diff --git a/activesupport/CHANGELOG b/activesupport/CHANGELOG
index cf66ee470e..98342358ab 100644
--- a/activesupport/CHANGELOG
+++ b/activesupport/CHANGELOG
@@ -1,5 +1,7 @@
 *SVN*
 
+* Don't pad remaining places with in_groups_of if specified padding value is false. [Marcel Molina Jr.]
+
 * Fix cases where empty xml nodes weren't being translated to nil in Hash.create_from_xml [Rick Olson]
 
   <written-on type="date"></written-on> # => { :type => 'date' } # WRONG
diff --git a/activesupport/lib/active_support/core_ext/array/grouping.rb b/activesupport/lib/active_support/core_ext/array/grouping.rb
index 6f28e1eb6d..fae23d4af9 100644
--- a/activesupport/lib/active_support/core_ext/array/grouping.rb
+++ b/activesupport/lib/active_support/core_ext/array/grouping.rb
@@ -3,7 +3,8 @@ module ActiveSupport #:nodoc:
     module Array #:nodoc:
       module Grouping
         # Iterate over an array in groups of a certain size, padding any remaining 
-        # slots with specified value (<tt>nil</tt> by default).
+        # slots with specified value (<tt>nil</tt> by default) unless it is
+        # <tt>false</tt>.
         # 
         # E.g.
         # 
@@ -11,10 +12,18 @@ module ActiveSupport #:nodoc:
         #   ["1", "2", "3"]
         #   ["4", "5", "6"]
         #   ["7", nil, nil]
+        #
+        #   %w(1 2 3).in_groups_of(2, '&nbsp;') {|g| p g}
+        #   ["1", "2"]
+        #   ["3", "&nbsp;"]
+        #
+        #   %w(1 2 3).in_groups_of(2, false) {|g| p g}
+        #   ["1", "2"]
+        #   ["3"]
         def in_groups_of(number, fill_with = nil, &block)
           require 'enumerator'
           collection = dup
-          collection << fill_with until collection.size.modulo(number).zero?
+          collection << fill_with until collection.size.modulo(number).zero? unless fill_with == false
           grouped_collection = [] unless block_given?
           collection.each_slice(number) do |group|
             block_given? ? yield(group) : grouped_collection << group
diff --git a/activesupport/test/core_ext/array_ext_test.rb b/activesupport/test/core_ext/array_ext_test.rb
index 955b2b30c1..64c9a8b4ff 100644
--- a/activesupport/test/core_ext/array_ext_test.rb
+++ b/activesupport/test/core_ext/array_ext_test.rb
@@ -74,11 +74,21 @@ class ArrayExtGroupingTests < Test::Unit::TestCase
   def test_group_by_pads_with_specified_values
     groups = []
 
+    ('a'..'g').to_a.in_groups_of(3, 'foo') do |group|
+      groups << group
+    end
+
+    assert_equal [%w(a b c), %w(d e f), ['g', 'foo', 'foo']], groups
+  end
+
+  def test_group_without_padding
+    groups = []
+
     ('a'..'g').to_a.in_groups_of(3, false) do |group|
       groups << group
     end
 
-    assert_equal [%w(a b c), %w(d e f), ['g', false, false]], groups
+    assert_equal [%w(a b c), %w(d e f), ['g']], groups
   end
 end