diff --git a/icu4j/src/com/ibm/icu/text/SimpleDateFormat.java b/icu4j/src/com/ibm/icu/text/SimpleDateFormat.java
index 576d361877..ec9bb6ae56 100755
--- a/icu4j/src/com/ibm/icu/text/SimpleDateFormat.java
+++ b/icu4j/src/com/ibm/icu/text/SimpleDateFormat.java
@@ -32,7 +32,6 @@ import com.ibm.icu.impl.UCharacterProperty;
 import com.ibm.icu.impl.ZoneMeta;
 import com.ibm.icu.lang.UCharacter;
 import com.ibm.icu.util.Calendar;
-import com.ibm.icu.util.SimpleTimeZone;
 import com.ibm.icu.util.TimeZone;
 import com.ibm.icu.util.ULocale;
 
@@ -1868,6 +1867,8 @@ public class SimpleDateFormat extends DateFormat {
                     if ((text.length() - start) >= GMT.length() &&
                         text.regionMatches(true, start, GMT, 0, GMT.length()))
                         {
+                            cal.set(Calendar.DST_OFFSET, 0);
+
                             pos.setIndex(start + GMT.length());
 
                             try { // try-catch for "GMT" only time zone string
@@ -1882,38 +1883,40 @@ public class SimpleDateFormat extends DateFormat {
                             } catch(StringIndexOutOfBoundsException e) {
                             }
                             if (sign == 0) {
-                                offset = 0;
-                            } else {
-                                // Look for hours:minutes or hhmm.
+                                cal.set(Calendar.ZONE_OFFSET, 0 );
+                                return pos.getIndex();
+                            }
+
+                            // Look for hours:minutes or hhmm.
+                            pos.setIndex(pos.getIndex() + 1);
+                            int st = pos.getIndex();
+                            Number tzNumber = numberFormat.parse(text, pos);
+                            if( tzNumber == null) {
+                                return -start;
+                            }
+                            if( pos.getIndex() < text.length() &&
+                                text.charAt(pos.getIndex()) == ':' ) {
+
+                                // This is the hours:minutes case
+                                offset = tzNumber.intValue() * 60;
                                 pos.setIndex(pos.getIndex() + 1);
-                                int st = pos.getIndex();
-                                Number tzNumber = numberFormat.parse(text, pos);
+                                tzNumber = numberFormat.parse(text, pos);
                                 if( tzNumber == null) {
                                     return -start;
                                 }
-                                if( pos.getIndex() < text.length() &&
-                                    text.charAt(pos.getIndex()) == ':' ) {
-
-                                    // This is the hours:minutes case
-                                    offset = tzNumber.intValue() * 60;
-                                    pos.setIndex(pos.getIndex() + 1);
-                                    tzNumber = numberFormat.parse(text, pos);
-                                    if( tzNumber == null) {
-                                        return -start;
-                                    }
-                                    offset += tzNumber.intValue();
-                                }
-                                else {
-                                    // This is the hhmm case.
-                                    offset = tzNumber.intValue();
-                                    // Assume "-23".."+23" refers to hours.
-                                    if( offset < 24 && (pos.getIndex() - st) <= 2)
-                                        offset *= 60;
-                                    else
-                                        // todo: this looks questionable, should have more error checking
-                                        offset = offset % 100 + offset / 100 * 60;
-                                }
+                                offset += tzNumber.intValue();
                             }
+                            else {
+                                // This is the hhmm case.
+                                offset = tzNumber.intValue();
+                                // Assume "-23".."+23" refers to hours.
+                                if( offset < 24 && (pos.getIndex() - st) <= 2)
+                                    offset *= 60;
+                                else
+                                    // todo: this looks questionable, should have more error checking
+                                    offset = offset % 100 + offset / 100 * 60;
+                            }
+
                             // Fall through for final processing below of 'offset' and 'sign'.
                         }
                     else {
@@ -1955,20 +1958,12 @@ public class SimpleDateFormat extends DateFormat {
                     // assert (sign != 0) : sign; // enable when guaranteed JDK >= 1.4
                     offset *= millisPerMinute * sign;
 
-                    //TODO: revisit this after 3.8
-                    // We do not know if the date is in DST or not, thus,
-                    // better to use standard time
-                    //if (cal.getTimeZone().useDaylightTime())
-                    //    {
-                    //        cal.set(Calendar.DST_OFFSET, millisPerHour);
-                    //        offset -= millisPerHour;
-                    //    }
-                    cal.set(Calendar.DST_OFFSET, 0);
+                    if (cal.getTimeZone().useDaylightTime())
+                        {
+                            cal.set(Calendar.DST_OFFSET, millisPerHour);
+                            offset -= millisPerHour;
+                        }
                     cal.set(Calendar.ZONE_OFFSET, offset);
-                    // Create TimeZone instance to match the parsed offset pattern and set it
-                    // to the result calendar
-                    SimpleTimeZone tz = new SimpleTimeZone(offset, text.substring(start, pos.getIndex() - start));
-                    parsedTimeZone = tz;
 
                     return pos.getIndex();
                 }