diff --git a/simgear/scene/sky/CloudShaderGeometry.cxx b/simgear/scene/sky/CloudShaderGeometry.cxx
index 6fe9f8cf..eaa9450f 100755
--- a/simgear/scene/sky/CloudShaderGeometry.cxx
+++ b/simgear/scene/sky/CloudShaderGeometry.cxx
@@ -35,16 +35,36 @@ namespace simgear
 void CloudShaderGeometry::drawImplementation(RenderInfo& renderInfo) const
 {
     osg::State& state = *renderInfo.getState();
+    osg::Matrix vm = state.getModelViewMatrix();
+    
+    //TODO: It isn't clear whether this is worth the perf hit ATM.
+    
+    // Do a single iteration of a bubble sort. We do this in reverse
+    // so that elements closest to the camera bubble to the front than
+    // the elements further away
+    for(int i = (_cloudsprites.size() -2); i >= 0; i--)
+    {
+        osg::Vec4f p = vm * osg::Vec4f(_cloudsprites[i]->position.osg(),   1.0f);
+        osg::Vec4f q = vm * osg::Vec4f(_cloudsprites[i+1]->position.osg(), 1.0f);
+        
+        if (p.z() > q.z())
+        {
+            CloudSprite c = *_cloudsprites[i];
+            *_cloudsprites[i] = *_cloudsprites[i+1];
+            *_cloudsprites[i+1] = c;
+        }
+    }
+    
     const Extensions* extensions = getExtensions(state.getContextID(),true);
 
     for(CloudSpriteList::const_iterator t = _cloudsprites.begin(); t != _cloudsprites.end(); ++t)
     {
-        extensions->glVertexAttrib1f(TEXTURE_INDEX_X, (GLfloat) t->texture_index_x/varieties_x);
-        extensions->glVertexAttrib1f(TEXTURE_INDEX_Y, (GLfloat) t->texture_index_y/varieties_y);
-        extensions->glVertexAttrib1f(WIDTH, (GLfloat) t->width);
-        extensions->glVertexAttrib1f(HEIGHT, (GLfloat) t->height);
-        extensions->glVertexAttrib1f(SHADE, (GLfloat) t->shade);
-        glColor4f(t->position.x(), t->position.y(), t->position.z(), 1.0);
+        extensions->glVertexAttrib1f(TEXTURE_INDEX_X, (GLfloat) (*t)->texture_index_x/varieties_x);
+        extensions->glVertexAttrib1f(TEXTURE_INDEX_Y, (GLfloat) (*t)->texture_index_y/varieties_y);
+        extensions->glVertexAttrib1f(WIDTH, (GLfloat) (*t)->width);
+        extensions->glVertexAttrib1f(HEIGHT, (GLfloat) (*t)->height);
+        extensions->glVertexAttrib1f(SHADE, (GLfloat) (*t)->shade);
+        glColor4f((*t)->position.x(), (*t)->position.y(), (*t)->position.z(), 1.0);
         _geometry->draw(renderInfo);
     }
 }
@@ -56,10 +76,10 @@ BoundingBox CloudShaderGeometry::computeBound() const
     for(CloudSpriteList::const_iterator itr = _cloudsprites.begin();
         itr != _cloudsprites.end();
         ++itr) {
-         bb.expandBy(geom_box.corner(0)*itr->width +
-                     osg::Vec3( itr->position.x(), itr->position.y(), itr->position.z() ));
-         bb.expandBy(geom_box.corner(7)*itr->height +
-                     osg::Vec3( itr->position.x(), itr->position.y(), itr->position.z() ));
+         bb.expandBy(geom_box.corner(0)*(*itr)->width +
+                 osg::Vec3( (*itr)->position.x(), (*itr)->position.y(), (*itr)->position.z() ));
+         bb.expandBy(geom_box.corner(7)*(*itr)->height +
+                 osg::Vec3( (*itr)->position.x(), (*itr)->position.y(), (*itr)->position.z() ));
     }
     return bb;
 }
@@ -95,7 +115,7 @@ bool CloudShaderGeometry_readLocalData(Object& obj, Input& fr)
                 fr[4].getFloat(w) && fr[4].getFloat(h)&& fr[4].getFloat(s)) {
                     fr += 5;
                     //SGVec3f* v = new SGVec3f(v.x(), v.y(), v.z());
-                    geom._cloudsprites.push_back(CloudShaderGeometry::CloudSprite(v, tx, ty, w, h,s));
+                    geom._cloudsprites.push_back(new CloudShaderGeometry::CloudSprite(v, tx, ty, w, h,s));
             } else {
                 ++fr;
             }
@@ -113,14 +133,14 @@ bool CloudShaderGeometry_writeLocalData(const Object& obj, Output& fw)
     fw.indent() << "instances " << geom._cloudsprites.size() << std::endl;
     fw.indent() << "{" << std::endl;
     fw.moveIn();
-    for (CloudShaderGeometry::CloudSpriteList::const_iterator iter
+    for (CloudShaderGeometry::CloudSpriteList::const_iterator itr
              = geom._cloudsprites.begin();
-         iter != geom._cloudsprites.end();
-         ++iter) {
-        fw.indent() << iter->position.x() << " " << iter->position.y() << " " 
-                << iter->position.z() << " " << iter->texture_index_x << " "
-                << iter->texture_index_y << " "  
-                << iter->width << " " << iter->height << " " << iter->shade << std::endl;
+         itr != geom._cloudsprites.end();
+         ++itr) {
+             fw.indent() << (*itr)->position.x() << " " << (*itr)->position.y() << " " 
+                     << (*itr)->position.z() << " " << (*itr)->texture_index_x << " "
+                     << (*itr)->texture_index_y << " "  
+                     << (*itr)->width << " " << (*itr)->height << " " << (*itr)->shade << std::endl;
     }
     fw.moveOut();
     fw.indent() << "}" << std::endl;
diff --git a/simgear/scene/sky/CloudShaderGeometry.hxx b/simgear/scene/sky/CloudShaderGeometry.hxx
index e28928ed..1f0dd10d 100755
--- a/simgear/scene/sky/CloudShaderGeometry.hxx
+++ b/simgear/scene/sky/CloudShaderGeometry.hxx
@@ -66,7 +66,7 @@ class CloudShaderGeometry : public osg::Drawable
         META_Object(flightgear, CloudShaderGeometry);
         
         struct CloudSprite {
-            CloudSprite(const SGVec3f& p, int tx, int ty, float w, float h, float s) :
+            CloudSprite(SGVec3f& p, int tx, int ty, float w, float h, float s) :
                     position(p), texture_index_x(tx), texture_index_y(ty), width(w), height(h), shade(s)
                     { }
         
@@ -78,16 +78,16 @@ class CloudShaderGeometry : public osg::Drawable
                     float shade;
         };
         
-        typedef std::vector<CloudSprite> CloudSpriteList;
+        typedef std::vector<CloudSprite*> CloudSpriteList;
         
-        void insert(const CloudSprite& t)
+        void insert(CloudSprite* t)
         { _cloudsprites.push_back(t); }
-        void insert(const SGVec3f& p, int tx, int ty, float w, float h, float s)
-        { insert(CloudSprite(p, tx, ty, w, h, s)); }
+        void insert(SGVec3f& p, int tx, int ty, float w, float h, float s)
+        { insert(new CloudSprite(p, tx, ty, w, h, s)); }
         
         unsigned getNumCloudSprite() const
         { return _cloudsprites.size(); }
-        const CloudSprite& getCloudSprite(unsigned i) const
+        CloudSprite* getCloudSprite(unsigned i) const
         { return _cloudsprites[i]; }
         CloudSpriteList _cloudsprites;
         
@@ -102,28 +102,28 @@ class CloudShaderGeometry : public osg::Drawable
             _geometry = geometry;
         }
         
-        void addSprite(const SGVec3f& p, int tx, int ty, float w, float h, float s, float cull)
+        void addSprite(SGVec3f& p, int tx, int ty, float w, float h, float s, float cull)
         {
             // Only add the sprite if it is further than the cull distance to all other sprites
-            for (CloudShaderGeometry::CloudSpriteList::const_iterator iter = _cloudsprites.begin();
+            for (CloudShaderGeometry::CloudSpriteList::iterator iter = _cloudsprites.begin();
                  iter != _cloudsprites.end();
                  ++iter) 
             {
-                if (distSqr(iter->position, p) < cull)
+                if (distSqr((*iter)->position, p) < cull)
                 {
                     // Too close - cull it
                     return;
                 }
             }
 
-            _cloudsprites.push_back(CloudSprite(p, tx, ty, w, h, s));
+            _cloudsprites.push_back(new CloudSprite(p, tx, ty, w, h, s));
         }
-
+        
         osg::ref_ptr<osg::Drawable> _geometry;
 
         int varieties_x;
         int varieties_y;
-
+        
     protected:
     
         virtual ~CloudShaderGeometry() {}
diff --git a/simgear/scene/sky/cloudfield.cxx b/simgear/scene/sky/cloudfield.cxx
index f23b0f5c..5012d942 100644
--- a/simgear/scene/sky/cloudfield.cxx
+++ b/simgear/scene/sky/cloudfield.cxx
@@ -74,92 +74,109 @@ void SGCloudField::set_density(float density) {
 bool SGCloudField::reposition( const SGVec3f& p, const SGVec3f& up, double lon, double lat,
         		       double dt )
 {
-        osg::Matrix T, LON, LAT;
-
+    osg::Matrix T, LON, LAT;
+    
+    SGGeoc pos = SGGeoc::fromGeod(SGGeod::fromRad(lon, lat));
+    
+    double dist = SGGeodesy::distanceM(cld_pos, pos);
+    
+    if (dist > (fieldSize * 2)) {
+        // First time or very large distance
+        SGVec3<double> cart;
+        SGGeodesy::SGGeodToCart(SGGeod::fromRad(lon, lat), cart);
+        T.makeTranslate(cart.osg());
+        
         LON.makeRotate(lon, osg::Vec3(0, 0, 1));
         LAT.makeRotate(90.0 * SGD_DEGREES_TO_RADIANS - lat, osg::Vec3(0, 1, 0));
 
-        osg::Vec3 u = up.osg();
-        u.normalize();
-
-        if ((last_lon == 0.0f) || (fabs(last_lon - lon) > 1.0) || (fabs(last_lat - lat) > 1.0))
-        {
-                // First time, or large delta requires repositioning from scratch.
-                // TODO: Make this calculation better - a 0.5 degree shift will take a number
-                // of reposition calls to correct at the moment.
-                
-                // combine p and asl (meters) to get translation offset.
-                osg::Vec3 pos = p.osg();
-                pos += u;
-                
-                T.makeTranslate(pos);
-
-                field_transform->setMatrix( LAT*LON*T );
-                last_lon = lon;
-                last_lat = lat;
-                last_pos = p.osg();
+        field_transform->setMatrix( LAT*LON*T );
+        cld_pos = SGGeoc::fromGeod(SGGeod::fromRad(lon, lat));
+    } else if (dist > fieldSize) {
+        // Distance requires repositioning of cloud field.
+        
+        // We can easily work out the direction to reposition
+        // from the course between the cloud position and the
+        // camera position.
+        SGGeoc pos = SGGeoc::fromGeod(SGGeod::fromRad(lon, lat));
+        
+        float crs = SGGeoc::courseDeg(cld_pos, pos);
+        if ((crs < 45.0) || (crs > 315.0)) {
+            SGGeodesy::advanceRadM(cld_pos, 0.0, fieldSize, cld_pos);
         }
-        else
-        {
-                // Rotation positon back to simple X-Z space.
-                osg::Vec3 pos = last_pos;
-                pos += u;
-                
-                T.makeTranslate(pos);
-                
-                osg::Matrix U = LAT*LON;
-                osg::Vec3 x = osg::Vec3f(fieldSize, 0.0, 0.0)*U;
-                osg::Vec3 y = osg::Vec3f(0.0, fieldSize, 0.0)*U;
-
-                osg::Matrix V;
-                V.makeIdentity();
-                V.invert(U*T);
-                
-                osg::Vec3 q = pos*V;
-                
-                // Shift the field if we've moved away from the centre box.
-                if (q.x() >  fieldSize) last_pos = last_pos + x;
-                if (q.x() < -fieldSize) last_pos = last_pos - x;
-                if (q.y() >  fieldSize) last_pos = last_pos + y;
-                if (q.y() < -fieldSize) last_pos = last_pos - y;
-                
-                pos = last_pos;
-                pos += u;
-                
-                T.makeTranslate(pos);
-                field_transform->setMatrix( LAT*LON*T );
+        
+        if ((crs > 45.0) && (crs < 135.0)) {
+            SGGeodesy::advanceRadM(cld_pos, SGD_PI_2, fieldSize, cld_pos);
         }
+
+        if ((crs > 135.0) && (crs < 225.0)) {
+            SGGeodesy::advanceRadM(cld_pos, SGD_PI, fieldSize, cld_pos);
+        }
+        
+        if ((crs > 225.0) && (crs < 315.0)) {
+            SGGeodesy::advanceRadM(cld_pos, SGD_PI + SGD_PI_2, fieldSize, cld_pos);
+        }
+        
+        SGVec3<double> cart;
+        SGGeodesy::SGGeodToCart(SGGeod::fromRad(cld_pos.getLongitudeRad(), cld_pos.getLatitudeRad()), cart);
+        T.makeTranslate(cart.osg());
+        
+        LON.makeRotate(cld_pos.getLongitudeRad(), osg::Vec3(0, 0, 1));
+        LAT.makeRotate(90.0 * SGD_DEGREES_TO_RADIANS - cld_pos.getLatitudeRad(), osg::Vec3(0, 1, 0));
+
+        field_transform->setMatrix( LAT*LON*T );
+    }
     return true;
 }
 
 SGCloudField::SGCloudField() :
         field_root(new osg::Group),
         field_transform(new osg::MatrixTransform),
-        field_group(new osg::Switch),
 	deltax(0.0),
 	deltay(0.0),
-        last_lon(0.0),
-        last_lat(0.0),
 	last_course(0.0),
 	last_density(0.0),
         defined3D(false)               
 {
-        field_root->addChild(field_transform.get()); 
-        field_group->setName("3Dcloud");
-
-        // We duplicate the defined field group in a 3x3 array. This way,
-        // we can simply shift entire groups around.
-        for(int x = -1 ; x <= 1 ; x++) {
-                for(int y = -1 ; y <= 1 ; y++ ) {
-                        osg::ref_ptr<osg::PositionAttitudeTransform> transform =
-                                new osg::PositionAttitudeTransform;
-                        transform->addChild(field_group.get());
-                        transform->setPosition(osg::Vec3(x*fieldSize, y * fieldSize, 0.0));
-
-                        field_transform->addChild(transform.get());
-                }
+    cld_pos = SGGeoc();
+    field_root->addChild(field_transform.get());         
+    
+    osg::ref_ptr<osg::Group> quad_root = new osg::Group();
+    osg::ref_ptr<osg::LOD> quad[BRANCH_SIZE][BRANCH_SIZE];
+    
+    for (int i = 0; i < BRANCH_SIZE; i++) {
+        for (int j = 0; j < BRANCH_SIZE; j++) {
+            quad[i][j] = new osg::LOD();
+            quad[i][j]->setName("Quad");
+            quad_root->addChild(quad[i][j].get());
         }
+    }
+    
+    for (int x = 0; x < QUADTREE_SIZE; x++) {
+        for (int y = 0; y < QUADTREE_SIZE; y++) {
+            field_group[x][y]= new osg::Switch;
+            field_group[x][y]->setName("3D cloud group");
+            
+            // Work out where to put this node in the quad tree
+            int i = (int) (BRANCH_SIZE * ((float) x) / ((float) QUADTREE_SIZE));
+            int j = (int) (BRANCH_SIZE * ((float) y) / ((float) QUADTREE_SIZE));
+            quad[i][j]->addChild(field_group[x][y].get(), 0.0f, 20000.0f);
+        }
+    }
 
+    // We duplicate the defined field group in a 3x3 array. This way,
+    // we can simply shift entire groups around.
+    // TODO: "Bend" the edge groups so when shifted they line up.
+    // Currently the clouds "jump down" when we reposition them.
+    for(int x = -1 ; x <= 1 ; x++) {
+        for(int y = -1 ; y <= 1 ; y++ ) {
+            osg::ref_ptr<osg::PositionAttitudeTransform> transform =
+                    new osg::PositionAttitudeTransform;
+            transform->addChild(quad_root.get());
+            transform->setPosition(osg::Vec3(x*fieldSize, y * fieldSize, 0.0));
+
+            field_transform->addChild(transform.get());
+        }
+    }
 }
 
 SGCloudField::~SGCloudField() {
@@ -167,12 +184,17 @@ SGCloudField::~SGCloudField() {
 
 
 void SGCloudField::clear(void) {
-        int num_children = field_group->getNumChildren();
+    for (int x = 0; x < QUADTREE_SIZE; x++) {
+        for (int y = 0; y < QUADTREE_SIZE; y++) {
+            int num_children = field_group[x][y]->getNumChildren();
 
-        for (int i = 0; i < num_children; i++) {
-                field_group->removeChild(i);
+            for (int i = 0; i < num_children; i++) {
+                field_group[x][y]->removeChild(i);
+            }
         }
-        SGCloudField::defined3D = false;
+    }
+    
+    SGCloudField::defined3D = false;
 }
 
 // use a table or else we see poping when moving the slider...
@@ -194,18 +216,22 @@ void SGCloudField::applyDensity(void) {
 
         int row = (int) (density / 10.0);
         int col = 0;
-        int num_children = field_group->getNumChildren();
 
         if (density != last_density) {
+            for (int x = 0; x < QUADTREE_SIZE; x++) {
+                for (int y = 0; y < QUADTREE_SIZE; y++) {
                 // Switch on/off the children depending on the required density.
-                for (int i = 0; i < num_children; i++) {
+                    int num_children = field_group[x][y]->getNumChildren();
+                    for (int i = 0; i < num_children; i++) {
                         if (++col > 9) col = 0;
                         if ( densTable[row][col] ) {
-                                field_group->setValue(i, true);
+                            field_group[x][y]->setValue(i, true);
                         } else {
-                                field_group->setValue(i, false);
+                            field_group[x][y]->setValue(i, false);
                         }
+                    }
                 }
+            }
         }
 
         last_density = density;
@@ -213,11 +239,21 @@ void SGCloudField::applyDensity(void) {
 
 void SGCloudField::addCloud( SGVec3f& pos, SGNewCloud *cloud) {
         defined3D = true;
-        osg::ref_ptr<osg::LOD> lod = cloud->genCloud();
+        osg::ref_ptr<osg::Geode> geode = cloud->genCloud();
+        
+        // Determine which quadtree to put it in.
+        int x = (int) floor((pos.x() + fieldSize/2.0) * QUADTREE_SIZE / fieldSize);
+        if (x >= QUADTREE_SIZE) x = (QUADTREE_SIZE - 1);
+        if (x < 0) x = 0;
+        
+        int y = (int) floor((pos.y() + fieldSize/2.0) * QUADTREE_SIZE / fieldSize);
+        if (y >= QUADTREE_SIZE) y = (QUADTREE_SIZE - 1);
+        if (y < 0) y = 0;
+
         osg::ref_ptr<osg::PositionAttitudeTransform> transform = new osg::PositionAttitudeTransform;
 
         transform->setPosition(pos.osg());
-        transform->addChild(lod.get());
-
-        field_group->addChild(transform.get());
+        transform->addChild(geode.get());
+        
+        field_group[x][y]->addChild(transform.get());
 }
diff --git a/simgear/scene/sky/cloudfield.hxx b/simgear/scene/sky/cloudfield.hxx
index dd43669b..cd99f8af 100644
--- a/simgear/scene/sky/cloudfield.hxx
+++ b/simgear/scene/sky/cloudfield.hxx
@@ -56,6 +56,10 @@ private:
 	};
 
         float Rnd(float);
+        
+        // We create a quadtree two levels deep
+        static const int BRANCH_SIZE = 16;
+        static const int QUADTREE_SIZE = 32;
 
 	// this is a relative position only, with that we can move all clouds at once
 	sgVec3 relative_position;
@@ -63,13 +67,14 @@ private:
 
         osg::ref_ptr<osg::Group> field_root;
         osg::ref_ptr<osg::MatrixTransform> field_transform;
-        osg::ref_ptr<osg::Switch> field_group;
+        osg::ref_ptr<osg::Switch> field_group[QUADTREE_SIZE][QUADTREE_SIZE];
+        osg::ref_ptr<osg::LOD> field_lod;
 
 	double deltax, deltay, alt;
-        double last_lon, last_lat, last_course;
+        double last_course;
         sgSphere field_sphere;
 	float	last_density;
-        osg::Vec3 last_pos;
+        SGGeoc cld_pos;
 
 public:
 
diff --git a/simgear/scene/sky/newcloud.cxx b/simgear/scene/sky/newcloud.cxx
index 1ab787e6..bf2ffca4 100644
--- a/simgear/scene/sky/newcloud.cxx
+++ b/simgear/scene/sky/newcloud.cxx
@@ -65,7 +65,6 @@ static char vertexShaderSource[] =
     "#version 120\n"
     "\n"
     "varying float fogFactor;\n"
-    "varying float alphaBlend;\n"
     "attribute float textureIndexX;\n"
     "attribute float textureIndexY;\n"
     "attribute float wScale;\n"
@@ -103,25 +102,22 @@ static char vertexShaderSource[] =
     "  vec4 backlight = 0.8 * gl_LightSource[0].ambient + 0.2 * gl_LightSource[0].diffuse;\n"
     "  gl_FrontColor = mix(backlight, gl_LightSource[0].diffuse, n);\n"
     "  gl_FrontColor += gl_FrontLightModelProduct.sceneColor;\n"
+// As we get within 100m of the sprite, it is faded out
     "  gl_FrontColor.a = smoothstep(10.0, 100.0, fogCoord);\n"
     "  gl_BackColor = gl_FrontColor;\n"
 // Fog doesn't affect clouds as much as other objects.        
-    "  fogFactor = exp( -gl_Fog.density * fogCoord);\n"
+    "  fogFactor = exp( -gl_Fog.density * fogCoord * 0.5);\n"
     "  fogFactor = clamp(fogFactor, 0.0, 1.0);\n"
-// As we get within 100m of the sprite, it is faded out
-    "  alphaBlend = smoothstep(10.0, 100.0, fogCoord);\n"
     "}\n";
 
 static char fragmentShaderSource[] = 
     "uniform sampler2D baseTexture; \n"
     "varying float fogFactor;\n"
-    "varying float alphaBlend;\n"
     "\n"
     "void main(void)\n"
     "{\n"
     "  vec4 base = texture2D( baseTexture, gl_TexCoord[0].st);\n"
     "  vec4 finalColor = base * gl_Color;\n"
-//    "  finalColor.a = min(alphaBlend, finalColor.a);\n"
     "  gl_FragColor = mix(gl_Fog.color, finalColor, fogFactor );\n"
     "}\n";
 
@@ -238,12 +234,14 @@ SGNewCloud::SGNewCloud(const SGPath &tex_path,
     } else {
         stateSet = iter->second.get();
     }
+    
+    quad = createOrthQuad(min_sprite_width, min_sprite_height, num_textures_x, num_textures_y);
 }
 
 SGNewCloud::~SGNewCloud() {
 }
 
-osg::Geometry* createOrthQuad(float w, float h, int varieties_x, int varieties_y)
+osg::Geometry* SGNewCloud::createOrthQuad(float w, float h, int varieties_x, int varieties_y)
 {
     // Create front and back polygons so we don't need to screw around
     // with two-sided lighting in the shader.
@@ -292,16 +290,16 @@ static float Rnd(float n) {
     return n * (-0.5f + (sg_random() + sg_random()) / 2.0f);
 }
 
-osg::ref_ptr<LOD> SGNewCloud::genCloud() {
-    LOD* result = new LOD;
+osg::ref_ptr<Geode> SGNewCloud::genCloud() {
     Geode* geode = new Geode;
     CloudShaderGeometry* sg = new CloudShaderGeometry(num_textures_x, num_textures_y);
     
-    Geometry* quad = createOrthQuad(min_sprite_width, min_sprite_height, num_textures_x, num_textures_y);
     
-    // Determine how big this specific cloud instance is.
-    float width = min_width + sg_random() * (max_width - min_width);
-    float height = min_height + sg_random() * (max_height - min_height);
+    // Determine how big this specific cloud instance is. Note that we subtract
+    // the sprite size because the width/height is used to define the limits of
+    // the center of the sprites, not their edges.
+    float width = min_width + sg_random() * (max_width - min_width) - max_sprite_width;
+    float height = min_height + sg_random() * (max_height - min_height) - max_sprite_height;
     
     // Determine the cull distance. This is used to remove sprites that are too close together.
     // The value is squared as we use vector calculations.
@@ -309,10 +307,14 @@ osg::ref_ptr<LOD> SGNewCloud::genCloud() {
     
     for (int i = 0; i < num_sprites; i++)
     {
-        // Determine the position of the sprite.
-        SGVec3f *pos = new SGVec3f(Rnd(width),
-                                   Rnd(width),
-                                   Rnd(height));
+        // Determine the position of the sprite. Rather than being completely random,
+        // sprites are placed on a squashed sphere.
+        double theta = sg_random() * SGD_2PI;
+        float x = width * cos(theta) * 0.5f;
+        float y = width * sin(theta) * 0.5f;
+        float z = height * cos(sg_random() * SGD_2PI) * 0.5f; 
+        
+        SGVec3f *pos = new SGVec3f(x, y, z); 
 
         // Determine the height and width as scaling factors on the minimum size (used to create the quad)
         float sprite_width = 1.0f + sg_random() * (max_sprite_width - min_sprite_width) / min_sprite_width;
@@ -320,10 +322,10 @@ osg::ref_ptr<LOD> SGNewCloud::genCloud() {
         
         // The shade varies from bottom_shade to 1.0 non-linearly
         float shade;
-        if (pos->z() > 0.0f) { 
+        if (z > 0.0f) { 
             shade = 1.0f; 
         } else {
-            shade = ((2 * pos->z() + height) / height) * (1 - bottom_shade) + bottom_shade;
+            shade = ((2 * z + height) / height) * (1 - bottom_shade) + bottom_shade;
         }
         
         // Determine the sprite texture indexes;
@@ -340,6 +342,5 @@ osg::ref_ptr<LOD> SGNewCloud::genCloud() {
     geode->addDrawable(sg);
     geode->setName("3D cloud");
     geode->setStateSet(stateSet.get());
-    result->addChild(geode, 0, 20000);
-    return result;
+    return geode;
 }
diff --git a/simgear/scene/sky/newcloud.hxx b/simgear/scene/sky/newcloud.hxx
index 3cb93dd4..76ded5e9 100644
--- a/simgear/scene/sky/newcloud.hxx
+++ b/simgear/scene/sky/newcloud.hxx
@@ -58,7 +58,7 @@ public:
 	~SGNewCloud();
 
         // Generate a Cloud
-        osg::ref_ptr<osg::LOD> genCloud ();
+        osg::ref_ptr<osg::Geode> genCloud ();
 
 private:
 
@@ -75,9 +75,11 @@ private:
         int num_textures_x;
         int num_textures_y;
         const string texture;
-        
+        osg::Geometry* quad;
         osg::ref_ptr<osg::StateSet> stateSet;
 
+        osg::Geometry* createOrthQuad(float w, float h, int varieties_x, int varieties_y);
+
 public:
 
 };
diff --git a/simgear/scene/sky/sky.cxx b/simgear/scene/sky/sky.cxx
index 4b6e4743..6772e260 100644
--- a/simgear/scene/sky/sky.cxx
+++ b/simgear/scene/sky/sky.cxx
@@ -187,19 +187,6 @@ SGSky::get_cloud_layer_count () const
     return cloud_layers.size();
 }
 
-void SGSky::set_3dClouds(bool enable)
-{
-    for ( unsigned i = 0; i < cloud_layers.size(); ++i ) {
-        cloud_layers[i]->set_enable3dClouds(enable);
-    }
-
-    clouds_3d_enabled = enable;
-}
-
-bool SGSky::get_3dClouds() const {
-    return clouds_3d_enabled;
-}
-
 double SGSky::get_3dCloudDensity() const {
     return SGCloudField::get_density();
 }
@@ -250,7 +237,7 @@ void SGSky::modify_vis( float alt, float time_factor ) {
 	}
 
         if ( cloud_layers[i]->getCoverage() == SGCloudLayer::SG_CLOUD_CLEAR ||
-             get_3dClouds()) {
+             cloud_layers[i]->get_layer3D()->defined3D) {
             // do nothing, clear layers aren't drawn, don't affect
             // visibility andn dont' need to be faded in or out.
         } else if ( (cloud_layers[i]->getCoverage() == 
diff --git a/simgear/scene/sky/sky.hxx b/simgear/scene/sky/sky.hxx
index c7308784..899213d8 100644
--- a/simgear/scene/sky/sky.hxx
+++ b/simgear/scene/sky/sky.hxx
@@ -414,14 +414,6 @@ public:
 	effective_visibility = visibility = (v <= 25.0) ? 25.0 : v;
     }
 
-    /** Get whether 3D clouds are enabled */
-    virtual bool get_3dClouds() const;
-
-    /** Set whether 3D clouds are enabled
-     * @param enable Whether to enable 3D clouds
-     */
-    virtual void set_3dClouds(bool enable);
-
     /** Get 3D cloud density */
     virtual double get_3dCloudDensity() const;