diff --git a/ChangeLog b/ChangeLog
index 7947ce1074..29a1b4ebc6 100644
--- a/ChangeLog
+++ b/ChangeLog
@@ -1,3 +1,11 @@
+2008-10-22  Sven Neumann  <sven@gimp.org>
+
+	Bug 556741 – Alpha layer automatically added (in psd format) but
+	not desired
+
+	* plug-ins/file-psd/psd-save.c: applied patch from Dennis Ranke
+	that flattens the projection for indexed images.
+
 2008-10-22  Sven Neumann  <sven@gimp.org>
 
 	* app/core/gimpimagefile.c
diff --git a/plug-ins/file-psd/psd-save.c b/plug-ins/file-psd/psd-save.c
index 8192e7cc82..ec656396b8 100644
--- a/plug-ins/file-psd/psd-save.c
+++ b/plug-ins/file-psd/psd-save.c
@@ -1544,6 +1544,11 @@ create_merged_image (gint32 image_id)
       if (! transparency_found)
         gimp_layer_flatten (projection);
     }
+  else
+    {
+      if (gimp_drawable_has_alpha (projection))
+        gimp_layer_flatten (projection);  /* PSDs don't support transparency information in indexed images*/
+    }
 
   return projection;
 }