diff --git a/drivers/net/ppp_generic.c b/drivers/net/ppp_generic.c
index 541168713f1f..3ef0092dc09c 100644
--- a/drivers/net/ppp_generic.c
+++ b/drivers/net/ppp_generic.c
@@ -1708,7 +1708,18 @@ ppp_decompress_frame(struct ppp *ppp, struct sk_buff *skb)
 		goto err;
 
 	if (proto == PPP_COMP) {
-		ns = dev_alloc_skb(ppp->mru + PPP_HDRLEN);
+		int obuff_size;
+
+		switch(ppp->rcomp->compress_proto) {
+		case CI_MPPE:
+			obuff_size = ppp->mru + PPP_HDRLEN + 1;
+			break;
+		default:
+			obuff_size = ppp->mru + PPP_HDRLEN;
+			break;
+		}
+
+		ns = dev_alloc_skb(obuff_size);
 		if (ns == 0) {
 			printk(KERN_ERR "ppp_decompress_frame: no memory\n");
 			goto err;