Index: src/org/eclipse/jdt/core/tests/compiler/regression/MethodVerifyTest.java
===================================================================
RCS file: /cvsroot/eclipse/org.eclipse.jdt.core.tests.compiler/src/org/eclipse/jdt/core/tests/compiler/regression/MethodVerifyTest.java,v
retrieving revision 1.120
diff -u -r1.120 MethodVerifyTest.java
--- src/org/eclipse/jdt/core/tests/compiler/regression/MethodVerifyTest.java	12 Mar 2007 08:14:52 -0000	1.120
+++ src/org/eclipse/jdt/core/tests/compiler/regression/MethodVerifyTest.java	16 Mar 2007 18:13:40 -0000
@@ -7510,4 +7510,38 @@
 		"The method bar(String, String) of type X is not generic; it cannot be parameterized with arguments <String>\n" + 
 		"----------\n");
 }
+// https://bugs.eclipse.org/bugs/show_bug.cgi?id=174445
+public void test127() {
+	this.runNegativeTest(
+		new String[] {
+			"X.java",
+			"public class X {\n" + 
+			"  enum Enum1 {\n" + 
+			"    value;\n" + 
+			"  }\n" + 
+			"  enum Enum2 {\n" + 
+			"    value;\n" + 
+			"  }\n" + 
+			"  static abstract class A<T> {\n" + 
+			"    abstract <U extends T> U foo();\n" + 
+			"  }\n" + 
+			"  static class B extends A<Enum<?>> {\n" + 
+			"    @Override\n" + 
+			"    Enum<?> foo() {\n" + 
+			"      return Enum1.value;\n" + 
+			"    }  \n" + 
+			"  }\n" + 
+			"  public static void main(String[] args) {\n" + 
+			"    A<Enum<?>> a = new B();\n" + 
+			"    Enum2 value = a.foo();\n" + 
+			"  }\n" + 
+			"}"
+		},
+		"----------\n" + 
+		"1. WARNING in X.java (at line 13)\n" + 
+		"	Enum<?> foo() {\n" + 
+		"	^^^^\n" + 
+		"Type safety: The return type Enum<?> for foo() from the type X.B needs unchecked conversion to conform to U from the type X.A<T>\n" + 
+		"----------\n");
+}
 }
Index: compiler/org/eclipse/jdt/internal/compiler/lookup/MethodVerifier15.java
===================================================================
RCS file: /cvsroot/eclipse/org.eclipse.jdt.core/compiler/org/eclipse/jdt/internal/compiler/lookup/MethodVerifier15.java,v
retrieving revision 1.70
diff -u -r1.70 MethodVerifier15.java
--- compiler/org/eclipse/jdt/internal/compiler/lookup/MethodVerifier15.java	12 Mar 2007 08:14:55 -0000	1.70
+++ compiler/org/eclipse/jdt/internal/compiler/lookup/MethodVerifier15.java	16 Mar 2007 18:13:40 -0000
@@ -134,9 +134,8 @@
 	if (originalInherited.returnType != currentMethod.returnType) {
 //		if (currentMethod.returnType.needsUncheckedConversion(inheritedMethod.returnType)) {
 //			problemReporter(currentMethod).unsafeReturnTypeOverride(currentMethod, originalInherited, this.type);
-		if (inheritedMethod.returnType.leafComponentType().isParameterizedType()) {
-			if (currentMethod.returnType.leafComponentType().isRawType())
-				problemReporter(currentMethod).unsafeReturnTypeOverride(currentMethod, originalInherited, this.type);
+		if (inheritedMethod.returnType.leafComponentType().isParameterizedType() && currentMethod.returnType.leafComponentType().isRawType()) {
+			problemReporter(currentMethod).unsafeReturnTypeOverride(currentMethod, originalInherited, this.type);
 		} else if (inheritedMethod.hasSubstitutedReturnType() && originalInherited.returnType.leafComponentType().isTypeVariable()) {
 			if (((TypeVariableBinding) originalInherited.returnType.leafComponentType()).declaringElement == originalInherited) { // see 81618 - type variable from inherited method
 				TypeBinding currentReturnType = currentMethod.returnType.leafComponentType();
@@ -527,7 +526,7 @@
 	int inheritedLength = inheritedTypeVariables.length;
 	TypeVariableBinding[] typeVariables = currentMethod.typeVariables;
 	int length = typeVariables.length;
-	if (length > 0 && inheritedLength != length) return inheritedMethod;
+	if (length > 0 && inheritedLength != length) return inheritedMethod; // no match JLS 8.4.2
 	TypeBinding[] arguments = new TypeBinding[inheritedLength];
 	if (inheritedLength <= length) {
 		System.arraycopy(typeVariables, 0, arguments, 0, inheritedLength);