diff --git a/modules/@angular/compiler/src/ml_parser/icu_ast_expander.ts b/modules/@angular/compiler/src/ml_parser/icu_ast_expander.ts
index 7c5882ffb8..1d12779519 100644
--- a/modules/@angular/compiler/src/ml_parser/icu_ast_expander.ts
+++ b/modules/@angular/compiler/src/ml_parser/icu_ast_expander.ts
@@ -30,9 +30,9 @@ const PLURAL_CASES: string[] = ['zero', 'one', 'two', 'few', 'many', 'other'];
  *
  * ```
  * <ng-container [ngPlural]="messages.length">
- *   <template ngPluralCase="=0">zero</ng-container>
- *   <template ngPluralCase="=1">one</ng-container>
- *   <template ngPluralCase="other">more than one</ng-container>
+ *   <template ngPluralCase="=0">zero</template>
+ *   <template ngPluralCase="=1">one</template>
+ *   <template ngPluralCase="other">more than one</template>
  * </ng-container>
  * ```
  */
diff --git a/modules/@angular/compiler/src/ml_parser/lexer.ts b/modules/@angular/compiler/src/ml_parser/lexer.ts
index 25fac48554..d464edfc34 100644
--- a/modules/@angular/compiler/src/ml_parser/lexer.ts
+++ b/modules/@angular/compiler/src/ml_parser/lexer.ts
@@ -133,7 +133,7 @@ class _Tokenizer {
           } else {
             this._consumeTagOpen(start);
           }
-        } else if (!this._tokenizeIcu || !this._tokenizeExpansionForm()) {
+        } else if (!(this._tokenizeIcu && this._tokenizeExpansionForm())) {
           this._consumeText();
         }
       } catch (e) {
@@ -586,8 +586,8 @@ class _Tokenizer {
         parts.push(this._interpolationConfig.start);
         this._inInterpolation = true;
       } else if (
-          this._interpolationConfig && this._attemptStr(this._interpolationConfig.end) &&
-          this._inInterpolation) {
+          this._interpolationConfig && this._inInterpolation &&
+          this._attemptStr(this._interpolationConfig.end)) {
         parts.push(this._interpolationConfig.end);
         this._inInterpolation = false;
       } else {
diff --git a/modules/@angular/compiler/test/ml_parser/html_parser_spec.ts b/modules/@angular/compiler/test/ml_parser/html_parser_spec.ts
index 1ef84d532c..ba9eb07f6c 100644
--- a/modules/@angular/compiler/test/ml_parser/html_parser_spec.ts
+++ b/modules/@angular/compiler/test/ml_parser/html_parser_spec.ts
@@ -6,7 +6,6 @@
  * found in the LICENSE file at https://angular.io/license
  */
 
-import {beforeEach, describe, expect, it} from '../../../core/testing/testing_internal';
 import * as html from '../../src/ml_parser/ast';
 import {HtmlParser, ParseTreeResult, TreeError} from '../../src/ml_parser/html_parser';
 import {TokenType} from '../../src/ml_parser/lexer';
@@ -304,6 +303,18 @@ export function main() {
           ]))).toEqual([[html.Text, 'One {{message}}', 0]]);
         });
 
+        it('should parse out expansion forms', () => {
+          const parsed =
+              parser.parse(`<div><span>{a, plural, =0 {b}}</span></div>`, 'TestComp', true);
+
+          expect(humanizeDom(parsed)).toEqual([
+            [html.Element, 'div', 0],
+            [html.Element, 'span', 1],
+            [html.Expansion, 'a', 'plural', 2],
+            [html.ExpansionCase, '=0', 3],
+          ]);
+        });
+
         it('should parse out nested expansion forms', () => {
           const parsed = parser.parse(
               `{messages.length, plural, =0 { {p.gender, select, male {m}} }}`, 'TestComp', true);
diff --git a/modules/@angular/compiler/test/ml_parser/icu_ast_expander_spec.ts b/modules/@angular/compiler/test/ml_parser/icu_ast_expander_spec.ts
index c9e9ccb870..f54c52eab4 100644
--- a/modules/@angular/compiler/test/ml_parser/icu_ast_expander_spec.ts
+++ b/modules/@angular/compiler/test/ml_parser/icu_ast_expander_spec.ts
@@ -6,7 +6,6 @@
  * found in the LICENSE file at https://angular.io/license
  */
 
-import {describe, expect, it} from '../../../core/testing/testing_internal';
 import * as html from '../../src/ml_parser/ast';
 import {HtmlParser} from '../../src/ml_parser/html_parser';
 import {ExpansionResult, expandNodes} from '../../src/ml_parser/icu_ast_expander';
@@ -96,6 +95,20 @@ export function main() {
       ]);
     });
 
+    it('should parse an expansion form as a tag single child', () => {
+      const res = expand(`<div><span>{a, b, =4 {c}}</span></div>`);
+
+      expect(humanizeNodes(res.nodes)).toEqual([
+        [html.Element, 'div', 0],
+        [html.Element, 'span', 1],
+        [html.Element, 'ng-container', 2],
+        [html.Attribute, '[ngSwitch]', 'a'],
+        [html.Element, 'template', 3],
+        [html.Attribute, 'ngSwitchCase', '=4'],
+        [html.Text, 'c', 4],
+      ]);
+    });
+
     describe('errors', () => {
       it('should error on unknown plural cases', () => {
         expect(humanizeErrors(expand('{n, plural, unknown {-}}').errors)).toEqual([
diff --git a/modules/@angular/compiler/test/ml_parser/lexer_spec.ts b/modules/@angular/compiler/test/ml_parser/lexer_spec.ts
index 3f052617b7..b8af046633 100644
--- a/modules/@angular/compiler/test/ml_parser/lexer_spec.ts
+++ b/modules/@angular/compiler/test/ml_parser/lexer_spec.ts
@@ -6,7 +6,6 @@
  * found in the LICENSE file at https://angular.io/license
  */
 
-import {describe, expect, it} from '../../../core/testing/testing_internal';
 import {getHtmlTagDefinition} from '../../src/ml_parser/html_tags';
 import {InterpolationConfig} from '../../src/ml_parser/interpolation_config';
 import * as lex from '../../src/ml_parser/lexer';
@@ -524,7 +523,15 @@ export function main() {
         ]);
       });
 
-
+      it('should treat expansion form as text when they are not parsed', () => {
+        expect(tokenizeAndHumanizeParts('<span>{a, b, =4 {c}}</span>', false)).toEqual([
+          [lex.TokenType.TAG_OPEN_START, null, 'span'],
+          [lex.TokenType.TAG_OPEN_END],
+          [lex.TokenType.TEXT, '{a, b, =4 {c}}'],
+          [lex.TokenType.TAG_CLOSE, null, 'span'],
+          [lex.TokenType.EOF],
+        ]);
+      });
     });
 
     describe('raw text', () => {
@@ -672,6 +679,26 @@ export function main() {
         ]);
       });
 
+      it('should parse an expansion form as a tag single child', () => {
+        expect(tokenizeAndHumanizeParts('<div><span>{a, b, =4 {c}}</span></div>', true)).toEqual([
+          [lex.TokenType.TAG_OPEN_START, null, 'div'],
+          [lex.TokenType.TAG_OPEN_END],
+          [lex.TokenType.TAG_OPEN_START, null, 'span'],
+          [lex.TokenType.TAG_OPEN_END],
+          [lex.TokenType.EXPANSION_FORM_START],
+          [lex.TokenType.RAW_TEXT, 'a'],
+          [lex.TokenType.RAW_TEXT, 'b'],
+          [lex.TokenType.EXPANSION_CASE_VALUE, '=4'],
+          [lex.TokenType.EXPANSION_CASE_EXP_START],
+          [lex.TokenType.TEXT, 'c'],
+          [lex.TokenType.EXPANSION_CASE_EXP_END],
+          [lex.TokenType.EXPANSION_FORM_END],
+          [lex.TokenType.TAG_CLOSE, null, 'span'],
+          [lex.TokenType.TAG_CLOSE, null, 'div'],
+          [lex.TokenType.EOF],
+        ]);
+      });
+
       it('should parse an expansion forms with elements in it', () => {
         expect(tokenizeAndHumanizeParts('{one.two, three, =4 {four <b>a</b>}}', true)).toEqual([
           [lex.TokenType.EXPANSION_FORM_START],