diff --git a/data/other/servers.xml b/data/other/servers.xml
index 0a044c1c2..19a00c236 100644
--- a/data/other/servers.xml
+++ b/data/other/servers.xml
@@ -369,4 +369,10 @@
   <item jid="xmpp.us" name="">
     <active port="5222"/>
   </item>
-</query>
\ No newline at end of file
+  <item jid="zloygod.serveftp.com" name="Rituko's server">
+    <active port="5222"/>
+  </item>
+  <item jid="localhost" name="Localhost">
+    <active port="5222"/>
+  </item>
+</query>
diff --git a/src/common/configpaths.py b/src/common/configpaths.py
index d3c188607..daead7794 100644
--- a/src/common/configpaths.py
+++ b/src/common/configpaths.py
@@ -87,7 +87,7 @@ def init():
 		paths.add_from_root(n, p)
 
 	paths.add('DATA', os.path.join(u'..', windowsify(u'data')))
-	paths.add('HOME', os.path.expanduser(u'~'))
+	paths.add('HOME', fse(os.path.expanduser('~')))
 	paths.add('TMP', fse(tempfile.gettempdir()))
 
 	try:
diff --git a/src/common/connection.py b/src/common/connection.py
index 42d405c9f..606725a6b 100644
--- a/src/common/connection.py
+++ b/src/common/connection.py
@@ -109,6 +109,8 @@ class Connection(ConnectionHandlers):
 		self.time_to_reconnect = None
 		if self.connected < 2: #connection failed
 			gajim.log.debug('reconnect')
+			self.connected = 1
+			self.dispatch('STATUS', 'connecting')
 			self.retrycount += 1
 			signed = self.get_signed_msg(self.status)
 			self.on_connect_auth = self._init_roster
@@ -143,8 +145,8 @@ class Connection(ConnectionHandlers):
 		if not self.on_purpose:
 			self.disconnect()
 			if gajim.config.get_per('accounts', self.name, 'autoreconnect'):
-				self.connected = 1
-				self.dispatch('STATUS', 'connecting')
+				self.connected = -1
+				self.dispatch('STATUS', 'error')
 				# this check has moved from _reconnect method
 				# do exponential backoff until 15 minutes,
 				# then small linear increase
@@ -154,7 +156,7 @@ class Connection(ConnectionHandlers):
 					self.last_time_to_reconnect *= 1.5
 				self.last_time_to_reconnect += randomsource.randint(0, 5)
 				self.time_to_reconnect = int(self.last_time_to_reconnect)
-				gajim.log.debug("Reconnect to %s in %ss", self.name, self.time_to_reconnect)
+				gajim.log.info("Reconnect to %s in %ss", self.name, self.time_to_reconnect)
 				gajim.idlequeue.set_alarm(self._reconnect_alarm,
 					self.time_to_reconnect)
 			elif self.on_connect_failure:
@@ -379,11 +381,13 @@ class Connection(ConnectionHandlers):
 			if self.on_connect_success == self._on_new_account:
 				con.RegisterDisconnectHandler(self._on_new_account)
 
+			gajim.log.info("Connecting to %s: [%s:%d]", self.name, host['host'], host['port'])
 			con.connect((host['host'], host['port']), proxy = self._proxy,
 				secure = self._secure)
 			return
 		else:
 			if not retry and self.retrycount == 0:
+				gajim.log.error("Out of hosts, giving up connecting to %s", self.name)
 				self.time_to_reconnect = None
 				if self.on_connect_failure:
 					self.on_connect_failure()
diff --git a/src/common/connection_handlers.py b/src/common/connection_handlers.py
index 20a875fd8..9d7b08af1 100644
--- a/src/common/connection_handlers.py
+++ b/src/common/connection_handlers.py
@@ -38,7 +38,7 @@ from common.commands import ConnectionCommands
 from common.pubsub import ConnectionPubSub
 
 STATUS_LIST = ['offline', 'connecting', 'online', 'chat', 'away', 'xa', 'dnd',
-	'invisible']
+	'invisible', 'error']
 # kind of events we can wait for an answer
 VCARD_PUBLISHED = 'vcard_published'
 VCARD_ARRIVED = 'vcard_arrived'
diff --git a/src/common/gajim.py b/src/common/gajim.py
index 91e6eab8e..78354108d 100644
--- a/src/common/gajim.py
+++ b/src/common/gajim.py
@@ -121,7 +121,7 @@ sleeper_state = {} # whether we pass auto away / xa or not
 status_before_autoaway = {}
 
 SHOW_LIST = ['offline', 'connecting', 'online', 'chat', 'away', 'xa', 'dnd',
-	'invisible']
+	'invisible', 'error']
 
 # zeroconf account name
 ZEROCONF_ACC_NAME = 'Local'
diff --git a/src/gajim.py b/src/gajim.py
index 2209623e9..fcc0d1f76 100755
--- a/src/gajim.py
+++ b/src/gajim.py
@@ -2157,6 +2157,10 @@ if __name__ == '__main__':
 	# ^C exits the application normally to delete pid file
 	signal.signal(signal.SIGINT, sigint_cb)
 
+	if gajim.verbose:
+		print >> sys.stderr, "Encodings: d:%s, fs:%s, p:%s" % \
+		(sys.getdefaultencoding(), sys.getfilesystemencoding(), locale.getpreferredencoding())
+
 	if os.name != 'nt':
 		# Session Management support
 		try: