diff --git a/IPython/config/loader.py b/IPython/config/loader.py
index f37e725..f795e91 100644
--- a/IPython/config/loader.py
+++ b/IPython/config/loader.py
@@ -434,6 +434,8 @@ class KeyValueConfigLoader(CommandLineConfigLoader):
             
             if raw == '--':
                 # don't parse arguments after '--'
+                # this is useful for relaying arguments to scripts, e.g.
+                # ipython -i foo.py --pylab=qt -- args after '--' go-to-foo.py
                 self.extra_args.extend(uargv[idx+1:])
                 break
             
@@ -476,9 +478,7 @@ class KeyValueConfigLoader(CommandLineConfigLoader):
             else:
                 # keep all args that aren't valid in a list, 
                 # in case our parent knows what to do with them.
-                # self.extra_args.append(item)
-                self.extra_args.extend(uargv[idx:])
-                break
+                self.extra_args.append(item)
         return self.config
 
 class ArgParseConfigLoader(CommandLineConfigLoader):
diff --git a/IPython/config/tests/test_application.py b/IPython/config/tests/test_application.py
index d74c17d..6e0c473 100644
--- a/IPython/config/tests/test_application.py
+++ b/IPython/config/tests/test_application.py
@@ -128,8 +128,14 @@ class TestApplication(TestCase):
         app = MyApp()
         app.parse_command_line(["--Bar.b=5", 'extra', "--disable", 'args'])
         app.init_bar()
+        self.assertEquals(app.bar.enabled, False)
+        self.assertEquals(app.bar.b, 5)
+        self.assertEquals(app.extra_args, ['extra', 'args'])
+        app = MyApp()
+        app.parse_command_line(["--Bar.b=5", '--', 'extra', "--disable", 'args'])
+        app.init_bar()
         self.assertEquals(app.bar.enabled, True)
         self.assertEquals(app.bar.b, 5)
-        self.assertEquals(app.extra_args, ['extra', "--disable", 'args'])
+        self.assertEquals(app.extra_args, ['extra', '--disable', 'args'])
     
 
diff --git a/IPython/config/tests/test_loader.py b/IPython/config/tests/test_loader.py
index 6d9ad69..27f38eb 100755
--- a/IPython/config/tests/test_loader.py
+++ b/IPython/config/tests/test_loader.py
@@ -130,9 +130,9 @@ class TestKeyValueCL(TestCase):
     def test_extra_args(self):
         cl = KeyValueConfigLoader()
         config = cl.load_config(['--a=5', 'b', '--c=10', 'd'])
-        self.assertEquals(cl.extra_args, ['b', '--c=10' , 'd'])
+        self.assertEquals(cl.extra_args, ['b', 'd'])
         self.assertEquals(config.a, 5)
-        self.assertRaises(AttributeError, getattr, config, 'c')
+        self.assertEquals(config.c, 10)
         config = cl.load_config(['--', '--a=5', '--c=10'])
         self.assertEquals(cl.extra_args, ['--a=5', '--c=10'])