diff --git a/src/servers/app/Desktop.cpp b/src/servers/app/Desktop.cpp
index 35b9678a30..1569550381 100644
--- a/src/servers/app/Desktop.cpp
+++ b/src/servers/app/Desktop.cpp
@@ -280,6 +280,7 @@ Desktop::Desktop(uid_t userID)
 
 	for (int32 i = 0; i < kMaxWorkspaces; i++) {
 		_Windows(i).SetIndex(i);
+		fWorkspaces[i].RestoreConfiguration(*fSettings->WorkspacesMessage(i));
 	}
 
 	fMessagePort = create_port(DEFAULT_MONITOR_PORT_SIZE, name);
@@ -725,7 +726,7 @@ Desktop::SetWorkspace(int32 index)
 
 
 void
-Desktop::ScreenChanged(Screen* screen)
+Desktop::ScreenChanged(Screen* screen, bool makeDefault)
 {
 	// TODO: confirm that everywhere this is used,
 	// the Window WriteLock is held
@@ -758,6 +759,16 @@ Desktop::ScreenChanged(Screen* screen)
 			window = window->NextWindow(kAllWindowList)) {
 		window->ServerWindow()->SendMessageToClient(&update);
 	}
+
+	if (makeDefault) {
+		// store settings
+		BMessage settings;
+		fVirtualScreen.StoreConfiguration(settings);
+		fWorkspaces[fCurrentWorkspace].StoreConfiguration(settings);
+
+		fSettings->SetWorkspacesMessage(fCurrentWorkspace, settings);
+		fSettings->Save(kWorkspacesSettings);
+	}
 }
 
 
diff --git a/src/servers/app/Desktop.h b/src/servers/app/Desktop.h
index 9689d2e2a0..fad10e599f 100644
--- a/src/servers/app/Desktop.h
+++ b/src/servers/app/Desktop.h
@@ -76,7 +76,7 @@ class Desktop : public MessageLooper, public ScreenOwner {
 		void					SetCursor(ServerCursor* cursor);
 		ServerCursor*			Cursor() const;
 
-		void					ScreenChanged(Screen* screen);
+		void					ScreenChanged(Screen* screen, bool makeDefault);
 
 		void					ScreenRemoved(Screen* screen) {}
 		void					ScreenAdded(Screen* screen) {}
diff --git a/src/servers/app/DesktopSettings.cpp b/src/servers/app/DesktopSettings.cpp
index 581ebd645a..695742b7e5 100644
--- a/src/servers/app/DesktopSettings.cpp
+++ b/src/servers/app/DesktopSettings.cpp
@@ -1,5 +1,5 @@
 /*
- * Copyright 2005, Haiku.
+ * Copyright 2005-2006, Haiku.
  * Distributed under the terms of the MIT License.
  *
  * Authors:
@@ -14,6 +14,12 @@
 #include "FontManager.h"
 #include "ServerConfig.h"
 
+#include <Directory.h>
+#include <File.h>
+#include <FindDirectory.h>
+//#include <DataIO./h>
+#include <Path.h>
+
 
 DesktopSettings::Private::Private()
 	: BLocker("DesktopSettings_Private")
@@ -60,18 +66,88 @@ DesktopSettings::Private::_SetDefaults()
 }
 
 
+status_t
+DesktopSettings::Private::_GetPath(BPath& path)
+{
+	status_t status = find_directory(B_USER_SETTINGS_DIRECTORY, &path);
+	if (status < B_OK)
+		return status;
+
+	status = path.Append("system/app_server");
+	if (status < B_OK)
+		return status;
+
+	return create_directory(path.Path(), 0755);
+}
+
+
 status_t
 DesktopSettings::Private::_Load()
 {
 	// TODO: add support for old app_server_settings file as well
+
+	BPath basePath;
+	status_t status = _GetPath(basePath);
+	if (status < B_OK)
+		return status;
+
+	// read workspaces settings
+
+	BPath path(basePath);
+	path.Append("workspaces");
+	
+	BFile file;
+	status = file.SetTo(path.Path(), B_READ_ONLY);
+	if (status == B_OK) {
+		BMessage settings;
+		status = settings.Unflatten(&file);
+		if (status == B_OK) {
+			int32 count;
+			if (settings.FindInt32("count", &count) == B_OK) {
+				fWorkspacesCount = count;
+				if (fWorkspacesCount < 1 || fWorkspacesCount > 32)
+					fWorkspacesCount = 4;
+			}
+
+			int32 i = 0;
+			while (i < 32
+				&& settings.FindMessage("workspace", i, &fWorkspaceMessages[i]) == B_OK) {
+				i++;
+			}
+		}
+	}
+
 	return B_ERROR;
 }
 
 
 status_t
-DesktopSettings::Private::Save()
+DesktopSettings::Private::Save(uint32 mask)
 {
-	return B_ERROR;
+	BPath basePath;
+	status_t status = _GetPath(basePath);
+	if (status < B_OK)
+		return status;
+
+	if (mask & kWorkspacesSettings) {
+		BPath path(basePath);
+		if (path.Append("workspaces") == B_OK) {
+			BMessage settings('asws');
+			settings.AddInt32("count", fWorkspacesCount);
+
+			for (int32 i = 0; i < kMaxWorkspaces; i++) {
+				settings.AddMessage("workspace", &fWorkspaceMessages[i]);
+			}
+
+			BFile file;
+			status = file.SetTo(path.Path(), B_CREATE_FILE | B_ERASE_FILE | B_READ_WRITE);
+			if (status == B_OK) {
+				status = settings.Flatten(&file, NULL);
+			}
+		}
+	}
+
+	return status;
 }
 
 
diff --git a/src/servers/app/DesktopSettings.h b/src/servers/app/DesktopSettings.h
index 12cc6fc9e2..475c6024b9 100644
--- a/src/servers/app/DesktopSettings.h
+++ b/src/servers/app/DesktopSettings.h
@@ -19,13 +19,19 @@ class ServerFont;
 
 static const int32 kMaxWorkspaces = 32;
 
+enum {
+	kAllSettings		= 0xff,
+	kWorkspacesSettings	= 0x01,
+	kFontSettings		= 0x02,
+	kAppearanceSettings	= 0x04
+};
 
 class DesktopSettings {
 	public:
 		DesktopSettings(Desktop* desktop);
 		~DesktopSettings();
 
-		status_t		Save();
+		status_t		Save(uint32 mask = kAllSettings);
 
 		void			SetDefaultPlainFont(const ServerFont& font);
 		void			GetDefaultPlainFont(ServerFont& font) const;
diff --git a/src/servers/app/DesktopSettingsPrivate.h b/src/servers/app/DesktopSettingsPrivate.h
index 0da8e2f8e1..662f7af529 100644
--- a/src/servers/app/DesktopSettingsPrivate.h
+++ b/src/servers/app/DesktopSettingsPrivate.h
@@ -1,5 +1,5 @@
 /*
- * Copyright 2001-2005, Haiku.
+ * Copyright 2005-2006, Haiku.
  * Distributed under the terms of the MIT License.
  *
  * Authors:
@@ -20,7 +20,7 @@ class DesktopSettings::Private : public BLocker {
 		Private();
 		~Private();
 
-		status_t		Save();
+		status_t		Save(uint32 mask = kAllSettings);
 
 		void			SetDefaultPlainFont(const ServerFont& font);
 		const ServerFont& DefaultPlainFont() const;
@@ -50,6 +50,7 @@ class DesktopSettings::Private : public BLocker {
 	private:
 		void			_SetDefaults();
 		status_t		_Load();
+		status_t		_GetPath(BPath& path);
 
 		ServerFont		fPlainFont;
 		ServerFont		fBoldFont;
diff --git a/src/servers/app/ServerApp.cpp b/src/servers/app/ServerApp.cpp
index 53a8739d4a..cbcf7ecd52 100644
--- a/src/servers/app/ServerApp.cpp
+++ b/src/servers/app/ServerApp.cpp
@@ -2079,18 +2079,18 @@ ServerApp::_DispatchMessage(int32 code, BPrivate::LinkReceiver& link)
 			display_mode mode;
 			link.Read<display_mode>(&mode);
 
-			bool makedefault = false;
-			link.Read<bool>(&makedefault);
+			bool makeDefault = false;
+			status_t status = link.Read<bool>(&makeDefault);
 
-			status_t status = B_ERROR;
-			if (fDesktop->LockAllWindows()) {
-				status = fDesktop->ScreenAt(0)->SetMode(mode);
+			if (status == B_OK && fDesktop->LockAllWindows()) {
+				status = fDesktop->ScreenAt(0)->SetMode(mode, makeDefault);
 				if (status == B_OK) {
 					gInputManager->UpdateScreenBounds(fDesktop->ScreenAt(0)->Frame());
-					fDesktop->ScreenChanged(fDesktop->ScreenAt(0));
+					fDesktop->ScreenChanged(fDesktop->ScreenAt(0), makeDefault);
 				}
 				fDesktop->UnlockAllWindows();
-			}
+			} else
+				status = B_ERROR;
 
 			fLink.StartMessage(status);
 			fLink.Flush();
diff --git a/src/servers/app/ServerScreen.cpp b/src/servers/app/ServerScreen.cpp
index b16ced15b9..3ef9b70460 100644
--- a/src/servers/app/ServerScreen.cpp
+++ b/src/servers/app/ServerScreen.cpp
@@ -25,7 +25,8 @@
 Screen::Screen(::HWInterface *interface, int32 id)
 	: fID(id),
 	  fDriver(interface ? new DrawingEngine(interface) : NULL),
-	  fHWInterface(interface)
+	  fHWInterface(interface),
+	  fIsDefault(true)
 {
 }
 
@@ -33,7 +34,8 @@ Screen::Screen(::HWInterface *interface, int32 id)
 Screen::Screen()
 	: fID(-1),
 	  fDriver(NULL),
-	  fHWInterface(NULL)
+	  fHWInterface(NULL),
+	  fIsDefault(true)
 {
 }
 
@@ -49,12 +51,12 @@ Screen::~Screen()
 status_t
 Screen::Initialize()
 {
-	status_t ret = B_NO_INIT;
 	if (fDriver) {
 		// this will also init the graphics hardware the driver is attached to
-		ret = fDriver->Initialize();
+		return fDriver->Initialize();
 	}
-	return ret;
+
+	return B_NO_INIT;
 }
 
 
@@ -67,39 +69,38 @@ Screen::Shutdown()
 
 
 status_t
-Screen::SetMode(display_mode mode)
+Screen::SetMode(display_mode mode, bool makeDefault)
 {
-	status_t ret = fHWInterface->SetMode(mode);
+	status_t status = fHWInterface->SetMode(mode);
 
 	// the DrawingEngine needs to adjust itself
-	if (ret >= B_OK)
+	if (status >= B_OK) {
 		fDriver->Update();
+		fIsDefault = makeDefault;
+	}
 
-	return ret;
+	return status;
 }
 
 
 status_t
 Screen::SetMode(uint16 width, uint16 height, uint32 colorspace,
-				float frequency)
+	float frequency, bool makeDefault)
 {
-	status_t ret = B_ERROR;
-
 	// search for a matching mode
 	display_mode mode;
-	ret = _FindMode(width, height, colorspace, frequency, &mode);
-
-	if (ret < B_OK) {
+	status_t status = _FindMode(width, height, colorspace, frequency, &mode);
+	if (status < B_OK) {
 		// TODO: Move fallback elsewhere, this function should simply
 		// fail if requested to set unsupported mode.
 		// Ups. Not good. Ignore the requested mode and use fallback params.
-		ret = _FindMode(640, 480, B_CMAP8, 60.0, &mode);
+		status = _FindMode(640, 480, B_CMAP8, 60.0, &mode);
 	}
 
-	if (ret >= B_OK)
-		ret = SetMode(mode);
+	if (status >= B_OK)
+		status = SetMode(mode, makeDefault);
 
-	return ret;
+	return status;
 }
 
 
@@ -152,8 +153,8 @@ Screen::_FindMode(uint16 width, uint16 height, uint32 colorspace,
 	display_mode* dm = NULL;
 	uint32 count;
 
-	status_t err = fHWInterface->GetModeList(&dm, &count);
-	if (err < B_OK || count <= 0) {
+	status_t status = fHWInterface->GetModeList(&dm, &count);
+	if (status < B_OK || count <= 0) {
 		// We've run into quite a problem here! This is a function which is a requirement
 		// for a graphics module. The best thing that we can hope for is 640x480x8 without
 		// knowing anything else. While even this seems like insanity to assume that we
@@ -162,7 +163,7 @@ Screen::_FindMode(uint16 width, uint16 height, uint32 colorspace,
 		if (width == 640 && height == 480 && colorspace == B_CMAP8)
 			return B_OK;
 
-		return err;
+		return status;
 	}
 
 #ifndef HAIKU_TARGET_PLATFORM_LIBBE_TEST
diff --git a/src/servers/app/ServerScreen.h b/src/servers/app/ServerScreen.h
index 1a47349388..4f324e2338 100644
--- a/src/servers/app/ServerScreen.h
+++ b/src/servers/app/ServerScreen.h
@@ -1,5 +1,5 @@
 /*
- * Copyright (c) 2001-2005, Haiku, Inc.
+ * Copyright (c) 2001-2006, Haiku, Inc.
  * Distributed under the terms of the MIT license.
  *
  * Authors:
@@ -7,8 +7,8 @@
  *		Axel Dörfler, axeld@pinc-software.de
  *		Stephan Aßmus, <superstippi@gmx.de>
  */
-#ifndef _SCREEN_H_
-#define _SCREEN_H_
+#ifndef SCREEN_H
+#define SCREEN_H
 
 
 #include <Accelerant.h>
@@ -28,14 +28,13 @@ class Screen {
 			status_t			Initialize();
 			void				Shutdown();
 
-			void				SetID(int32 ID)
-									{ fID = ID; }
+			int32				ID() const { return fID; }
+
+			status_t			SetMode(display_mode mode, bool makeDefault);
+			status_t			SetMode(uint16 width, uint16 height,
+									uint32 colorspace, float frequency,
+									bool makeDefault);
 
-			status_t			SetMode(display_mode mode);
-			status_t			SetMode(uint16 width,
-										uint16 height,
-										uint32 colorspace,
-										float frequency);
 			void				GetMode(display_mode* mode) const;
 			void				GetMode(uint16 &width,
 										uint16 &height,
@@ -44,8 +43,7 @@ class Screen {
 			BRect				Frame() const;
 			color_space			ColorSpace() const;
 
-	inline	int32				ScreenNumber() const
-									{ return fID; }
+			bool				IsDefaultMode() const { return fIsDefault; }
 
 	inline	DrawingEngine*		GetDrawingEngine() const
 									{ return fDriver; }
@@ -67,6 +65,7 @@ class Screen {
 			int32				fID;
 			DrawingEngine*		fDriver;
 			::HWInterface*		fHWInterface;
+			bool				fIsDefault;
 };
 
-#endif	/* _SCREEN_H_ */
+#endif	/* SCREEN_H */
diff --git a/src/servers/app/VirtualScreen.cpp b/src/servers/app/VirtualScreen.cpp
index b7163aeb7c..e8c198bcd9 100644
--- a/src/servers/app/VirtualScreen.cpp
+++ b/src/servers/app/VirtualScreen.cpp
@@ -1,5 +1,5 @@
 /*
- * Copyright 2005, Haiku.
+ * Copyright 2005-2006, Haiku.
  * Distributed under the terms of the MIT License.
  *
  * Authors:
@@ -81,7 +81,31 @@ VirtualScreen::RestoreConfiguration(Desktop& desktop, const BMessage* settings)
 status_t
 VirtualScreen::StoreConfiguration(BMessage& settings)
 {
-	// TODO: implement me
+	for (int32 i = 0; i < fScreenList.CountItems(); i++) {
+		screen_item* item = fScreenList.ItemAt(i);
+		Screen* screen = item->screen;
+		if (!screen->IsDefaultMode())
+			continue;
+
+		BMessage screenSettings;
+		screenSettings.AddInt32("id", screen->ID());
+		//screenSettings.AddString("name", "-");
+		screenSettings.AddRect("frame", item->frame);
+
+		// TODO: or just store a display_mode completely?
+		uint16 width, height;
+		uint32 colorSpace;
+		float frequency;
+		screen->GetMode(width, height, colorSpace, frequency);
+
+		screenSettings.AddInt32("width", width);
+		screenSettings.AddInt32("height", height);
+		screenSettings.AddInt32("color space", colorSpace);
+		screenSettings.AddFloat("frequency", frequency);
+
+		settings.AddMessage("screen", &screenSettings);
+	}
+
 	return B_OK;
 }
 
@@ -95,12 +119,21 @@ VirtualScreen::AddScreen(Screen* screen)
 
 	item->screen = screen;
 
+	status_t status = B_ERROR;
 	BMessage settings;
 	if (_FindConfiguration(screen, settings) == B_OK) {
-		// TODO: read from settings!
-	} else {
+		// we found settings for this screen, and try to apply them now
+		int32 width, height, colorSpace;
+		float frequency;
+		if (settings.FindInt32("width", &width) == B_OK
+			&& settings.FindInt32("height", &height) == B_OK
+			&& settings.FindInt32("color space", &colorSpace) == B_OK
+			&& settings.FindFloat("frequency", &frequency) == B_OK)
+			status = screen->SetMode(width, height, colorSpace, frequency, true);
+	}
+	if (status < B_OK) {
 		// TODO: more intelligent standard mode (monitor preference, desktop default, ...)
-		screen->SetMode(800, 600, B_RGB32, 60.f);
+		screen->SetMode(800, 600, B_RGB32, 60.f, false);
 	}
 
 	// TODO: this works only for single screen configurations
@@ -166,6 +199,19 @@ VirtualScreen::_FindConfiguration(Screen* screen, BMessage& settings)
 {
 	// TODO: we probably want to identify the resolution by connected monitor,
 	//		and not the display driver used...
-	return B_ERROR;
+	//		For now, we just use the screen ID, which is almost nothing, anyway...
+
+	uint32 i = 0;
+	while (fSettings.FindMessage("screen", i++, &settings) == B_OK) {
+		int32 id;
+		if (settings.FindInt32("id", &id) != B_OK
+			|| screen->ID() != id)
+			continue;
+
+		// we found our match
+		return B_OK;
+	}
+
+	return B_NAME_NOT_FOUND;
 }
 
diff --git a/src/servers/app/Workspace.cpp b/src/servers/app/Workspace.cpp
index c5ebf6e0b8..4e5bd2a383 100644
--- a/src/servers/app/Workspace.cpp
+++ b/src/servers/app/Workspace.cpp
@@ -1,5 +1,5 @@
 /*
- * Copyright 2005, Haiku.
+ * Copyright 2005-2006, Haiku.
  * Distributed under the terms of the MIT License.
  *
  * Authors:
@@ -45,14 +45,19 @@ Workspace::Private::SetColor(const RGBColor& color)
 
 
 void
-Workspace::Private::SetSettings(BMessage& settings)
+Workspace::Private::RestoreConfiguration(const BMessage& settings)
 {
+	rgb_color color;
+	if (settings.FindInt32("color", (int32 *)&color) == B_OK)
+		fColor.SetColor(color);
 }
 
 
 void
-Workspace::Private::GetSettings(BMessage& settings)
+Workspace::Private::StoreConfiguration(BMessage& settings)
 {
+	rgb_color color = fColor.GetColor32();
+	settings.AddInt32("color", *(int32 *)&color);
 }
 
 
diff --git a/src/servers/app/WorkspacePrivate.h b/src/servers/app/WorkspacePrivate.h
index 5d7e7ddbd9..be2c9d27f0 100644
--- a/src/servers/app/WorkspacePrivate.h
+++ b/src/servers/app/WorkspacePrivate.h
@@ -45,8 +45,8 @@ class Workspace::Private {
 		const RGBColor&		Color() const { return fColor; }
 		void				SetColor(const RGBColor& color);
 
-		void				SetSettings(BMessage& settings);
-		void				GetSettings(BMessage& settings);
+		void				RestoreConfiguration(const BMessage& settings);
+		void				StoreConfiguration(BMessage& settings);
 
 	private:
 		void				_SetDefaults();