diff --git a/ChangeLog b/ChangeLog
index 63416dc5d7..e74a39ef06 100644
--- a/ChangeLog
+++ b/ChangeLog
@@ -1,3 +1,10 @@
+Fri Jan 26 23:55:56 2007  Masaki Suketa  <masaki.suketa@nifty.ne.jp>
+
+	* ext/win32ole/win32ole.c: bug fix of WIN32OLE_VARIANT when variant
+	  type is VT_BYREF|VT_VARIANT.
+	
+	* test/win32ole/test_win32ole_variant_with_ie.rb: ditto.
+
 Fri Jan 26 12:03:39 2007  Hidetoshi NAGAI  <nagai@ai.kyutech.ac.jp>
 
 	* ext/tk/lib/tk.rb (TkConfigMethod#__confinfo_cmd,
diff --git a/ext/win32ole/win32ole.c b/ext/win32ole/win32ole.c
index 57f509a82e..7fb0710205 100644
--- a/ext/win32ole/win32ole.c
+++ b/ext/win32ole/win32ole.c
@@ -80,7 +80,7 @@
 
 #define WC2VSTR(x) ole_wc2vstr((x), TRUE)
 
-#define WIN32OLE_VERSION "0.8.7"
+#define WIN32OLE_VERSION "0.8.8"
 
 typedef HRESULT (STDAPICALLTYPE FNCOCREATEINSTANCEEX)
     (REFCLSID, IUnknown*, DWORD, COSERVERINFO*, DWORD, MULTI_QI*);
@@ -1153,14 +1153,22 @@ ole_val2olevariantdata(VALUE val, VARTYPE vtype, struct olevariantdata *pvar)
         }
     } else {
         if (val == Qnil) {
-            V_VT(&(pvar->realvar)) = vtype & ~VT_BYREF;
-            V_VT(&(pvar->var)) = vtype;
-            if (vtype & VT_BYREF) {
-                ole_var2ptr_var(&(pvar->realvar), &(pvar->var));
+            if (vtype == (VT_BYREF | VT_VARIANT)) {
+                V_VARIANTREF(&(pvar->var)) = &(pvar->realvar);
+                V_VT(&(pvar->var)) = vtype;
+            } else {
+                V_VT(&(pvar->realvar)) = vtype & ~VT_BYREF;
+                V_VT(&(pvar->var)) = vtype;
+                if (vtype & VT_BYREF) {
+                    ole_var2ptr_var(&(pvar->realvar), &(pvar->var));
+                }
             }
         } else {
             ole_val2variant(val, &(pvar->realvar));
-            if (vtype & VT_BYREF) {
+            if (vtype == (VT_BYREF | VT_VARIANT)) {
+                V_VARIANTREF(&(pvar->var)) = &(pvar->realvar);
+                V_VT(&(pvar->var)) = vtype;
+            } else if (vtype & VT_BYREF) {
                 if ( (vtype & ~VT_BYREF) == V_VT(&(pvar->realvar))) {
                     ole_var2ptr_var(&(pvar->realvar), &(pvar->var));
                 } else {
@@ -2536,6 +2544,13 @@ ole_invoke(int argc, VALUE *argv, VALUE self, USHORT wFlags, BOOL is_bracket)
     }
     /* clear dispatch parameter */
     if(op.dp.cArgs > cNamedArgs) {
+        for(i = cNamedArgs; i < op.dp.cArgs; i++) {
+            n = op.dp.cArgs - i + cNamedArgs - 1;
+            param = rb_ary_entry(paramS, i-cNamedArgs);
+            if (rb_obj_is_kind_of(param, cWIN32OLE_VARIANT)) {
+                ole_val2variant(param, &realargs[n]);
+            }
+        }
         set_argv(realargs, cNamedArgs, op.dp.cArgs);
     }
     else {
@@ -6956,14 +6971,15 @@ folevariant_value(VALUE self)
     struct olevariantdata *pvar;
     VALUE val = Qnil;
     VARTYPE vt;
+    int dim;
+    VALUE args;
+    SAFEARRAY *psa;
     Data_Get_Struct(self, struct olevariantdata, pvar);
 
     val = ole_variant2val(&(pvar->var));
     vt = V_VT(&(pvar->var));
 
     if ((vt & ~VT_BYREF) == (VT_UI1|VT_ARRAY)) {
-        SAFEARRAY *psa;
-	int dim;
         if (vt & VT_BYREF) {
             psa = *V_ARRAYREF(&(pvar->var));
         } else {
@@ -6971,7 +6987,7 @@ folevariant_value(VALUE self)
         }
         dim = SafeArrayGetDim(psa);
         if (dim == 1) {
-            VALUE args = rb_ary_new3(1, rb_str_new2("C*"));
+            args = rb_ary_new3(1, rb_str_new2("C*"));
             val = rb_apply(val, rb_intern("pack"), args);
         }
     }
diff --git a/test/win32ole/test_win32ole_variant_with_ie.rb b/test/win32ole/test_win32ole_variant_with_ie.rb
new file mode 100644
index 0000000000..680f17ff54
--- /dev/null
+++ b/test/win32ole/test_win32ole_variant_with_ie.rb
@@ -0,0 +1,53 @@
+# This is test script to check WIN32OLE_VARIANT using Internet Explorer 
+begin
+  require 'win32ole'
+rescue LoadError
+end
+require 'test/unit'
+
+if defined?(WIN32OLE)
+  class TestWIN32OLE_VARIANT_WITH_IE < Test::Unit::TestCase
+    def create_temp_html
+      fso = WIN32OLE.new('Scripting.FileSystemObject')
+      dummy_file = fso.GetTempName + ".html"
+      cfolder = fso.getFolder(".")
+      f = cfolder.CreateTextFile(dummy_file)
+      f.writeLine("<html><body>This is test HTML file for Win32OLE.</body></html>")
+      f.close
+      dummy_path = cfolder.path + "\\" + dummy_file
+      dummy_path
+    end
+    def setup
+      @f = create_temp_html
+      @ie = WIN32OLE.new('InternetExplorer.Application')
+      @ie.visible = true
+      @ie.navigate("file:///#{@f}")
+      while @ie.busy
+        sleep 0.5
+      end
+    end
+    def test_variant_ref_and_argv
+      @ie.execWB(19, 0, nil, -1)
+      size = WIN32OLE::ARGV[3]
+      assert(size >= 0)
+
+      obj = WIN32OLE_VARIANT.new(nil, WIN32OLE::VARIANT::VT_VARIANT|WIN32OLE::VARIANT::VT_BYREF)
+      @ie.execWb(19, 0, nil, obj)
+      assert_equal(size, obj.value)
+      assert_equal(size, WIN32OLE::ARGV[3])
+
+      obj = WIN32OLE_VARIANT.new(-1, WIN32OLE::VARIANT::VT_VARIANT|WIN32OLE::VARIANT::VT_BYREF)
+      @ie.execWb(19, 0, nil, obj)
+      assert_equal(size, obj.value)
+      assert_equal(size, WIN32OLE::ARGV[3])
+    end
+
+    def teardown
+      File.unlink(@f)
+      if @ie
+        @ie.quit
+        @ie = nil
+      end
+    end
+  end
+end