diff --git a/mysql-test/include/begin_include_file.inc b/mysql-test/include/begin_include_file.inc
index 1b69fb0e52d..6c438f3df30 100644
--- a/mysql-test/include/begin_include_file.inc
+++ b/mysql-test/include/begin_include_file.inc
@@ -48,6 +48,11 @@
 #     must be provided both for begin_include_file.inc and
 #     end_include_file.inc.
 #
+#   $keep_include_silent
+#     This specifies whether it should be echoed to the result file
+#     the following string: include/$include_filename
+#     If not set, the string will be echoed.
+#
 #   $rpl_debug
 #     If set, this script will print the following text:
 #      ==== BEGIN include/$include_filename.inc ====
@@ -59,7 +64,10 @@
 # recursively.
 if (!$_include_file_depth)
 {
-  --echo include/$include_filename
+  if (!$keep_include_silent)
+  {
+    --echo include/$include_filename
+  }
   --let $_include_file_depth= 0
 }
 --inc $_include_file_depth
diff --git a/mysql-test/suite/rpl/r/rpl_binlog_index.result b/mysql-test/suite/rpl/r/rpl_binlog_index.result
new file mode 100644
index 00000000000..9861a156a62
--- /dev/null
+++ b/mysql-test/suite/rpl/r/rpl_binlog_index.result
@@ -0,0 +1,35 @@
+include/master-slave.inc
+[connection master]
+CREATE TABLE t1 (a INT);
+FLUSH BINARY LOGS;
+INSERT INTO t1 VALUES (1);
+# Shutdown master
+include/rpl_stop_server.inc [server_number=1]
+# Move the master binlog files and the index file to a new place
+# Restart master with log-bin option set to the new path
+# Master has restarted successfully
+# Create the master-bin.index file with the old format
+# Shutdown master
+include/rpl_stop_server.inc [server_number=1]
+# Move back the master binlog files
+# Remove the unneeded master-bin.index file
+# Restart master with log-bin option set to default
+# Master has restarted successfully
+include/stop_slave.inc
+# Move the slave binlog and relay log files and index to the new place
+# Shutdown slave
+include/rpl_stop_server.inc [server_number=2]
+# Restart slave with options log-bin, relay-log set to the new paths
+# Slave has restarted successfully
+include/start_slave.inc
+include/stop_slave.inc
+FLUSH LOGS;
+INSERT INTO t1 VALUES (2);
+INSERT INTO t1 VALUES (2);
+INSERT INTO t1 VALUES (2);
+INSERT INTO t1 VALUES (2);
+FLUSH LOGS;
+FLUSH LOGS;
+include/start_slave.inc
+include/diff_tables.inc [master:t1,slave:t1]
+DROP TABLE t1;
diff --git a/mysql-test/suite/rpl/t/rpl_binlog_index.test b/mysql-test/suite/rpl/t/rpl_binlog_index.test
new file mode 100644
index 00000000000..900a6819c2f
--- /dev/null
+++ b/mysql-test/suite/rpl/t/rpl_binlog_index.test
@@ -0,0 +1,160 @@
+# ==== Purpose ====
+#
+# Test that server can work fine after moving binlog or relay log
+# files to another directory and setting binlog or relay log paths to
+# the new path.
+# 
+# ==== Method ====
+#
+# Start replication, and then shutdown the master, move the binary
+# logs and the log index file to a another directory and then restart
+# the server with option to set the new binlog directory. After master
+# restarted successfully, do the similar on slave to check the relay
+# log of slave.
+#
+# ==== Reference ====
+#
+# BUG#12133 master.index file keeps mysqld from starting if bin log has been moved
+# BUG#42576 Relay logs in relay-log.info&localhost-relay-bin.index not processed after move
+
+source include/master-slave.inc;
+# There is no need to run this test case on all binlog format
+source include/have_binlog_format_row.inc;
+
+connection master;
+--let $master_datadir= `select @@datadir`
+connection slave;
+--let $slave_datadir= `select @@datadir`
+connection master;
+--let $tmpdir= $MYSQLTEST_VARDIR/tmp/rpl_binlog_index
+--mkdir $tmpdir
+
+CREATE TABLE t1 (a INT);
+# flush to generate one more binlog file.
+FLUSH BINARY LOGS;
+INSERT INTO t1 VALUES (1);
+
+sync_slave_with_master;
+
+
+#
+# Test on master
+#
+connection master;
+--echo # Shutdown master
+--let $rpl_server_number=1
+source include/rpl_stop_server.inc;
+
+--echo # Move the master binlog files and the index file to a new place
+--move_file $master_datadir/master-bin.000001 $tmpdir/master-bin.000001
+--move_file $master_datadir/master-bin.000002 $tmpdir/master-bin.000002
+--move_file $master_datadir/master-bin.index  $tmpdir/master-bin.index
+
+--echo # Restart master with log-bin option set to the new path
+--let $rpl_server_parameters=--log-bin=$tmpdir/master-bin
+--let $keep_include_silent=1
+source include/rpl_start_server.inc;
+--let $keep_include_silent=0
+
+--echo # Master has restarted successfully
+
+#
+# Test master can handle old format with directory path in index file
+#
+--let $is_windows= `select convert(@@version_compile_os using latin1) in ('Win32', 'Win64', 'Windows')`
+
+# write_var_to_file.inc will call SELECT INTO DUMPFILE, which has to be
+# done before shutdown the server
+--echo # Create the master-bin.index file with the old format
+--let $write_to_file= $master_datadir/master-bin.index
+if ($is_windows)
+{
+  --let $write_var= .\\master-bin.000001\n.\\master-bin.000002\n
+}
+if (!$is_windows)
+{
+  --let $write_var= ./master-bin.000001\n./master-bin.000002\n
+}
+--disable_query_log
+source include/write_var_to_file.inc;
+--enable_query_log
+
+--echo # Shutdown master
+--let $rpl_server_number=1
+source include/rpl_stop_server.inc;
+
+--echo # Move back the master binlog files
+--move_file $tmpdir/master-bin.000001 $master_datadir/master-bin.000001
+--move_file $tmpdir/master-bin.000002 $master_datadir/master-bin.000002
+
+--echo # Remove the unneeded master-bin.index file
+--remove_file $tmpdir/master-bin.index
+
+--echo # Restart master with log-bin option set to default
+--let $rpl_server_parameters=--log-bin=$master_datadir/master-bin
+--let $keep_include_silent=1
+source include/rpl_start_server.inc;
+--let $keep_include_silent=0
+
+--echo # Master has restarted successfully
+
+connection slave;
+source include/stop_slave.inc;
+
+--disable_query_log
+# slave-relay-bin.* files can vary, so read the slave-relay-bin.index
+# to figure out the slave-relay-bin.* files
+CREATE TEMPORARY TABLE tmp (id INT AUTO_INCREMENT PRIMARY KEY, filename VARCHAR(1024));
+# chmod to allow the following LOAD DATA
+--chmod 0666 $slave_datadir/slave-relay-bin.index
+--eval LOAD DATA INFILE '$slave_datadir/slave-relay-bin.index' INTO TABLE tmp (filename)
+--let $count= `SELECT count(*) FROM tmp`
+--echo # Move the slave binlog and relay log files and index to the new place
+--move_file $slave_datadir/slave-bin.index        $tmpdir/slave-bin.index
+--move_file $slave_datadir/slave-bin.000001       $tmpdir/slave-bin.000001
+--move_file $slave_datadir/slave-relay-bin.index  $tmpdir/slave-relay-bin.index
+while ($count)
+{
+  --let $filename= `select filename from tmp where id=$count`
+  --move_file $slave_datadir/$filename $tmpdir/$filename
+  --dec $count
+}
+DROP TEMPORARY TABLE tmp;
+--enable_query_log
+
+--echo # Shutdown slave
+--let $rpl_server_number=2
+source include/rpl_stop_server.inc;
+
+--echo # Restart slave with options log-bin, relay-log set to the new paths
+--let $rpl_server_parameters=--log-bin=$tmpdir/slave-bin --relay-log=$tmpdir/slave-relay-bin
+--let $keep_include_silent=1
+source include/rpl_start_server.inc;
+--let $keep_include_silent=0
+
+--echo # Slave has restarted successfully
+source include/start_slave.inc;
+--source include/stop_slave.inc
+
+connection master;
+FLUSH LOGS;
+INSERT INTO t1 VALUES (2);
+INSERT INTO t1 VALUES (2);
+INSERT INTO t1 VALUES (2);
+INSERT INTO t1 VALUES (2);
+
+FLUSH LOGS;
+
+connection slave;
+FLUSH LOGS;
+--source include/start_slave.inc
+connection master;
+sync_slave_with_master;
+--let $diff_tables= master:t1,slave:t1
+source include/diff_tables.inc;
+
+connection master;
+DROP TABLE t1;
+sync_slave_with_master;
+--remove_files_wildcard $tmpdir *
+--rmdir $tmpdir
diff --git a/sql/log.cc b/sql/log.cc
index 77ba7aa6283..ec4c01003e0 100644
--- a/sql/log.cc
+++ b/sql/log.cc
@@ -3242,10 +3242,11 @@ int MYSQL_BIN_LOG::find_log_pos(LOG_INFO *linfo, const char *log_name,
 			    bool need_lock)
 {
   int error= 0;
-  char *fname= linfo->log_file_name;
-  uint log_name_len= log_name ? (uint) strlen(log_name) : 0;
+  char *full_fname= linfo->log_file_name;
+  char full_log_name[FN_REFLEN], fname[FN_REFLEN];
+  uint log_name_len= 0, fname_len= 0;
   DBUG_ENTER("find_log_pos");
-  DBUG_PRINT("enter",("log_name: %s", log_name ? log_name : "NULL"));
+  full_log_name[0]= full_fname[0]= 0;
 
   /*
     Mutex needed because we need to make sure the file pointer does not
@@ -3255,6 +3256,20 @@ int MYSQL_BIN_LOG::find_log_pos(LOG_INFO *linfo, const char *log_name,
     mysql_mutex_lock(&LOCK_index);
   mysql_mutex_assert_owner(&LOCK_index);
 
+  // extend relative paths for log_name to be searched
+  if (log_name)
+  {
+    if(normalize_binlog_name(full_log_name, log_name, is_relay_log))
+    {
+      error= LOG_INFO_EOF;
+      goto end;
+    }
+  }
+
+  log_name_len= log_name ? (uint) strlen(full_log_name) : 0;
+  DBUG_PRINT("enter", ("log_name: %s, full_log_name: %s", 
+                       log_name ? log_name : "NULL", full_log_name));
+
   /* As the file is flushed, we can't get an error here */
   (void) reinit_io_cache(&index_file, READ_CACHE, (my_off_t) 0, 0, 0);
 
@@ -3273,19 +3288,28 @@ int MYSQL_BIN_LOG::find_log_pos(LOG_INFO *linfo, const char *log_name,
       break;
     }
 
+    // extend relative paths and match against full path
+    if (normalize_binlog_name(full_fname, fname, is_relay_log))
+    {
+      error= LOG_INFO_EOF;
+      break;
+    }
+    fname_len= (uint) strlen(full_fname);
+
     // if the log entry matches, null string matching anything
     if (!log_name ||
-	(log_name_len == length-1 && fname[log_name_len] == '\n' &&
-	 !memcmp(fname, log_name, log_name_len)))
+	(log_name_len == fname_len-1 && full_fname[log_name_len] == '\n' &&
+	 !memcmp(full_fname, full_log_name, log_name_len)))
     {
-      DBUG_PRINT("info",("Found log file entry"));
-      fname[length-1]=0;			// remove last \n
+      DBUG_PRINT("info", ("Found log file entry"));
+      full_fname[fname_len-1]= 0;			// remove last \n
       linfo->index_file_start_offset= offset;
       linfo->index_file_offset = my_b_tell(&index_file);
       break;
     }
   }
 
+end:
   if (need_lock)
     mysql_mutex_unlock(&LOCK_index);
   DBUG_RETURN(error);
@@ -3320,7 +3344,8 @@ int MYSQL_BIN_LOG::find_next_log(LOG_INFO* linfo, bool need_lock)
 {
   int error= 0;
   uint length;
-  char *fname= linfo->log_file_name;
+  char fname[FN_REFLEN];
+  char *full_fname= linfo->log_file_name;
 
   if (need_lock)
     mysql_mutex_lock(&LOCK_index);
@@ -3336,8 +3361,19 @@ int MYSQL_BIN_LOG::find_next_log(LOG_INFO* linfo, bool need_lock)
     error = !index_file.error ? LOG_INFO_EOF : LOG_INFO_IO;
     goto err;
   }
-  fname[length-1]=0;				// kill \n
-  linfo->index_file_offset = my_b_tell(&index_file);
+
+  if (fname[0] != 0)
+  {
+    if(normalize_binlog_name(full_fname, fname, is_relay_log))
+    {
+      error= LOG_INFO_EOF;
+      goto err;
+    }
+    length= strlen(full_fname);
+  }
+
+  full_fname[length-1]= 0;			// kill \n
+  linfo->index_file_offset= my_b_tell(&index_file);
 
 err:
   if (need_lock)
diff --git a/sql/log.h b/sql/log.h
index 481bd545960..2e9d308e5e5 100644
--- a/sql/log.h
+++ b/sql/log.h
@@ -715,4 +715,66 @@ char *make_log_name(char *buff, const char *name, const char* log_ext);
 extern MYSQL_PLUGIN_IMPORT MYSQL_BIN_LOG mysql_bin_log;
 extern LOGGER logger;
 
+
+/**
+  Turns a relative log binary log path into a full path, based on the
+  opt_bin_logname or opt_relay_logname.
+
+  @param from         The log name we want to make into an absolute path.
+  @param to           The buffer where to put the results of the 
+                      normalization.
+  @param is_relay_log Switch that makes is used inside to choose which
+                      option (opt_bin_logname or opt_relay_logname) to
+                      use when calculating the base path.
+
+  @returns true if a problem occurs, false otherwise.
+ */
+
+inline bool normalize_binlog_name(char *to, const char *from, bool is_relay_log)
+{
+  DBUG_ENTER("normalize_binlog_name");
+  bool error= false;
+  char buff[FN_REFLEN];
+  char *ptr= (char*) from;
+  char *opt_name= is_relay_log ? opt_relay_logname : opt_bin_logname;
+
+  DBUG_ASSERT(from);
+
+  /* opt_name is not null and not empty and from is a relative path */
+  if (opt_name && opt_name[0] && from && !test_if_hard_path(from))
+  {
+    // take the path from opt_name
+    // take the filename from from 
+    char log_dirpart[FN_REFLEN], log_dirname[FN_REFLEN];
+    size_t log_dirpart_len, log_dirname_len;
+    dirname_part(log_dirpart, opt_name, &log_dirpart_len);
+    dirname_part(log_dirname, from, &log_dirname_len);
+
+    /* log may be empty => relay-log or log-bin did not 
+        hold paths, just filename pattern */
+    if (log_dirpart_len > 0)
+    {
+      /* create the new path name */
+      if(fn_format(buff, from+log_dirname_len, log_dirpart, "",
+                   MYF(MY_UNPACK_FILENAME | MY_SAFE_PATH)) == NULL)
+      {
+        error= true;
+        goto end;
+      }
+
+      ptr= buff;
+    }
+  }
+
+  DBUG_ASSERT(ptr);
+
+  if (ptr)
+    strmake(to, ptr, strlen(ptr));
+
+end:
+  DBUG_RETURN(error);
+}
+
+
+
 #endif /* LOG_H */
diff --git a/sql/mysqld.cc b/sql/mysqld.cc
index 0f5087c6ccf..285b10154ce 100644
--- a/sql/mysqld.cc
+++ b/sql/mysqld.cc
@@ -652,7 +652,7 @@ ulong master_retry_count=0;
 char *master_info_file;
 char *relay_log_info_file, *report_user, *report_password, *report_host;
 char *opt_relay_logname = 0, *opt_relaylog_index_name=0;
-char *opt_logname, *opt_slow_logname;
+char *opt_logname, *opt_slow_logname, *opt_bin_logname;
 
 /* Static variables */
 
@@ -677,7 +677,6 @@ static char **defaults_argv;
 static int remaining_argc;
 /** Remaining command line arguments (arguments), filtered by handle_options().*/
 static char **remaining_argv;
-static char *opt_bin_logname;
 
 int orig_argc;
 char **orig_argv;
diff --git a/sql/mysqld.h b/sql/mysqld.h
index fc9182ed02e..70089f56e4e 100644
--- a/sql/mysqld.h
+++ b/sql/mysqld.h
@@ -139,7 +139,8 @@ extern my_bool relay_log_recovery;
 extern uint test_flags,select_errors,ha_open_options;
 extern uint protocol_version, mysqld_port, dropping_tables;
 extern ulong delay_key_write_options;
-extern char *opt_logname, *opt_slow_logname;
+extern char *opt_logname, *opt_slow_logname, *opt_bin_logname, 
+            *opt_relay_logname;
 extern char *opt_backup_history_logname, *opt_backup_progress_logname,
             *opt_backup_settings_name;
 extern const char *log_output_str;