bbb 100644
--- a/src/fe-text/statusbar-items.c
+++ b/src/fe-text/statusbar-items.c
@@ -226,20 +226,14 @@ static char *get_activity_list(int normal, int hilight)
                         g_string_append(str, "%W");
 			break;
 		default:
-			/*FIXME:if (window->hilight_color > 0) {
-				int bg;
-
-				bg = window->hilight_bg_color == -1 ?
-					sbar_color_background :
-					(window->hilight_bg_color << 4);
-				set_color(stdscr, bg | mirc_colors[window->hilight_color%16]);
-				g_string_append(str, "%M");
-			} else */{
-				g_string_append(str, "%M");
-			}
+			g_string_append(str, window->hilight_color == NULL ?
+					"%M" : window->hilight_color);
 			break;
 		}
-                g_string_sprintfa(str, "%d", window->refnum);
+		g_string_sprintfa(str, "%d", window->refnum);
+
+                /* make sure the background is returned to default */
+		g_string_append(str, "%n");
 	}
 
 	ret = str->len == 0 ? NULL : str->str;
diff --git a/src/perl/perl-common.c b/src/perl/perl-common.c
index 7ade85c9..02434d75 100644
--- a/src/perl/perl-common.c
+++ b/src/perl/perl-common.c
@@ -239,7 +239,7 @@ void perl_window_item_fill_hash(HV *hv, WI_ITEM_REC *item)
 
 	hv_store(hv, "createtime", 10, newSViv(item->createtime), 0);
 	hv_store(hv, "data_level", 8, newSViv(item->data_level), 0);
-	hv_store(hv, "hilight_color", 10, newSViv(item->hilight_color), 0);
+	hv_store(hv, "hilight_color", 10, new_pv(item->hilight_color), 0);
 }
 
 void perl_channel_fill_hash(HV *hv, CHANNEL_REC *channel)
diff --git a/src/perl/perl-fe.c b/src/perl/perl-fe.c
index 503db4b6..5584ca85 100644
--- a/src/perl/perl-fe.c
+++ b/src/perl/perl-fe.c
@@ -61,7 +61,7 @@ static void perl_window_fill_hash(HV *hv, WINDOW_REC *window)
 
 	hv_store(hv, "level", 5, newSViv(window->level), 0);
 	hv_store(hv, "data_level", 8, newSViv(window->data_level), 0);
-	hv_store(hv, "hilight_color", 10, newSViv(window->hilight_color), 0);
+	hv_store(hv, "hilight_color", 10, new_pv(window->hilight_color), 0);
 	hv_store(hv, "last_timestamp", 14, newSViv(window->last_timestamp), 0);
 	hv_store(hv, "last_line", 9, newSViv(window->last_line), 0);
 }