diff --git a/src/apps/deskbar/BarView.cpp b/src/apps/deskbar/BarView.cpp
index dcea99ed31..b6ebf8632d 100644
--- a/src/apps/deskbar/BarView.cpp
+++ b/src/apps/deskbar/BarView.cpp
@@ -64,9 +64,10 @@ const int32 kDefaultRecentDocCount = 10;
 const int32 kDefaultRecentAppCount = 10;
 
 const int32 kMenuTrackMargin = 20;
+const float kMinTeamItemHeight = 20.0f;
+const float kVPad = 2.0f;
 
 const uint32 kUpdateOrientation = 'UpOr';
-const float kSepItemWidth = 5.0f;
 
 
 class BarViewMessageFilter : public BMessageFilter
@@ -149,6 +150,7 @@ TBarView::TBarView(BRect frame, bool vertical, bool left, bool top,
 	fMouseFilter(NULL)
 {
 	// determine the initial Be menu size
+	// (will be updated later)
 	BRect menuFrame(frame);
 	if (fVertical)
 		menuFrame.bottom = menuFrame.top + kMenuBarHeight;
@@ -212,6 +214,9 @@ TBarView::AttachedToWindow()
 	fTrackingHookData.fTrackingHook = MenuTrackingHook;
 	fTrackingHookData.fTarget = BMessenger(this);
 	fTrackingHookData.fDragMessage = new BMessage(B_REFS_RECEIVED);
+
+	if (!fVertical)
+		UpdatePlacement(); // update MenuBarHeight
 }
 
 
@@ -434,7 +439,8 @@ TBarView::PlaceDeskbarMenu()
 		menuFrame.bottom = menuFrame.top + height;
 	} else {
 		width = gMinimumWindowWidth;
-		height = fBarApp->IconSize() + 4;
+		height = std::max(TeamMenuItemHeight(),
+			kGutter + fReplicantTray->MaxReplicantHeight() + kGutter);
 		menuFrame.bottom = menuFrame.top + height;
 	}
 
@@ -574,7 +580,7 @@ TBarView::PlaceApplicationBar()
 	} else {
 		// top or bottom
 		expandoFrame.top = 0;
-		expandoFrame.bottom = fBarApp->IconSize() + 4;
+		expandoFrame.bottom = TeamMenuItemHeight();
 
 		if (fBarMenuBar != NULL)
 			expandoFrame.left = fBarMenuBar->Frame().Width() + 1;
@@ -594,11 +600,6 @@ TBarView::PlaceApplicationBar()
 	fExpandoMenuBar->MoveTo(0, 0);
 	fExpandoMenuBar->ResizeTo(expandoFrame.Width(), expandoFrame.Height());
 
-	if (!fVertical) {
-		// Set the max item width based on icon size
-		fExpandoMenuBar->SetMaxItemWidth();
-	}
-
 	if (fState == kExpandoState)
 		fExpandoMenuBar->BuildItems();
 
@@ -645,7 +646,8 @@ TBarView::GetPreferredWindowSize(BRect screenFrame, float* width, float* height)
 			} else {
 				// top or bottom, full
 				fExpandoMenuBar->CheckItemSizes(0);
-				windowHeight = fBarApp->IconSize() + 4;
+				windowHeight = std::max(TeamMenuItemHeight(),
+					kGutter + fReplicantTray->MaxReplicantHeight() + kGutter);
 				windowWidth = screenFrame.Width();
 			}
 		} else {
@@ -1230,3 +1232,37 @@ TBarView::IconFrame(const char* name) const
 {
 	return OffsetIconFrame(fReplicantTray->IconFrame(name));
 }
+
+
+float
+TBarView::TeamMenuItemHeight() const
+{
+	const int32 iconSize = fBarApp->IconSize();
+	float iconSizePadded = kVPad + iconSize + kVPad;
+
+	font_height fontHeight;
+	if (fExpandoMenuBar != NULL)
+		fExpandoMenuBar->GetFontHeight(&fontHeight);
+	else
+		GetFontHeight(&fontHeight);
+
+	float labelHeight = fontHeight.ascent + fontHeight.descent;
+	labelHeight = labelHeight < kMinTeamItemHeight ? kMinTeamItemHeight
+		: ceilf(labelHeight * 1.1f);
+
+	bool hideLabels = static_cast<TBarApp*>(be_app)->Settings()->hideLabels;
+	if (hideLabels && iconSize > B_MINI_ICON) {
+		// height is determined based solely on icon size
+		return iconSizePadded;
+	} else if (!fVertical || fVertical && iconSize <= B_LARGE_ICON) {
+		// horizontal or vertical with label on same row as icon:
+		// height based on icon size or font size, whichever is bigger
+		return std::max(iconSizePadded, labelHeight);
+	} else if (fVertical && iconSize > B_LARGE_ICON) {
+		// vertical with label below icon: height based on icon and label
+		return ceilf(iconSizePadded + labelHeight);
+	} else {
+		// height is determined based solely on label height
+		return labelHeight;
+	}
+}
diff --git a/src/apps/deskbar/BarView.h b/src/apps/deskbar/BarView.h
index 6ed2b6eb87..b1da59f7bd 100644
--- a/src/apps/deskbar/BarView.h
+++ b/src/apps/deskbar/BarView.h
@@ -169,6 +169,8 @@ public:
 			TDragRegion*		DragRegion() const { return fDragRegion; }
 			TReplicantTray*		ReplicantTray() const { return fReplicantTray; }
 
+			float			TeamMenuItemHeight() const;
+
 private:
 	friend class TBarApp;
 	friend class TDeskbarMenu;
diff --git a/src/apps/deskbar/ExpandoMenuBar.cpp b/src/apps/deskbar/ExpandoMenuBar.cpp
index 36fac162c7..f1d9536fdc 100644
--- a/src/apps/deskbar/ExpandoMenuBar.cpp
+++ b/src/apps/deskbar/ExpandoMenuBar.cpp
@@ -71,7 +71,6 @@ All rights reserved.
 
 
 const float kMinMenuItemWidth = 50.0f;
-const float kSepItemWidth = 5.0f;
 const float kIconPadding = 8.0f;
 
 const uint32 kMinimizeTeam = 'mntm';
@@ -95,14 +94,13 @@ TExpandoMenuBar::TExpandoMenuBar(TBarView* barView, bool vertical)
 	fVertical(vertical),
 	fOverflow(false),
 	fFirstBuild(true),
-	fDeskbarMenuWidth(kMinMenuItemWidth),
+	fDeskbarMenuWidth(gMinimumWindowWidth),
 	fPreviousDragTargetItem(NULL),
 	fLastMousedOverItem(NULL),
 	fLastClickedItem(NULL)
 {
 	SetItemMargins(0.0f, 0.0f, 0.0f, 0.0f);
 	SetFont(be_plain_font);
-	SetMaxItemWidth();
 
 	// top or bottom mode, add deskbar menu and sep for menubar tracking
 	// consistency
@@ -468,21 +466,12 @@ TExpandoMenuBar::BuildItems()
 	BMessenger self(this);
 	TBarApp::Subscribe(self, &fTeamList);
 
-	int32 iconSize = static_cast<TBarApp*>(be_app)->IconSize();
-	desk_settings* settings = static_cast<TBarApp*>(be_app)->Settings();
-
 	float itemWidth = -1.0f;
 	if (fVertical) {
 		itemWidth = Frame().Width();
 		SetMaxContentWidth(itemWidth);
-	} else {
-		itemWidth = iconSize;
-		if (!settings->hideLabels)
-			itemWidth += gMinimumWindowWidth - kMinimumIconSize;
-		else
-			itemWidth += kIconPadding * 2;
-	}
-	float itemHeight = -1.0f;
+	} else
+		CheckItemSizes(0, true); // force reset
 
 	TeamMenuItemMap items;
 	int32 itemCount = CountItems();
@@ -495,6 +484,7 @@ TExpandoMenuBar::BuildItems()
 			items[BString(item->Signature()).ToLower()] = item;
 	}
 
+	desk_settings* settings = static_cast<TBarApp*>(be_app)->Settings();
 	if (settings->sortRunningApps)
 		fTeamList.SortItems(TTeamMenu::CompareByName);
 
@@ -506,8 +496,7 @@ TExpandoMenuBar::BuildItems()
 		if (iter == items.end()) {
 			// new team
 			TTeamMenuItem* item = new TTeamMenuItem(barInfo->teams,
-				barInfo->icon, barInfo->name, barInfo->sig, itemWidth,
-				itemHeight);
+				barInfo->icon, barInfo->name, barInfo->sig, itemWidth);
 
 			if (settings->trackerAlwaysFirst
 				&& strcasecmp(barInfo->sig, kTrackerSignature) == 0) {
@@ -522,7 +511,6 @@ TExpandoMenuBar::BuildItems()
 			TTeamMenuItem* item = iter->second;
 			item->SetIcon(barInfo->icon);
 			item->SetOverrideWidth(itemWidth);
-			item->SetOverrideHeight(itemHeight);
 
 			if (settings->trackerAlwaysFirst
 				&& strcasecmp(barInfo->sig, kTrackerSignature) == 0) {
@@ -560,7 +548,7 @@ TExpandoMenuBar::BuildItems()
 	if (CountItems() == 0) {
 		// If we're empty, BMenuBar::AttachedToWindow() resizes us to some
 		// weird value - we just override it again
-		ResizeTo(itemWidth, 0);
+		ResizeTo(gMinimumWindowWidth, 0);
 	}
 
 	fFirstBuild = false;
@@ -624,24 +612,9 @@ void
 TExpandoMenuBar::AddTeam(BList* team, BBitmap* icon, char* name,
 	char* signature)
 {
-	int32 iconSize = static_cast<TBarApp*>(be_app)->IconSize();
+	TTeamMenuItem* item = new TTeamMenuItem(team, icon, name, signature);
+
 	desk_settings* settings = static_cast<TBarApp*>(be_app)->Settings();
-
-	float itemWidth = -1.0f;
-	if (fVertical)
-		itemWidth = fBarView->Bounds().Width();
-	else {
-		itemWidth = iconSize;
-		if (!settings->hideLabels)
-			itemWidth += gMinimumWindowWidth - kMinimumIconSize;
-		else
-			itemWidth += kIconPadding * 2;
-	}
-	float itemHeight = -1.0f;
-
-	TTeamMenuItem* item = new TTeamMenuItem(team, icon, name, signature,
-		itemWidth, itemHeight);
-
 	if (settings->trackerAlwaysFirst
 		&& strcasecmp(signature, kTrackerSignature) == 0) {
 		AddItem(item, 0);
@@ -746,34 +719,44 @@ TExpandoMenuBar::RemoveTeam(team_id team, bool partial)
 
 
 void
-TExpandoMenuBar::CheckItemSizes(int32 delta)
+TExpandoMenuBar::CheckItemSizes(int32 delta, bool reset)
 {
-	if (fBarView->Vertical())
+	if (fVertical)
 		return;
 
-	bool drawLabels = !static_cast<TBarApp*>(be_app)->Settings()->hideLabels;
+	int32 itemCount = CountItems();
+	TTeamMenuItem* item = static_cast<TTeamMenuItem*>(ItemAt(0));
+	if (itemCount < 1 || item == NULL)
+		return;
 
-	float maxWidth = fBarView->DragRegion()->Frame().left
-		- fDeskbarMenuWidth - kSepItemWidth;
 	int32 iconSize = static_cast<TBarApp*>(be_app)->IconSize();
 	float iconOnlyWidth = kIconPadding + iconSize + kIconPadding;
-	float minItemWidth = drawLabels
-		? iconOnlyWidth + kMinMenuItemWidth
-		: iconOnlyWidth - kIconPadding;
-	float maxItemWidth = drawLabels
-		? gMinimumWindowWidth + iconSize - kMinimumIconSize
-		: iconOnlyWidth;
-	float menuWidth = maxItemWidth * CountItems() + fDeskbarMenuWidth
-		+ kSepItemWidth;
 
-	bool reset = false;
+	float maxItemWidth;
+	float minItemWidth;
+	if (static_cast<TBarApp*>(be_app)->Settings()->hideLabels) {
+		maxItemWidth = iconOnlyWidth;
+		minItemWidth = iconOnlyWidth - kIconPadding * 3 / 4;
+	} else {
+		float labelWidth = gMinimumWindowWidth;
+		labelWidth += (be_plain_font->Size() - 12) * 4 + iconSize
+			- kMinimumIconSize;
+		maxItemWidth = iconOnlyWidth + labelWidth;
+		minItemWidth = iconOnlyWidth + floorf(labelWidth / 4);
+	}
+
+	float menuWidth = fDeskbarMenuWidth + kSepItemWidth
+		+ maxItemWidth * itemCount;
+	float maxWidth = fBarView->DragRegion()->Frame().left - 1
+		- fDeskbarMenuWidth - kSepItemWidth;
+
 	float newWidth = -1.0f;
 
 	if (delta >= 0 && menuWidth > maxWidth) {
 		fOverflow = true;
 		reset = true;
 		newWidth = floorf(maxWidth / CountItems());
-	} else if (delta < 0 && fOverflow) {
+	} else if (reset || (delta < 0 && fOverflow)) {
 		reset = true;
 		if (menuWidth > maxWidth)
 			newWidth = floorf(maxWidth / CountItems());
@@ -820,8 +803,7 @@ TExpandoMenuBar::SetMenuLayout(menu_layout layout)
 {
 	fVertical = layout == B_ITEMS_IN_COLUMN;
 	BPrivate::MenuPrivate(this).SetLayout(layout);
-	SetMaxItemWidth();
-		// when the menu layout changes, make sure to set the max width
+	InvalidateLayout();
 }
 
 
@@ -884,38 +866,22 @@ TExpandoMenuBar::CheckForSizeOverrun()
 	}
 
 	// horizontal
-	int32 count = CountItems() - 1;
-	if (count < 0)
+	int32 itemCount = CountItems();
+	TTeamMenuItem* item = static_cast<TTeamMenuItem*>(ItemAt(0));
+	if (itemCount < 1 || item == NULL)
 		return false;
 
-	int32 iconSize = static_cast<TBarApp*>(be_app)->IconSize();
-	float iconOnlyWidth = kIconPadding + iconSize + kIconPadding;
-	float minItemWidth = !static_cast<TBarApp*>(be_app)->Settings()->hideLabels
-		? iconOnlyWidth + kMinMenuItemWidth
-		: iconOnlyWidth - kIconPadding;
-	float menuWidth = minItemWidth * CountItems() + fDeskbarMenuWidth
-		+ kSepItemWidth;
-	float maxWidth = fBarView->DragRegion()->Frame().left
-		- fDeskbarMenuWidth - kSepItemWidth;
+	float itemWidth = item->Frame().Width();
+	if (itemWidth <= 0)
+		return false;
+
+	float menuWidth = fDeskbarMenuWidth + kSepItemWidth + itemWidth * itemCount;
+	float maxWidth = fBarView->DragRegion()->Frame().left - 1;
 
 	return menuWidth > maxWidth;
 }
 
 
-void
-TExpandoMenuBar::SetMaxItemWidth()
-{
-	if (fVertical)
-		SetMaxContentWidth(static_cast<TBarApp*>(be_app)->Settings()->width);
-	else {
-		// Make more room for the icon in horizontal mode
-		int32 iconSize = static_cast<TBarApp*>(be_app)->IconSize();
-		SetMaxContentWidth(gMinimumWindowWidth + iconSize
-			- kMinimumIconSize);
-	}
-}
-
-
 void
 TExpandoMenuBar::SizeWindow(int32 delta)
 {
@@ -1029,9 +995,10 @@ TExpandoMenuBar::monitor_team_windows(void* arg)
 										((1 << current_workspace())
 											& wInfo->workspaces) != 0);
 
-									if (strcasecmp(item->Label(), windowName) > 0)
+									if (strcasecmp(item->Label(), windowName)
+											> 0) {
 										item->SetLabel(windowName);
-
+									}
 									if (item->Modified())
 										itemModified = true;
 								} else if (teamItem->IsExpanded()) {
diff --git a/src/apps/deskbar/ExpandoMenuBar.h b/src/apps/deskbar/ExpandoMenuBar.h
index 1aa2e86533..ffb1e518aa 100644
--- a/src/apps/deskbar/ExpandoMenuBar.h
+++ b/src/apps/deskbar/ExpandoMenuBar.h
@@ -45,6 +45,9 @@ All rights reserved.
 #include <Locker.h>
 
 
+const float kSepItemWidth = 5.0f;
+
+
 enum drag_and_drop_selection {
 	kNoSelection,
 	kDeskbarMenuSelection,
@@ -83,13 +86,11 @@ public:
 								BMenuItem** _item = NULL);
 			bool			InDeskbarMenu(BPoint) const;
 
-			void			CheckItemSizes(int32 delta);
+			void			CheckItemSizes(int32 delta, bool reset = false);
 
 			menu_layout		MenuLayout() const;
 			void			SetMenuLayout(menu_layout layout);
 
-			void			SetMaxItemWidth();
-
 			void			SizeWindow(int32 delta);
 			bool			CheckForSizeOverrun();
 
diff --git a/src/apps/deskbar/StatusView.cpp b/src/apps/deskbar/StatusView.cpp
index 35d8ed5ebb..871f87ceda 100644
--- a/src/apps/deskbar/StatusView.cpp
+++ b/src/apps/deskbar/StatusView.cpp
@@ -70,6 +70,7 @@ All rights reserved.
 
 #include "BarApp.h"
 #include "DeskbarUtils.h"
+#include "ExpandoMenuBar.h"
 #include "ResourceSet.h"
 #include "StatusViewShelf.h"
 #include "TimeView.h"
@@ -1191,7 +1192,8 @@ TReplicantTray::LocationForReplicant(int32 index, float replicantWidth)
 				replicantRect.left = view->Frame().right + kIconGap + 1;
 			}
 
-			// calculated left position, add replicantWidth to get right position
+			// calculated left position, add replicantWidth to get the
+			// right position
 			replicantRect.right = replicantRect.left + replicantWidth;
 
 			// check if replicant fits in this row
@@ -1203,15 +1205,36 @@ TReplicantTray::LocationForReplicant(int32 index, float replicantWidth)
 
 			// check next row
 		}
-	} else if (index > 0) {
-		// get the last replicant added for placement reference
-		BView* view = NULL;
-		fShelf->ReplicantAt(index - 1, &view);
-		if (view != NULL) {
-			// push this replicant placement past the last one
-			loc.x = view->Frame().right + kIconGap + 1;
-			loc.y = view->Frame().top;
+
+		fTime->MoveTo(Bounds().right - fTime->Bounds().Width()
+			- kTrayPadding, 2);
+	} else {
+		if (index > 0) {
+			// get the last replicant added for placement reference
+			BView* view = NULL;
+			fShelf->ReplicantAt(index - 1, &view);
+			if (view != NULL) {
+				// push this replicant placement past the last one
+				loc.x = view->Frame().right + kIconGap + 1;
+			}
 		}
+
+		if (fBarView->Vertical()) {
+			// center vertically
+			loc.y = floorf((kMenuBarHeight - fMaxReplicantHeight) / 2) - 1;
+		} else {
+			if (fBarView->Top()) {
+				// align top
+				loc.y = 3;
+			} else {
+				// align bottom
+				loc.y = fBarView->TeamMenuItemHeight() - fMaxReplicantHeight - 2;
+			}
+		}
+
+		// move time in place next to replicants
+		fTime->MoveTo(Bounds().right - fTime->Bounds().Width() - kTrayPadding,
+			loc.y + (fMaxReplicantHeight - fTime->Bounds().Height()) / 2);
 	}
 
 	if (loc.y > fRightBottomReplicant.top
diff --git a/src/apps/deskbar/TeamMenuItem.cpp b/src/apps/deskbar/TeamMenuItem.cpp
index 1c1fd1f740..fd9bf4e8b1 100644
--- a/src/apps/deskbar/TeamMenuItem.cpp
+++ b/src/apps/deskbar/TeamMenuItem.cpp
@@ -40,10 +40,13 @@ All rights reserved.
 #include <stdio.h>
 #include <stdlib.h>
 
+#include <algorithm>
+
 #include <Bitmap.h>
 #include <ControlLook.h>
 #include <Debug.h>
 #include <Font.h>
+#include <Mime.h>
 #include <Region.h>
 #include <Roster.h>
 #include <Resources.h>
@@ -54,6 +57,7 @@ All rights reserved.
 #include "ExpandoMenuBar.h"
 #include "ResourceSet.h"
 #include "ShowHideMenuItem.h"
+#include "StatusView.h"
 #include "TeamMenu.h"
 #include "WindowMenu.h"
 #include "WindowMenuItem.h"
@@ -62,7 +66,7 @@ All rights reserved.
 const float kHPad = 8.0f;
 const float kVPad = 2.0f;
 const float kLabelOffset = 8.0f;
-const float kSwitchWidth = 12.0f;
+const float kIconPadding = 8.0f;
 
 
 //	#pragma mark - TTeamMenuItem
@@ -138,39 +142,39 @@ TTeamMenuItem::SetIcon(BBitmap* icon) {
 void
 TTeamMenuItem::GetContentSize(float* width, float* height)
 {
-	BRect iconBounds;
-
-	if (fIcon != NULL)
-		iconBounds = fIcon->Bounds();
-	else
-		iconBounds = BRect(0, 0, kMinimumIconSize - 1, kMinimumIconSize - 1);
-
 	BMenuItem::GetContentSize(width, height);
 
 	if (fOverrideWidth != -1.0f)
 		*width = fOverrideWidth;
 	else {
-		*width = kHPad + iconBounds.Width() + kHPad;
-		if (iconBounds.Width() <= 32
-			&& !static_cast<TBarApp*>(be_app)->Settings()->hideLabels) {
-			*width += LabelWidth() + kHPad;
-		}
+		bool hideLabels = static_cast<TBarApp*>(be_app)->Settings()->hideLabels;
+		float iconSize = static_cast<TBarApp*>(be_app)->IconSize();
+		float iconOnlyWidth = kIconPadding + iconSize + kIconPadding;
+
+		if (fBarView->MiniState()) {
+			if (hideLabels)
+				*width = iconOnlyWidth;
+			else
+				*width = gMinimumWindowWidth - (kDragRegionWidth + kGutter) * 2;
+		} else if (!fBarView->Vertical()) {
+			if (hideLabels)
+				*width = iconOnlyWidth;
+			else {
+				float labelWidth = gMinimumWindowWidth;
+				BFont font;
+				Menu()->GetFont(&font);
+				labelWidth += (font.Size() - 12) * 4 + iconSize - 16;
+					// do font and icon scaling
+				*width = iconOnlyWidth + labelWidth;
+			}
+		} else
+			*width = static_cast<TBarApp*>(be_app)->Settings()->width;
 	}
 
 	if (fOverrideHeight != -1.0f)
 		*height = fOverrideHeight;
-	else {
-		if (fBarView->Vertical()) {
-			*height = iconBounds.Height() + kVPad * 2;
-			if (!static_cast<TBarApp*>(be_app)->Settings()->hideLabels
-				&& iconBounds.Width() > 32) {
-				*height += fLabelAscent + fLabelDescent;
-			}
-		} else {
-			*height = iconBounds.Height() + kVPad * 2;
-		}
-	}
-	*height += 2;
+	else
+		*height = fBarView->TeamMenuItemHeight();
 }
 
 
@@ -223,6 +227,8 @@ void
 TTeamMenuItem::DrawContent()
 {
 	BMenu* menu = Menu();
+	BRect frame = Frame();
+
 	if (fIcon != NULL) {
 		if (fIcon->ColorSpace() == B_RGBA32) {
 			menu->SetDrawingMode(B_OP_ALPHA);
@@ -230,48 +236,50 @@ TTeamMenuItem::DrawContent()
 		} else
 			menu->SetDrawingMode(B_OP_OVER);
 
-		BRect frame = Frame();
-		BRect iconBounds = fIcon->Bounds();
+		BRect iconBounds = fIcon != NULL ? fIcon->Bounds()
+			: BRect(0, 0, kMinimumIconSize - 1, kMinimumIconSize - 1);
 		BRect updateRect = iconBounds;
-		float extra = fBarView->Vertical() ? 0.0f : -1.0f;
 		BPoint contentLocation = ContentLocation();
 		BPoint drawLocation = contentLocation + BPoint(kHPad, kVPad);
 
 		if (static_cast<TBarApp*>(be_app)->Settings()->hideLabels
 			|| (fBarView->Vertical() && iconBounds.Width() > 32)) {
+			// determine icon location (centered horizontally)
 			float offsetx = contentLocation.x
-				+ ((frame.Width() - iconBounds.Width()) / 2) + extra;
-			float offsety = contentLocation.y + 3.0f + extra;
+				+ floorf((frame.Width() - iconBounds.Width()) / 2);
+			float offsety = contentLocation.y + kVPad + kGutter;
 
+			// draw icon
 			updateRect.OffsetTo(BPoint(offsetx, offsety));
 			menu->DrawBitmapAsync(fIcon, updateRect);
 
-			drawLocation.x = ((frame.Width() - LabelWidth()) / 2);
-			drawLocation.y = frame.top + iconBounds.Height() + kVPad * 2;
+			// determine label position (below icon)
+			drawLocation.x = floorf((frame.Width() - fLabelWidth) / 2);
+			drawLocation.y = frame.top + kVPad + iconBounds.Height() + kVPad;
 		} else {
+			// determine icon location (centered vertically)
 			float offsetx = contentLocation.x + kHPad;
 			float offsety = contentLocation.y +
-				((frame.Height() - iconBounds.Height()) / 2) + extra;
+				floorf((frame.Height() - iconBounds.Height()) / 2);
 
+			// draw icon
 			updateRect.OffsetTo(BPoint(offsetx, offsety));
 			menu->DrawBitmapAsync(fIcon, updateRect);
 
-			float labelHeight = fLabelAscent + fLabelDescent;
+			// determine label position (centered vertically)
 			drawLocation.x += iconBounds.Width() + kLabelOffset;
-			drawLocation.y = frame.top + ((frame.Height() - labelHeight) / 2)
-				+ extra;
+			drawLocation.y = frame.top
+				+ ceilf((frame.Height() - fLabelHeight) / 2);
 		}
 
 		menu->MovePenTo(drawLocation);
 	}
 
-	menu->SetDrawingMode(B_OP_OVER);
-	menu->SetHighColor(ui_color(B_MENU_ITEM_TEXT_COLOR));
-
 	// override the drawing of the content when the item is disabled
 	// the wrong lowcolor is used when the item is disabled since the
 	// text color does not change
-	menu->MovePenBy(0, fLabelAscent);
+	menu->SetDrawingMode(B_OP_OVER);
+	menu->SetHighColor(ui_color(B_MENU_ITEM_TEXT_COLOR));
 
 	bool canHandle = !fBarView->Dragging()
 		|| fBarView->AppCanHandleTypes(Signature());
@@ -286,13 +294,18 @@ TTeamMenuItem::DrawContent()
 	else
 		menu->SetHighColor(ui_color(B_MENU_ITEM_TEXT_COLOR));
 
+	menu->MovePenBy(0, fLabelAscent);
+
+	// draw label
 	if (!static_cast<TBarApp*>(be_app)->Settings()->hideLabels) {
 		float labelWidth = menu->StringWidth(Label());
 		BPoint penLocation = menu->PenLocation();
-		float offset = penLocation.x - Frame().left;
+		// truncate to max width
+		float offset = penLocation.x - frame.left;
 		menu->DrawString(Label(labelWidth + offset));
 	}
 
+	// draw expander arrow
 	if (fBarView->Vertical()
 		&& static_cast<TBarApp*>(be_app)->Settings()->superExpando
 		&& fBarView->ExpandoState()) {
@@ -304,23 +317,18 @@ TTeamMenuItem::DrawContent()
 void
 TTeamMenuItem::DrawExpanderArrow()
 {
-	BMenu* menu = Menu();
 	BRect frame = Frame();
 	BRect rect(0.0f, 0.0f, kSwitchWidth, kHPad + 2.0f);
-
 	rect.OffsetTo(BPoint(frame.right - rect.Width(),
 		ContentLocation().y + ((frame.Height() - rect.Height()) / 2)));
 
 	float colorTint = B_DARKEN_3_TINT;
-
 	rgb_color bgColor = ui_color(B_MENU_BACKGROUND_COLOR);
-	if (bgColor.red + bgColor.green + bgColor.blue <= 128 * 3) {
+	if (bgColor.red + bgColor.green + bgColor.blue <= 128 * 3)
 		colorTint = B_LIGHTEN_2_TINT;
-	}
 
-	be_control_look->DrawArrowShape(menu, rect, rect,
-		bgColor, fArrowDirection, 0,
-		colorTint);
+	be_control_look->DrawArrowShape(Menu(), rect, Menu()->Frame(),
+		bgColor, fArrowDirection, 0, colorTint);
 }
 
 
@@ -372,8 +380,8 @@ TTeamMenuItem::ToggleExpandState(bool resizeWindow)
 			int32 childIndex = parent->IndexOf(this) + 1;
 			while (parent->SubmenuAt(childIndex) == NULL
 				&& childIndex < parent->CountItems()) {
-				windowItem
-					= static_cast<TWindowMenuItem*>(parent->RemoveItem(childIndex));
+				windowItem = static_cast<TWindowMenuItem*>(
+					parent->RemoveItem(childIndex));
 				sub->AddItem(windowItem, 0);
 				windowItem->SetExpanded(false);
 			}
@@ -449,6 +457,7 @@ TTeamMenuItem::_Init(BList* team, BBitmap* icon, char* name, char* signature,
 	font.GetHeight(&fontHeight);
 	fLabelAscent = ceilf(fontHeight.ascent);
 	fLabelDescent = ceilf(fontHeight.descent + fontHeight.leading);
+	fLabelHeight = fLabelAscent + fLabelDescent;
 
 	fOverriddenSelected = false;
 
diff --git a/src/apps/deskbar/TeamMenuItem.h b/src/apps/deskbar/TeamMenuItem.h
index e8f770eabd..011fa7c849 100644
--- a/src/apps/deskbar/TeamMenuItem.h
+++ b/src/apps/deskbar/TeamMenuItem.h
@@ -44,6 +44,9 @@ All rights reserved.
 #include "TruncatableMenuItem.h"
 
 
+const float kSwitchWidth = 12.0f;
+
+
 class BBitmap;
 class TBarView;
 class TWindowMenuItem;
@@ -108,6 +111,7 @@ private:
 			float				fLabelWidth;
 			float				fLabelAscent;
 			float				fLabelDescent;
+			float				fLabelHeight;
 
 			bool				fOverriddenSelected;
 
diff --git a/src/apps/deskbar/TimeView.cpp b/src/apps/deskbar/TimeView.cpp
index ce462fd2fc..05c9aec551 100644
--- a/src/apps/deskbar/TimeView.cpp
+++ b/src/apps/deskbar/TimeView.cpp
@@ -52,6 +52,9 @@ All rights reserved.
 #include <Window.h>
 
 #include "BarApp.h"
+#include "BarView.h"
+#include "BarWindow.h"
+#include "StatusView.h"
 #include "CalendarMenuWindow.h"
 #include "StatusView.h"
 
@@ -185,16 +188,21 @@ TTimeView::FrameMoved(BPoint)
 void
 TTimeView::GetPreferredSize(float* width, float* height)
 {
-	*height = fHeight;
-
 	float timeWidth = StringWidth(fCurrentTimeStr);
 
-	if (fOrientation) {
+	// set the height based on the font size
+	font_height fontHeight;
+	GetFontHeight(&fontHeight);
+	fHeight = fontHeight.ascent + fontHeight.descent;
+
+	if (Vertical()) {
 		float appWidth = static_cast<TBarApp*>(be_app)->Settings()->width;
 		*width = fMaxWidth
 			= std::min(appWidth - (kDragRegionWidth + kHMargin) * 2, timeWidth);
 	} else
 		*width = fMaxWidth = timeWidth;
+
+	*height = fHeight;
 }
 
 
@@ -418,7 +426,8 @@ TTimeView::UpdateTimeFormat()
 
 	delete fTimeFormat;
 	fTimeFormat = new BDateTimeFormat(BLocale::Default());
-	fTimeFormat->SetDateTimeFormat(B_SHORT_DATE_FORMAT, B_SHORT_TIME_FORMAT, fields);
+	fTimeFormat->SetDateTimeFormat(B_SHORT_DATE_FORMAT, B_SHORT_TIME_FORMAT,
+		fields);
 
 	delete fDateFormat;
 	fDateFormat = new BDateFormat(BLocale::Default());
@@ -454,8 +463,6 @@ TTimeView::GetCurrentDate()
 void
 TTimeView::CalculateTextPlacement()
 {
-	BRect bounds(Bounds());
-
 	fDateLocation.x = 0.0;
 	fTimeLocation.x = 0.0;
 
@@ -469,7 +476,8 @@ TTimeView::CalculateTextPlacement()
 	font.GetBoundingBoxesForStrings(stringArray, 1, B_SCREEN_METRIC, &delta,
 		rectArray);
 
-	fTimeLocation.y = fDateLocation.y = ceilf((bounds.Height()
+	// center vertically
+	fTimeLocation.y = fDateLocation.y = ceilf((Bounds().Height()
 		- rectArray[0].Height() + 1.0) / 2.0 - rectArray[0].top);
 
 	if (fOrientation) {
diff --git a/src/apps/deskbar/TimeView.h b/src/apps/deskbar/TimeView.h
index db269519c5..4f01976ee4 100644
--- a/src/apps/deskbar/TimeView.h
+++ b/src/apps/deskbar/TimeView.h
@@ -66,7 +66,6 @@ const uint32 kShowTimeZone = 'SwTz';
 const uint32 kGetClockSettings = 'GCkS';
 
 
-
 class BCountry;
 class BMessageRunner;
 class CalendarMenuWindow;
diff --git a/src/apps/deskbar/TruncatableMenuItem.cpp b/src/apps/deskbar/TruncatableMenuItem.cpp
index 542b4d013c..c9a5420731 100644
--- a/src/apps/deskbar/TruncatableMenuItem.cpp
+++ b/src/apps/deskbar/TruncatableMenuItem.cpp
@@ -47,7 +47,6 @@ All rights reserved.
 
 
 const float kVPad = 2.0f;
-const float kSwitchWidth = 12.0f;
 
 
 //	#pragma mark - TTruncatableMenuItem