diff --git a/spec/operators/last-spec.js b/spec/operators/last-spec.js
new file mode 100644
index 0000000000..e6f80b7cb3
--- /dev/null
+++ b/spec/operators/last-spec.js
@@ -0,0 +1,22 @@
+/* globals describe, it, expect, expectObservable, hot, cold */
+var Rx = require('../../dist/cjs/Rx');
+
+describe('Observable.prototype.last()', function(){
+  it('should take the last value of an observable', function(){
+    var e1 = hot('--a--^--b--c--|');
+    var expected =    '---------(c|)';
+    expectObservable(e1.last()).toBe(expected)
+  });
+  
+  it('should error on empty', function() {
+    var e1 = hot('--a--^----|');
+    var expected =    '-----#';
+    expectObservable(e1.last()).toBe(expected, null, new Rx.EmptyError());
+  });
+  
+  it('should go on forever on never', function() {
+    var e2 = hot('--^---');
+    var expected = '----';
+    expectObservable(e2.last()).toBe(expected);
+  });
+});
\ No newline at end of file
diff --git a/spec/schedulers/TestScheduler-spec.js b/spec/schedulers/TestScheduler-spec.js
index 47804a8866..d6bf7b1432 100644
--- a/spec/schedulers/TestScheduler-spec.js
+++ b/spec/schedulers/TestScheduler-spec.js
@@ -35,6 +35,25 @@ describe('TestScheduler', function() {
         { frame: 150, notification: Notification.createError('omg error!') }
       ]);
     });
+    
+    it('should default in the letter for the value if no value hash was passed', function(){
+      var result = TestScheduler.parseMarbles('--a--b--c--');
+      expect(result).toDeepEqual([
+        { frame: 20, notification: Notification.createNext('a') },
+        { frame: 50, notification: Notification.createNext('b') },
+        { frame: 80, notification: Notification.createNext('c') },
+      ])
+    });
+    
+    it('should handle grouped values', function() {
+      var result = TestScheduler.parseMarbles('---(abc)---');
+      expect(result).toDeepEqual([
+        { frame: 30, notification: Notification.createNext('a') },
+        { frame: 30, notification: Notification.createNext('b') },
+        { frame: 30, notification: Notification.createNext('c') }
+      ]);
+    });
+    
   }); 
   
   describe('createColdObservable()', function () {
diff --git a/src/Observable.ts b/src/Observable.ts
index 531ad37a78..1b3bbc139e 100644
--- a/src/Observable.ts
+++ b/src/Observable.ts
@@ -184,6 +184,8 @@ export default class Observable<T>  {
   startWith: <T>(x: T) => Observable<T>;
   debounce: <R>(dueTime: number, scheduler?: Scheduler) => Observable<R>;
   
+  last: (predicate?: (value: T, index:number) => boolean, thisArg?: any, defaultValue?: any) => Observable<T>;
+  
   filter: (predicate: (x: T) => boolean, ix?: number, thisArg?: any) => Observable<T>;
   distinctUntilChanged: (compare?: (x: T, y: T) => boolean, thisArg?: any) => Observable<T>;
   distinctUntilKeyChanged: (key: string, compare?: (x: any, y: any) => boolean, thisArg?: any) => Observable<T>;
diff --git a/src/Rx.ts b/src/Rx.ts
index 27c523912c..9dcf869dff 100644
--- a/src/Rx.ts
+++ b/src/Rx.ts
@@ -9,6 +9,7 @@ import Observable from './Observable';
 import Subscriber from './Subscriber';
 import Subscription from './Subscription';
 import Notification from './Notification';
+import EmptyError from './util/EmptyError';
 
 import ReplaySubject from './subjects/ReplaySubject';
 import BehaviorSubject from './subjects/BehaviorSubject';
@@ -215,6 +216,10 @@ import sampleTime from './operators/sampleTime';
 observableProto.sample = sample;
 observableProto.sampleTime = sampleTime;
 
+import last from './operators/last';
+
+observableProto.last = last;
+
 var Scheduler = {
   nextTick,
   immediate
@@ -231,5 +236,6 @@ export {
     ConnectableObservable,
     Notification,
     VirtualTimeScheduler,
-    TestScheduler
+    TestScheduler,
+    EmptyError
 };
diff --git a/src/operators/last.ts b/src/operators/last.ts
new file mode 100644
index 0000000000..89e6b1b897
--- /dev/null
+++ b/src/operators/last.ts
@@ -0,0 +1,68 @@
+import Observable from '../Observable';
+import Operator from '../Operator';
+import Subscriber from '../Subscriber';
+import Observer from '../Observer';
+
+import tryCatch from '../util/tryCatch';
+import {errorObject} from '../util/errorObject';
+import bindCallback from '../util/bindCallback';
+import EmptyError from '../util/EmptyError';
+
+export default function last<T>(predicate?: (value: T, index: number, source:Observable<T>) => boolean, thisArg?: any, defaultValue?: any) : Observable<T> {
+  return this.lift(new LastOperator(predicate, thisArg, defaultValue, this));
+}
+
+class LastOperator<T, R> implements Operator<T, R> {
+  constructor(private predicate?: (value: T, index: number, source:Observable<T>) => boolean, private thisArg?: any, private defaultValue?: any, private source?: Observable<T>) {
+    
+  }
+  
+  call(observer: Subscriber<R>): Subscriber<T> {
+    return new LastSubscriber(observer, this.predicate, this.thisArg, this.defaultValue, this.source);
+  }
+}
+
+class LastSubscriber<T> extends Subscriber<T> {
+  private lastValue: T;
+  private hasValue: boolean = false;
+  private predicate: Function;
+  private index: number = 0;
+  
+  constructor(destination: Observer<T>, predicate?: (value: T, index: number, source: Observable<T>) => boolean, 
+    private thisArg?: any, private defaultValue?: any, private source?: Observable<T>) {
+    super(destination);
+    if(typeof defaultValue !== 'undefined') {
+      this.lastValue = defaultValue;
+      this.hasValue = true;
+    }
+    if(typeof predicate === 'function') {
+      this.predicate = bindCallback(predicate, thisArg, 3);
+    }
+  }
+  
+  _next(value: T) {
+    const predicate = this.predicate;
+    if(predicate) {
+      let result = tryCatch(predicate)(value, this.index++, this.source);
+      if(result === errorObject) {
+        this.destination.error(result.e);
+      } else if (result) {
+        this.lastValue = result;
+        this.hasValue = true;
+      }
+    } else {
+      this.lastValue = value;
+      this.hasValue = true;
+    }
+  }
+  
+  _complete() {
+    const destination = this.destination;
+    if(this.hasValue) {
+      destination.next(this.lastValue);
+      destination.complete();
+    } else {
+      destination.error(new EmptyError);
+    }
+  }
+}
\ No newline at end of file
diff --git a/src/schedulers/TestScheduler.ts b/src/schedulers/TestScheduler.ts
index 1cce23f6a7..1db584b184 100644
--- a/src/schedulers/TestScheduler.ts
+++ b/src/schedulers/TestScheduler.ts
@@ -76,6 +76,8 @@ export default class TestScheduler extends VirtualTimeScheduler {
     let results: ({ notification: Notification<any>, frame: number })[] = [];
     let subIndex = marbles.indexOf('^');
     let frameOffset = subIndex === -1 ? 0 : (subIndex * -10);
+    let getValue = typeof values !== 'object' ? (x) => x : (x) => values[x];
+    let groupStart = -1;
     
     for (let i = 0; i < len; i++) {
       let frame = i * 10;
@@ -84,6 +86,12 @@ export default class TestScheduler extends VirtualTimeScheduler {
       switch (c) {
         case '-':
           break;
+        case '(':
+          groupStart = frame;
+          break;
+        case ')':
+          groupStart = -1;
+          break;
         case '|':
           notification = Notification.createComplete();
           break;
@@ -93,14 +101,15 @@ export default class TestScheduler extends VirtualTimeScheduler {
           notification = Notification.createError(errorValue || 'error');
           break;
         default:
-          notification = Notification.createNext(values[c]);
+          notification = Notification.createNext(getValue(c));
           break;
       }
       
+      
       frame += frameOffset;
       
       if (notification) {
-        results.push({ notification, frame });
+        results.push({ notification, frame: groupStart > -1 ? groupStart : frame });
       }
     }
     return results;
diff --git a/src/util/EmptyError.ts b/src/util/EmptyError.ts
new file mode 100644
index 0000000000..d9c5d5a58e
--- /dev/null
+++ b/src/util/EmptyError.ts
@@ -0,0 +1,4 @@
+export default class EmptyError implements Error {
+  name = 'EmptyError'
+  message = 'no elements in sequence';
+}
\ No newline at end of file