diff --git a/CHANGELOG b/CHANGELOG
index 8038fffcd..f388af0fc 100644
--- a/CHANGELOG
+++ b/CHANGELOG
@@ -12,6 +12,12 @@ New features
   declarative approach with the @py.test.mark.xfail cannot
   be used as it would mark all configurations as xfail. 
 
+- issue102: introduce new --maxfail=NUM option to stop
+  test runs after NUM failures.  This is a generalization
+  of the '-x' or '--exitfirst' option which is now equivalent
+  to '--maxfail=1'.  Both '-x' and '--maxfail' will 
+  now also print a line near the end indicating the Interruption. 
+
 - issue89: allow py.test.mark decorators to be used on classes
   (class decorators were introduced with python2.6) and 
   also allow to have multiple markers applied at class/module level
@@ -41,6 +47,7 @@ Fixes / Maintenance
   - improved and unified reporting for "--tb=short" option
   - Errors during test module imports are much shorter, (using --tb=short style)
   - raises shows shorter more relevant tracebacks
+  - --fulltrace now more systematically makes traces longer / inhibits cutting
 
 - improve support for raises and other dynamically compiled code by
   manipulating python's linecache.cache instead of the previous
diff --git a/py/_plugin/pytest_default.py b/py/_plugin/pytest_default.py
index 3d3af3521..287331736 100644
--- a/py/_plugin/pytest_default.py
+++ b/py/_plugin/pytest_default.py
@@ -62,9 +62,12 @@ def pytest_report_iteminfo(item):
 
 def pytest_addoption(parser):
     group = parser.getgroup("general", "running and selection options")
-    group._addoption('-x', '--exitfirst',
-               action="store_true", dest="exitfirst", default=False,
+    group._addoption('-x', '--exitfirst', action="store_true", default=False,
+               dest="exitfirst", 
                help="exit instantly on first error or failed test."),
+    group._addoption('--maxfail', metavar="num",
+               action="store", type="int", dest="maxfail", default=0,
+               help="exit after first num failures or errors.")
     group._addoption('-k',
         action="store", dest="keyword", default='',
         help="only run test items matching the given "
@@ -89,6 +92,9 @@ def pytest_addoption(parser):
 
 def pytest_configure(config):
     setsession(config)
+    # compat
+    if config.getvalue("exitfirst"):
+        config.option.maxfail = 1
 
 def setsession(config):
     val = config.getvalue
diff --git a/py/_plugin/pytest_helpconfig.py b/py/_plugin/pytest_helpconfig.py
index 480b57d93..f5f5f7501 100644
--- a/py/_plugin/pytest_helpconfig.py
+++ b/py/_plugin/pytest_helpconfig.py
@@ -45,7 +45,7 @@ def pytest_configure(__multicall__, config):
     options = [opt for opt in options if opt._long_opts]
     options.sort(key=lambda x: x._long_opts)
     for opt in options:
-        if not opt._long_opts:
+        if not opt._long_opts or not opt.dest:
             continue
         optstrings = list(opt._long_opts) # + list(opt._short_opts)
         optstrings = filter(None, optstrings)
diff --git a/py/_plugin/pytest_terminal.py b/py/_plugin/pytest_terminal.py
index f844e7619..7ed0ca85e 100644
--- a/py/_plugin/pytest_terminal.py
+++ b/py/_plugin/pytest_terminal.py
@@ -312,12 +312,14 @@ class TerminalReporter:
         self._keyboardinterrupt_memo = excinfo.getrepr(funcargs=True)
 
     def _report_keyboardinterrupt(self):
-        self.write_sep("!", "KEYBOARD INTERRUPT")
         excrepr = self._keyboardinterrupt_memo
-        if self.config.option.verbose:
-            excrepr.toterminal(self._tw)
-        else:
-            excrepr.reprcrash.toterminal(self._tw)
+        msg = excrepr.reprcrash.message
+        self.write_sep("!", msg)
+        if "KeyboardInterrupt" in msg:
+            if self.config.getvalue("fulltrace"):
+                excrepr.toterminal(self._tw)
+            else:
+                excrepr.reprcrash.toterminal(self._tw)
 
     def _getcrashline(self, report):
         try:
diff --git a/py/_test/session.py b/py/_test/session.py
index 7f11e7508..47e93e5d2 100644
--- a/py/_test/session.py
+++ b/py/_test/session.py
@@ -20,11 +20,14 @@ Collector = py.test.collect.Collector
 
 class Session(object): 
     nodeid = ""
+    class Interrupted(KeyboardInterrupt):
+        """ signals an interrupted test run. """
+        
     def __init__(self, config):
         self.config = config
         self.pluginmanager = config.pluginmanager # shortcut 
         self.pluginmanager.register(self)
-        self._testsfailed = False
+        self._testsfailed = 0
         self._nomatch = False
         self.shouldstop = False
 
@@ -52,7 +55,7 @@ class Session(object):
                         yield x 
                 self.config.hook.pytest_collectreport(report=rep)
             if self.shouldstop:
-                break
+                raise self.Interrupted(self.shouldstop)
 
     def filteritems(self, colitems):
         """ return items to process (some may be deselected)"""
@@ -86,9 +89,11 @@ class Session(object):
         
     def pytest_runtest_logreport(self, report):
         if report.failed:
-            self._testsfailed = True
-            if self.config.option.exitfirst:
-                self.shouldstop = True
+            self._testsfailed += 1
+            maxfail = self.config.getvalue("maxfail")
+            if maxfail and self._testsfailed >= maxfail:
+                self.shouldstop = "stopping after %d failures" % (
+                    self._testsfailed)
     pytest_collectreport = pytest_runtest_logreport
 
     def sessionfinishes(self, exitstatus):
@@ -122,7 +127,8 @@ class Session(object):
 
     def _mainloop(self, colitems):
         for item in self.collect(colitems): 
-            if self.shouldstop: 
-                break 
             if not self.config.option.collectonly: 
                 item.config.hook.pytest_runtest_protocol(item=item)
+            if self.shouldstop:
+                raise self.Interrupted(self.shouldstop)
+
diff --git a/testing/plugin/test_pytest_capture.py b/testing/plugin/test_pytest_capture.py
index 9c436aaef..c3f8c2103 100644
--- a/testing/plugin/test_pytest_capture.py
+++ b/testing/plugin/test_pytest_capture.py
@@ -347,7 +347,7 @@ class TestCaptureFuncarg:
         """)
         result = testdir.runpytest(p)
         result.stdout.fnmatch_lines([
-            "*KEYBOARD INTERRUPT*"
+            "*KeyboardInterrupt*"
         ])
         assert result.ret == 2
 
diff --git a/testing/plugin/test_pytest_terminal.py b/testing/plugin/test_pytest_terminal.py
index 2e54f0b7b..00f121f04 100644
--- a/testing/plugin/test_pytest_terminal.py
+++ b/testing/plugin/test_pytest_terminal.py
@@ -17,9 +17,10 @@ def basic_run_report(item):
     return runner.call_and_report(item, "call", log=False)
 
 class Option:
-    def __init__(self, verbose=False, dist=None):
+    def __init__(self, verbose=False, dist=None, fulltrace=False):
         self.verbose = verbose
         self.dist = dist
+        self.fulltrace = fulltrace
     def _getcmdargs(self):
         l = []
         if self.verbose:
@@ -27,6 +28,8 @@ class Option:
         if self.dist:
             l.append('--dist=%s' % self.dist)
             l.append('--tx=popen')
+        if self.fulltrace:
+            l.append('--fulltrace')
         return l
     def _getcmdstring(self):
         return " ".join(self._getcmdargs())
@@ -35,6 +38,7 @@ def pytest_generate_tests(metafunc):
     if "option" in metafunc.funcargnames:
         metafunc.addcall(id="default", param=Option(verbose=False))
         metafunc.addcall(id="verbose", param=Option(verbose=True))
+        metafunc.addcall(id="fulltrace", param=Option(fulltrace=True))
         if not getattr(metafunc.function, 'nodist', False):
             metafunc.addcall(id="verbose-dist", 
                              param=Option(dist='each', verbose=True))
@@ -284,11 +288,28 @@ class TestTerminal:
             "E       assert 0",
             "*_keyboard_interrupt.py:6: KeyboardInterrupt*", 
         ])
-        if option.verbose:
+        if option.fulltrace:
             result.stdout.fnmatch_lines([
                 "*raise KeyboardInterrupt   # simulating the user*",
             ])
-        result.stdout.fnmatch_lines(['*KEYBOARD INTERRUPT*'])
+        result.stdout.fnmatch_lines(['*KeyboardInterrupt*'])
+
+    def test_maxfailures(self, testdir, option):
+        p = testdir.makepyfile("""
+            def test_1():
+                assert 0
+            def test_2():
+                assert 0
+            def test_3():
+                assert 0
+        """)
+        result = testdir.runpytest("--maxfail=2", *option._getcmdargs())
+        result.stdout.fnmatch_lines([
+            "*def test_1():*",
+            "*def test_2():*",
+            "*!! Interrupted: stopping after 2 failures*!!*",
+            "*2 failed*",
+        ])
 
     def test_pytest_report_header(self, testdir):
         testdir.makeconftest("""
diff --git a/testing/test_session.py b/testing/test_session.py
index b6e0936e2..48834098d 100644
--- a/testing/test_session.py
+++ b/testing/test_session.py
@@ -86,6 +86,16 @@ class SessionTests:
         assert failed == 1
         assert passed == skipped == 0
 
+    def test_maxfail(self, testdir): 
+        reprec = testdir.inline_runsource("""
+            def test_one(): assert 0
+            def test_two(): assert 0
+            def test_three(): assert 0
+        """, '--maxfail=2')
+        passed, skipped, failed = reprec.countoutcomes()
+        assert failed == 2
+        assert passed == skipped == 0
+
     def test_broken_repr(self, testdir):
         p = testdir.makepyfile("""
             import py