diff --git a/hadoop-yarn-project/CHANGES.txt b/hadoop-yarn-project/CHANGES.txt
index a84ef33671a..0a6eedf4740 100644
--- a/hadoop-yarn-project/CHANGES.txt
+++ b/hadoop-yarn-project/CHANGES.txt
@@ -146,6 +146,9 @@ Release 2.3.0 - UNRELEASED
     current attempt instead of the attempt passed as argument (Omkar Vinit
     Joshi via bikas)
 
+    YARN-1053. Diagnostic message from ContainerExitEvent is ignored in
+    ContainerImpl (Omkar Vinit Joshi via bikas)
+
 Release 2.2.1 - UNRELEASED
 
   INCOMPATIBLE CHANGES
diff --git a/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-nodemanager/src/main/java/org/apache/hadoop/yarn/server/nodemanager/containermanager/container/ContainerImpl.java b/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-nodemanager/src/main/java/org/apache/hadoop/yarn/server/nodemanager/containermanager/container/ContainerImpl.java
index 34c0cc66dd6..486f3ce00c5 100644
--- a/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-nodemanager/src/main/java/org/apache/hadoop/yarn/server/nodemanager/containermanager/container/ContainerImpl.java
+++ b/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-nodemanager/src/main/java/org/apache/hadoop/yarn/server/nodemanager/containermanager/container/ContainerImpl.java
@@ -18,7 +18,6 @@
 
 package org.apache.hadoop.yarn.server.nodemanager.containermanager.container;
 
-import java.io.IOException;
 import java.net.URISyntaxException;
 import java.nio.ByteBuffer;
 import java.util.ArrayList;
@@ -687,6 +686,10 @@ public ExitedWithFailureTransition(boolean clCleanupRequired) {
     public void transition(ContainerImpl container, ContainerEvent event) {
       ContainerExitEvent exitEvent = (ContainerExitEvent) event;
       container.exitCode = exitEvent.getExitCode();
+      if (exitEvent.getDiagnosticInfo() != null) {
+        container.diagnostics.append(exitEvent.getDiagnosticInfo())
+          .append('\n');
+      }
 
       // TODO: Add containerWorkDir to the deletion service.
       // TODO: Add containerOuputDir to the deletion service.
@@ -806,6 +809,10 @@ static class ContainerKilledTransition implements
     public void transition(ContainerImpl container, ContainerEvent event) {
       ContainerExitEvent exitEvent = (ContainerExitEvent) event;
       container.exitCode = exitEvent.getExitCode();
+      if (exitEvent.getDiagnosticInfo() != null) {
+        container.diagnostics.append(exitEvent.getDiagnosticInfo())
+          .append('\n');
+      }
 
       // The process/process-grp is killed. Decrement reference counts and
       // cleanup resources
diff --git a/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-nodemanager/src/test/java/org/apache/hadoop/yarn/server/nodemanager/containermanager/container/TestContainer.java b/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-nodemanager/src/test/java/org/apache/hadoop/yarn/server/nodemanager/containermanager/container/TestContainer.java
index ebc400abb00..addb28d83a2 100644
--- a/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-nodemanager/src/test/java/org/apache/hadoop/yarn/server/nodemanager/containermanager/container/TestContainer.java
+++ b/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-nodemanager/src/test/java/org/apache/hadoop/yarn/server/nodemanager/containermanager/container/TestContainer.java
@@ -55,6 +55,7 @@
 import org.apache.hadoop.yarn.api.records.ApplicationId;
 import org.apache.hadoop.yarn.api.records.ContainerId;
 import org.apache.hadoop.yarn.api.records.ContainerLaunchContext;
+import org.apache.hadoop.yarn.api.records.ContainerStatus;
 import org.apache.hadoop.yarn.api.records.LocalResource;
 import org.apache.hadoop.yarn.api.records.LocalResourceType;
 import org.apache.hadoop.yarn.api.records.LocalResourceVisibility;
@@ -844,9 +845,13 @@ public void containerResourcesCleanup() {
     }
 
     public void containerFailed(int exitCode) {
+      String diagnosticMsg = "Container completed with exit code " + exitCode;
       c.handle(new ContainerExitEvent(cId,
           ContainerEventType.CONTAINER_EXITED_WITH_FAILURE, exitCode,
-          "Container completed with exit code " + exitCode));
+          diagnosticMsg));
+      ContainerStatus containerStatus = c.cloneAndGetContainerStatus();
+      assert containerStatus.getDiagnostics().contains(diagnosticMsg);
+      assert containerStatus.getExitStatus() == exitCode;
       drainDispatcherEvents();
     }
 
@@ -857,9 +862,13 @@ public void killContainer() {
 
     public void containerKilledOnRequest() {
       int exitCode = ExitCode.FORCE_KILLED.getExitCode();
+      String diagnosticMsg = "Container completed with exit code " + exitCode;
       c.handle(new ContainerExitEvent(cId,
           ContainerEventType.CONTAINER_KILLED_ON_REQUEST, exitCode,
-          "Container completed with exit code " + exitCode));
+          diagnosticMsg));
+      ContainerStatus containerStatus = c.cloneAndGetContainerStatus();
+      assert containerStatus.getDiagnostics().contains(diagnosticMsg);
+      assert containerStatus.getExitStatus() == exitCode; 
       drainDispatcherEvents();
     }