diff --git a/vp8/encoder/encodeframe.c b/vp8/encoder/encodeframe.c
index f06a4ca88..d949631e8 100644
--- a/vp8/encoder/encodeframe.c
+++ b/vp8/encoder/encodeframe.c
@@ -1166,7 +1166,7 @@ int vp8cx_encode_intra_macro_block(VP8_COMP *cpi, MACROBLOCK *x, TOKENEXTRA **t)
 
         Error16x16 = vp8_rd_pick_intra16x16mby_mode(cpi, x, &rate16x16, &rate16x16_tokenonly, &dist16x16);
 
-        Error4x4 = vp8_rd_pick_intra4x4mby_modes(cpi, x, &rate4x4, &rate4x4_tokenonly, &dist4x4);
+        Error4x4 = vp8_rd_pick_intra4x4mby_modes(cpi, x, &rate4x4, &rate4x4_tokenonly, &dist4x4, Error16x16);
 
         rate += (Error4x4 < Error16x16) ? rate4x4 : rate16x16;
     }
diff --git a/vp8/encoder/rdopt.c b/vp8/encoder/rdopt.c
index ea21cf452..632bca419 100644
--- a/vp8/encoder/rdopt.c
+++ b/vp8/encoder/rdopt.c
@@ -584,7 +584,7 @@ static void macro_block_yrd( MACROBLOCK *mb,
     *Rate = vp8_rdcost_mby(mb);
 }
 
-static void rd_pick_intra4x4block(
+static int rd_pick_intra4x4block(
     VP8_COMP *cpi,
     MACROBLOCK *x,
     BLOCK *be,
@@ -650,16 +650,20 @@ static void rd_pick_intra4x4block(
     b->bmi.mode = (B_PREDICTION_MODE)(*best_mode);
     vp8_encode_intra4x4block_rd(IF_RTCD(&cpi->rtcd), x, be, b, b->bmi.mode);
 
+    return best_rd;
+
 }
 
 
-int vp8_rd_pick_intra4x4mby_modes(VP8_COMP *cpi, MACROBLOCK *mb, int *Rate, int *rate_y, int *Distortion)
+int vp8_rd_pick_intra4x4mby_modes(VP8_COMP *cpi, MACROBLOCK *mb, int *Rate,
+                                  int *rate_y, int *Distortion, int best_rd)
 {
     MACROBLOCKD *const xd = &mb->e_mbd;
     int i;
     int cost = mb->mbmode_cost [xd->frame_type] [B_PRED];
     int distortion = 0;
     int tot_rate_y = 0;
+    int total_rd = 0;
     ENTROPY_CONTEXT_PLANES t_above, t_left;
     ENTROPY_CONTEXT *ta;
     ENTROPY_CONTEXT *tl;
@@ -681,7 +685,7 @@ int vp8_rd_pick_intra4x4mby_modes(VP8_COMP *cpi, MACROBLOCK *mb, int *Rate, int
         B_PREDICTION_MODE UNINITIALIZED_IS_SAFE(best_mode);
         int UNINITIALIZED_IS_SAFE(r), UNINITIALIZED_IS_SAFE(ry), UNINITIALIZED_IS_SAFE(d);
 
-        rd_pick_intra4x4block(
+        total_rd += rd_pick_intra4x4block(
             cpi, mb, mb->block + i, xd->block + i, &best_mode, A, L,
             ta + vp8_block2above[i],
             tl + vp8_block2left[i], &r, &ry, &d);
@@ -690,8 +694,14 @@ int vp8_rd_pick_intra4x4mby_modes(VP8_COMP *cpi, MACROBLOCK *mb, int *Rate, int
         distortion += d;
         tot_rate_y += ry;
         mic->bmi[i].mode = xd->block[i].bmi.mode = best_mode;
+
+        if(total_rd >= best_rd)
+          break;
     }
 
+    if(total_rd >= best_rd)
+      return INT_MAX;
+
     *Rate = cost;
     *rate_y += tot_rate_y;
     *Distortion = distortion;
@@ -1960,15 +1970,28 @@ int vp8_rd_pick_inter_mode(VP8_COMP *cpi, MACROBLOCK *x, int recon_yoffset, int
         switch (this_mode)
         {
         case B_PRED:
+        {
+            int tmp_rd;
+
             // Note the rate value returned here includes the cost of coding the BPRED mode : x->mbmode_cost[x->e_mbd.frame_type][BPRED];
-            vp8_rd_pick_intra4x4mby_modes(cpi, x, &rate, &rate_y, &distortion);
+            tmp_rd = vp8_rd_pick_intra4x4mby_modes(cpi, x, &rate, &rate_y, &distortion, best_yrd);
             rate2 += rate;
             distortion2 += distortion;
-            rate2 += uv_intra_rate;
-            rate_uv = uv_intra_rate_tokenonly;
-            distortion2 += uv_intra_distortion;
-            distortion_uv = uv_intra_distortion;
-            break;
+
+            if(tmp_rd < best_yrd)
+            {
+                rate2 += uv_intra_rate;
+                rate_uv = uv_intra_rate_tokenonly;
+                distortion2 += uv_intra_distortion;
+                distortion_uv = uv_intra_distortion;
+            }
+            else
+            {
+                this_rd = INT_MAX;
+                disable_skip = 1;
+            }
+        }
+        break;
 
         case SPLITMV:
         {
diff --git a/vp8/encoder/rdopt.h b/vp8/encoder/rdopt.h
index d87440998..72ba9a0b5 100644
--- a/vp8/encoder/rdopt.h
+++ b/vp8/encoder/rdopt.h
@@ -12,7 +12,7 @@
 #ifndef __INC_RDOPT_H
 #define __INC_RDOPT_H
 void vp8_initialize_rd_consts(VP8_COMP *cpi, int Qvalue);
-int vp8_rd_pick_intra4x4mby_modes(VP8_COMP *cpi, MACROBLOCK *mb, int *rate, int *rate_to, int *distortion);
+int vp8_rd_pick_intra4x4mby_modes(VP8_COMP *cpi, MACROBLOCK *mb, int *rate, int *rate_to, int *distortion, int best_rd);
 int vp8_rd_pick_intra16x16mby_mode(VP8_COMP *cpi, MACROBLOCK *x, int *returnrate, int *rate_to, int *returndistortion);
 int vp8_rd_pick_intra_mbuv_mode(VP8_COMP *cpi, MACROBLOCK *x, int *rate, int *rate_to, int *distortion);
 extern int vp8_rd_pick_inter_mode(VP8_COMP *cpi, MACROBLOCK *x, int recon_yoffset, int recon_uvoffset, int *returnrate, int *returndistortion, int *returnintra);