diff --git a/reactos/dll/win32/xmllite/reader.c b/reactos/dll/win32/xmllite/reader.c
new file mode 100644
index 00000000000..00a48fc693d
--- /dev/null
+++ b/reactos/dll/win32/xmllite/reader.c
@@ -0,0 +1,493 @@
+/*
+ * IXmlReader implementation
+ *
+ * Copyright 2010 Nikolay Sivov
+ *
+ * This library is free software; you can redistribute it and/or
+ * modify it under the terms of the GNU Lesser General Public
+ * License as published by the Free Software Foundation; either
+ * version 2.1 of the License, or (at your option) any later version.
+ *
+ * This library is distributed in the hope that it will be useful,
+ * but WITHOUT ANY WARRANTY; without even the implied warranty of
+ * MERCHANTABILITY or FITNESS FOR A PARTICULAR PURPOSE.  See the GNU
+ * Lesser General Public License for more details.
+ *
+ * You should have received a copy of the GNU Lesser General Public
+ * License along with this library; if not, write to the Free Software
+ * Foundation, Inc., 51 Franklin St, Fifth Floor, Boston, MA 02110-1301, USA
+ */
+
+#define COBJMACROS
+
+#include <stdarg.h>
+#include "windef.h"
+#include "winbase.h"
+#include "initguid.h"
+#include "objbase.h"
+#include "xmllite.h"
+
+#include "wine/debug.h"
+
+WINE_DEFAULT_DEBUG_CHANNEL(xmllite);
+
+/* not defined in public headers */
+DEFINE_GUID(IID_IXmlReaderInput, 0x0b3ccc9b, 0x9214, 0x428b, 0xa2, 0xae, 0xef, 0x3a, 0xa8, 0x71, 0xaf, 0xda);
+
+static HRESULT xmlreaderinput_query_for_stream(IXmlReaderInput *iface, void **pObj);
+
+typedef struct _xmlreader
+{
+    const IXmlReaderVtbl *lpVtbl;
+    LONG ref;
+    IXmlReaderInput *input;
+    ISequentialStream *stream;/* stored as sequential stream, cause currently
+                                 optimizations possible with IStream aren't implemented */
+    XmlReadState state;
+    UINT line, pos;           /* reader position in XML stream */
+} xmlreader;
+
+typedef struct _xmlreaderinput
+{
+    const IUnknownVtbl *lpVtbl;
+    LONG ref;
+    IUnknown *input;          /* reference passed on IXmlReaderInput creation */
+} xmlreaderinput;
+
+static inline xmlreader *impl_from_IXmlReader(IXmlReader *iface)
+{
+    return (xmlreader *)((char*)iface - FIELD_OFFSET(xmlreader, lpVtbl));
+}
+
+static inline xmlreaderinput *impl_from_IXmlReaderInput(IXmlReaderInput *iface)
+{
+    return (xmlreaderinput *)((char*)iface - FIELD_OFFSET(xmlreaderinput, lpVtbl));
+}
+
+static HRESULT WINAPI xmlreader_QueryInterface(IXmlReader *iface, REFIID riid, void** ppvObject)
+{
+    xmlreader *This = impl_from_IXmlReader(iface);
+
+    TRACE("%p %s %p\n", This, debugstr_guid(riid), ppvObject);
+
+    if (IsEqualGUID(riid, &IID_IUnknown) ||
+        IsEqualGUID(riid, &IID_IXmlReader))
+    {
+        *ppvObject = iface;
+    }
+    else
+    {
+        FIXME("interface %s not implemented\n", debugstr_guid(riid));
+        return E_NOINTERFACE;
+    }
+
+    IXmlReader_AddRef(iface);
+
+    return S_OK;
+}
+
+static ULONG WINAPI xmlreader_AddRef(IXmlReader *iface)
+{
+    xmlreader *This = impl_from_IXmlReader(iface);
+    TRACE("%p\n", This);
+    return InterlockedIncrement(&This->ref);
+}
+
+static ULONG WINAPI xmlreader_Release(IXmlReader *iface)
+{
+    xmlreader *This = impl_from_IXmlReader(iface);
+    LONG ref;
+
+    TRACE("%p\n", This);
+
+    ref = InterlockedDecrement(&This->ref);
+    if (ref == 0)
+    {
+        if (This->input)  IUnknown_Release(This->input);
+        if (This->stream) IUnknown_Release(This->stream);
+        HeapFree(GetProcessHeap(), 0, This);
+    }
+
+    return ref;
+}
+
+static HRESULT WINAPI xmlreader_SetInput(IXmlReader* iface, IUnknown *input)
+{
+    xmlreader *This = impl_from_IXmlReader(iface);
+    HRESULT hr;
+
+    TRACE("(%p %p)\n", This, input);
+
+    if (This->input)
+    {
+        IUnknown_Release(This->input);
+        This->input  = NULL;
+    }
+
+    if (This->stream)
+    {
+        IUnknown_Release(This->stream);
+        This->stream = NULL;
+    }
+
+    This->line = This->pos = 0;
+
+    /* just reset current input */
+    if (!input)
+    {
+        This->state = XmlReadState_Initial;
+        return S_OK;
+    }
+
+    /* now try IXmlReaderInput, ISequentialStream, IStream */
+    hr = IUnknown_QueryInterface(input, &IID_IXmlReaderInput, (void**)&This->input);
+    if (hr != S_OK)
+    {
+        /* create IXmlReaderInput basing on supplied interface */
+        hr = CreateXmlReaderInputWithEncodingName(input,
+                                         NULL, NULL, FALSE, NULL, &This->input);
+        if (hr != S_OK) return hr;
+    }
+
+    /* set stream for supplied IXmlReaderInput */
+    hr = xmlreaderinput_query_for_stream(This->input, (void**)&This->stream);
+    if (hr == S_OK)
+        This->state = XmlReadState_Initial;
+
+    return hr;
+}
+
+static HRESULT WINAPI xmlreader_GetProperty(IXmlReader* iface, UINT property, LONG_PTR *value)
+{
+    xmlreader *This = impl_from_IXmlReader(iface);
+
+    TRACE("(%p %u %p)\n", This, property, value);
+
+    if (!value) return E_INVALIDARG;
+
+    switch (property)
+    {
+        case XmlReaderProperty_ReadState:
+            *value = This->state;
+            break;
+        default:
+            FIXME("Unimplemented property (%u)\n", property);
+            return E_NOTIMPL;
+    }
+
+    return S_OK;
+}
+
+static HRESULT WINAPI xmlreader_SetProperty(IXmlReader* iface, UINT property, LONG_PTR value)
+{
+    FIXME("(%p %u %lu): stub\n", iface, property, value);
+    return E_NOTIMPL;
+}
+
+static HRESULT WINAPI xmlreader_Read(IXmlReader* iface, XmlNodeType *node_type)
+{
+    FIXME("(%p %p): stub\n", iface, node_type);
+    return E_NOTIMPL;
+}
+
+static HRESULT WINAPI xmlreader_GetNodeType(IXmlReader* iface, XmlNodeType *node_type)
+{
+    FIXME("(%p %p): stub\n", iface, node_type);
+    return E_NOTIMPL;
+}
+
+static HRESULT WINAPI xmlreader_MoveToFirstAttribute(IXmlReader* iface)
+{
+    FIXME("(%p): stub\n", iface);
+    return E_NOTIMPL;
+}
+
+static HRESULT WINAPI xmlreader_MoveToNextAttribute(IXmlReader* iface)
+{
+    FIXME("(%p): stub\n", iface);
+    return E_NOTIMPL;
+}
+
+static HRESULT WINAPI xmlreader_MoveToAttributeByName(IXmlReader* iface,
+                                                      LPCWSTR local_name,
+                                                      LPCWSTR namespaceUri)
+{
+    FIXME("(%p %p %p): stub\n", iface, local_name, namespaceUri);
+    return E_NOTIMPL;
+}
+
+static HRESULT WINAPI xmlreader_MoveToElement(IXmlReader* iface)
+{
+    FIXME("(%p): stub\n", iface);
+    return E_NOTIMPL;
+}
+
+static HRESULT WINAPI xmlreader_GetQualifiedName(IXmlReader* iface, LPCWSTR *qualifiedName,
+                                                 UINT *qualifiedName_length)
+{
+    FIXME("(%p %p %p): stub\n", iface, qualifiedName, qualifiedName_length);
+    return E_NOTIMPL;
+}
+
+static HRESULT WINAPI xmlreader_GetNamespaceUri(IXmlReader* iface,
+                                                LPCWSTR *namespaceUri,
+                                                UINT *namespaceUri_length)
+{
+    FIXME("(%p %p %p): stub\n", iface, namespaceUri, namespaceUri_length);
+    return E_NOTIMPL;
+}
+
+static HRESULT WINAPI xmlreader_GetLocalName(IXmlReader* iface,
+                                             LPCWSTR *local_name,
+                                             UINT *local_name_length)
+{
+    FIXME("(%p %p %p): stub\n", iface, local_name, local_name_length);
+    return E_NOTIMPL;
+}
+
+static HRESULT WINAPI xmlreader_GetPrefix(IXmlReader* iface,
+                                          LPCWSTR *prefix,
+                                          UINT *prefix_length)
+{
+    FIXME("(%p %p %p): stub\n", iface, prefix, prefix_length);
+    return E_NOTIMPL;
+}
+
+static HRESULT WINAPI xmlreader_GetValue(IXmlReader* iface,
+                                         LPCWSTR *value,
+                                         UINT *value_length)
+{
+    FIXME("(%p %p %p): stub\n", iface, value, value_length);
+    return E_NOTIMPL;
+}
+
+static HRESULT WINAPI xmlreader_ReadValueChunk(IXmlReader* iface,
+                                               WCHAR *buffer,
+                                               UINT   chunk_size,
+                                               UINT  *read)
+{
+    FIXME("(%p %p %u %p): stub\n", iface, buffer, chunk_size, read);
+    return E_NOTIMPL;
+}
+
+static HRESULT WINAPI xmlreader_GetBaseUri(IXmlReader* iface,
+                                           LPCWSTR *baseUri,
+                                           UINT *baseUri_length)
+{
+    FIXME("(%p %p %p): stub\n", iface, baseUri, baseUri_length);
+    return E_NOTIMPL;
+}
+
+static BOOL WINAPI xmlreader_IsDefault(IXmlReader* iface)
+{
+    FIXME("(%p): stub\n", iface);
+    return E_NOTIMPL;
+}
+
+static BOOL WINAPI xmlreader_IsEmptyElement(IXmlReader* iface)
+{
+    FIXME("(%p): stub\n", iface);
+    return E_NOTIMPL;
+}
+
+static HRESULT WINAPI xmlreader_GetLineNumber(IXmlReader* iface, UINT *lineNumber)
+{
+    xmlreader *This = impl_from_IXmlReader(iface);
+
+    TRACE("(%p %p)\n", This, lineNumber);
+
+    if (!lineNumber) return E_INVALIDARG;
+
+    *lineNumber = This->line;
+
+    return S_OK;
+}
+
+static HRESULT WINAPI xmlreader_GetLinePosition(IXmlReader* iface, UINT *linePosition)
+{
+    xmlreader *This = impl_from_IXmlReader(iface);
+
+    TRACE("(%p %p)\n", This, linePosition);
+
+    if (!linePosition) return E_INVALIDARG;
+
+    *linePosition = This->pos;
+
+    return S_OK;
+}
+
+static HRESULT WINAPI xmlreader_GetAttributeCount(IXmlReader* iface, UINT *attributeCount)
+{
+    FIXME("(%p %p): stub\n", iface, attributeCount);
+    return E_NOTIMPL;
+}
+
+static HRESULT WINAPI xmlreader_GetDepth(IXmlReader* iface, UINT *depth)
+{
+    FIXME("(%p %p): stub\n", iface, depth);
+    return E_NOTIMPL;
+}
+
+static BOOL WINAPI xmlreader_IsEOF(IXmlReader* iface)
+{
+    FIXME("(%p): stub\n", iface);
+    return E_NOTIMPL;
+}
+
+static const struct IXmlReaderVtbl xmlreader_vtbl =
+{
+    xmlreader_QueryInterface,
+    xmlreader_AddRef,
+    xmlreader_Release,
+    xmlreader_SetInput,
+    xmlreader_GetProperty,
+    xmlreader_SetProperty,
+    xmlreader_Read,
+    xmlreader_GetNodeType,
+    xmlreader_MoveToFirstAttribute,
+    xmlreader_MoveToNextAttribute,
+    xmlreader_MoveToAttributeByName,
+    xmlreader_MoveToElement,
+    xmlreader_GetQualifiedName,
+    xmlreader_GetNamespaceUri,
+    xmlreader_GetLocalName,
+    xmlreader_GetPrefix,
+    xmlreader_GetValue,
+    xmlreader_ReadValueChunk,
+    xmlreader_GetBaseUri,
+    xmlreader_IsDefault,
+    xmlreader_IsEmptyElement,
+    xmlreader_GetLineNumber,
+    xmlreader_GetLinePosition,
+    xmlreader_GetAttributeCount,
+    xmlreader_GetDepth,
+    xmlreader_IsEOF
+};
+
+/** IXmlReaderInput **/
+
+/* Queries already stored interface for IStream/ISequentialStream.
+   Interface supplied on creation will be overwritten */
+static HRESULT xmlreaderinput_query_for_stream(IXmlReaderInput *iface, void **pObj)
+{
+    xmlreaderinput *This = impl_from_IXmlReaderInput(iface);
+    HRESULT hr;
+
+    hr = IUnknown_QueryInterface(This->input, &IID_IStream, pObj);
+    if (hr != S_OK)
+        hr = IUnknown_QueryInterface(This->input, &IID_ISequentialStream, pObj);
+
+    return hr;
+}
+
+static HRESULT WINAPI xmlreaderinput_QueryInterface(IXmlReaderInput *iface, REFIID riid, void** ppvObject)
+{
+    xmlreaderinput *This = impl_from_IXmlReaderInput(iface);
+
+    TRACE("%p %s %p\n", This, debugstr_guid(riid), ppvObject);
+
+    if (IsEqualGUID(riid, &IID_IXmlReaderInput) ||
+        IsEqualGUID(riid, &IID_IUnknown))
+    {
+        *ppvObject = iface;
+    }
+    else
+    {
+        FIXME("interface %s not implemented\n", debugstr_guid(riid));
+        return E_NOINTERFACE;
+    }
+
+    IUnknown_AddRef(iface);
+
+    return S_OK;
+}
+
+static ULONG WINAPI xmlreaderinput_AddRef(IXmlReaderInput *iface)
+{
+    xmlreaderinput *This = impl_from_IXmlReaderInput(iface);
+    TRACE("%p\n", This);
+    return InterlockedIncrement(&This->ref);
+}
+
+static ULONG WINAPI xmlreaderinput_Release(IXmlReaderInput *iface)
+{
+    xmlreaderinput *This = impl_from_IXmlReaderInput(iface);
+    LONG ref;
+
+    TRACE("%p\n", This);
+
+    ref = InterlockedDecrement(&This->ref);
+    if (ref == 0)
+    {
+        if (This->input) IUnknown_Release(This->input);
+        HeapFree(GetProcessHeap(), 0, This);
+    }
+
+    return ref;
+}
+
+static const struct IUnknownVtbl xmlreaderinput_vtbl =
+{
+    xmlreaderinput_QueryInterface,
+    xmlreaderinput_AddRef,
+    xmlreaderinput_Release
+};
+
+HRESULT WINAPI CreateXmlReader(REFIID riid, void **pObject, IMalloc *pMalloc)
+{
+    xmlreader *reader;
+
+    TRACE("(%s, %p, %p)\n", wine_dbgstr_guid(riid), pObject, pMalloc);
+
+    if (pMalloc) FIXME("custom IMalloc not supported yet\n");
+
+    if (!IsEqualGUID(riid, &IID_IXmlReader))
+    {
+        ERR("Unexpected IID requested -> (%s)\n", wine_dbgstr_guid(riid));
+        return E_FAIL;
+    }
+
+    reader = HeapAlloc(GetProcessHeap(), 0, sizeof (*reader));
+    if(!reader) return E_OUTOFMEMORY;
+
+    reader->lpVtbl = &xmlreader_vtbl;
+    reader->ref = 1;
+    reader->stream = NULL;
+    reader->input = NULL;
+    reader->state = XmlReadState_Closed;
+    reader->line  = reader->pos = 0;
+
+    *pObject = &reader->lpVtbl;
+
+    TRACE("returning iface %p\n", *pObject);
+
+    return S_OK;
+}
+
+HRESULT WINAPI CreateXmlReaderInputWithEncodingName(IUnknown *stream,
+                                                    IMalloc *pMalloc,
+                                                    LPCWSTR encoding,
+                                                    BOOL hint,
+                                                    LPCWSTR base_uri,
+                                                    IXmlReaderInput **ppInput)
+{
+    xmlreaderinput *readerinput;
+
+    FIXME("%p %p %s %d %s %p: stub\n", stream, pMalloc, wine_dbgstr_w(encoding),
+                                       hint, wine_dbgstr_w(base_uri), ppInput);
+
+    if (!stream || !ppInput) return E_INVALIDARG;
+
+    readerinput = HeapAlloc(GetProcessHeap(), 0, sizeof (*readerinput));
+    if(!readerinput) return E_OUTOFMEMORY;
+
+    readerinput->lpVtbl = &xmlreaderinput_vtbl;
+    readerinput->ref = 1;
+    IUnknown_QueryInterface(stream, &IID_IUnknown, (void**)&readerinput->input);
+
+    *ppInput = (IXmlReaderInput*)&readerinput->lpVtbl;
+
+    TRACE("returning iface %p\n", *ppInput);
+
+    return S_OK;
+}
diff --git a/reactos/dll/win32/xmllite/xmllite.rbuild b/reactos/dll/win32/xmllite/xmllite.rbuild
index 207c7839091..c74cd88e8c5 100644
--- a/reactos/dll/win32/xmllite/xmllite.rbuild
+++ b/reactos/dll/win32/xmllite/xmllite.rbuild
@@ -4,5 +4,6 @@
 	<include base="ReactOS">include/reactos/wine</include>
 	<define name="__WINESRC__" />
 	<library>wine</library>
+	<file>reader.c</file>
 	<file>xmllite_main.c</file>
 </module>
diff --git a/reactos/dll/win32/xmllite/xmllite.spec b/reactos/dll/win32/xmllite/xmllite.spec
index cf436372b36..d2d0ff7fad0 100644
--- a/reactos/dll/win32/xmllite/xmllite.spec
+++ b/reactos/dll/win32/xmllite/xmllite.spec
@@ -1,6 +1,6 @@
-@ stub CreateXmlReader
+@ stdcall CreateXmlReader(ptr ptr ptr)
 @ stub CreateXmlReaderInputWithEncodingCodePage
-@ stub CreateXmlReaderInputWithEncodingName
+@ stdcall CreateXmlReaderInputWithEncodingName(ptr ptr ptr long ptr ptr)
 @ stub CreateXmlWriter
 @ stub CreateXmlWriterOutputWithEncodingCodePage
 @ stub CreateXmlWriterOutputWithEncodingName