diff --git a/PIL/JpegImagePlugin.py b/PIL/JpegImagePlugin.py
index aeff66879..4f36f5a1f 100644
--- a/PIL/JpegImagePlugin.py
+++ b/PIL/JpegImagePlugin.py
@@ -554,6 +554,7 @@ def _save(im, fp, filename):
         info.get("exif", b"")
         )
 
+
     # if we optimize, libjpeg needs a buffer big enough to hold the whole image in a shot.
     # Guessing on the size, at im.size bytes. (raw pizel size is channels*size, this
     # is a value that's been used in a django patch.
@@ -562,9 +563,9 @@ def _save(im, fp, filename):
     if "optimize" in info:
         bufsize = im.size[0]*im.size[1]
         
-    # The exif info needs to be written as one block. Ensure that our buffer is big enough
-    if len(info.get("exif",b"")) > max(ImageFile.MAXBLOCK, bufsize):
-        bufsize = 2*len(info.get("exif",b""))
+    # The exif info needs to be written as one block, + APP1, + one spare byte.
+	# Ensure that our buffer is big enough
+    bufsize = max(ImageFile.MAXBLOCK, bufsize, len(info.get("exif",b"")) + 5 )
 
     ImageFile._save(im, fp, [("jpeg", (0,0)+im.size, 0, rawmode)], bufsize)
 
diff --git a/Tests/test_file_jpeg.py b/Tests/test_file_jpeg.py
index 556786aa7..1027d0174 100644
--- a/Tests/test_file_jpeg.py
+++ b/Tests/test_file_jpeg.py
@@ -120,6 +120,12 @@ def test_optimize_large_buffer():
 	im = Image.new("RGB", (4096,4096), 0xff3333)
 	im.save(f, format="JPEG", optimize=True)
 
+def test_large_exif():
+	#https://github.com/python-imaging/Pillow/issues/148
+	f = tempfile('temp.jpg')
+	im = lena()
+	im.save(f,'JPEG', quality=90, exif=b"1"*65532)
+
 def test_progressive():
     im1 = roundtrip(lena())
     im2 = roundtrip(lena(), progressive=1)
diff --git a/libImaging/JpegEncode.c b/libImaging/JpegEncode.c
index 87c3ba434..5d0b85d6a 100644
--- a/libImaging/JpegEncode.c
+++ b/libImaging/JpegEncode.c
@@ -219,24 +219,29 @@ ImagingJpegEncode(Imaging im, ImagingCodecState state, UINT8* buf, int bytes)
 	    jpeg_start_compress(&context->cinfo, FALSE);
             /* suppress extra section */
             context->extra_offset = context->extra_size;
-	    //add exif header
-	    if (context->rawExifLen > 0)
-		jpeg_write_marker(&context->cinfo, JPEG_APP0+1, (unsigned char*)context->rawExif, context->rawExifLen);
-
 	    break;
 	default:
 	    /* interchange stream */
 	    jpeg_start_compress(&context->cinfo, TRUE);
-	    //add exif header
-	    if (context->rawExifLen > 0)
-		jpeg_write_marker(&context->cinfo, JPEG_APP0+1, (unsigned char*)context->rawExif, context->rawExifLen);
-
 	    break;
 	}
 	state->state++;
 	/* fall through */
 
     case 2:
+        // check for exif len + 'APP1' header bytes 
+        if (context->rawExifLen + 5 >  context->destination.pub.free_in_buffer){
+            break;
+        }
+        //add exif header
+        if (context->rawExifLen > 0){
+            jpeg_write_marker(&context->cinfo, JPEG_APP0+1, 
+                              (unsigned char*)context->rawExif, context->rawExifLen);
+        }
+
+	state->state++;
+	/* fall through */
+    case 3:
 
         if (context->extra) {
             /* copy extra buffer to output buffer */
@@ -255,7 +260,10 @@ ImagingJpegEncode(Imaging im, ImagingCodecState state, UINT8* buf, int bytes)
         } else
 	    state->state++;
 
-    case 3:
+    case 4:
+        if (1024 > context->destination.pub.free_in_buffer){
+            break;
+        }
 
 	ok = 1;
 	while (state->y < state->ysize) {
@@ -273,7 +281,7 @@ ImagingJpegEncode(Imaging im, ImagingCodecState state, UINT8* buf, int bytes)
 	state->state++;
 	/* fall through */
 
-    case 4:
+    case 5:
 
 	/* Finish compression */
 	if (context->destination.pub.free_in_buffer < 100)