diff --git a/CHANGELOG b/CHANGELOG
index 96593f3..36d7a5c 100644
--- a/CHANGELOG
+++ b/CHANGELOG
@@ -2,6 +2,9 @@
 Changes since U-Boot 1.1.1:
 ======================================================================
 
+* Patch by Ganapathi C, 04 Aug 2004:
+  Fix NFS timeout issue
+
 * Patch by Yuli Barcohen, 19 Jul 2004:
   - Fix host tools building in Cygwin environment
   - Fix header files search order for host tools
diff --git a/net/nfs.c b/net/nfs.c
index 281d0f5..2d94c08 100644
--- a/net/nfs.c
+++ b/net/nfs.c
@@ -583,6 +583,14 @@
 **************************************************************************/
 
 static void
+NfsTimeout (void)
+{
+	puts ("Timeout\n");
+	NetState = NETLOOP_FAIL;
+	return;
+}
+
+static void
 NfsHandler (uchar *pkt, unsigned dest, unsigned src, unsigned len)
 {
 	int rlen;
@@ -660,6 +668,7 @@
 
 	case STATE_READ_REQ:
 		rlen = nfs_read_reply (pkt, len);
+		NetSetTimeout (NFS_TIMEOUT * CFG_HZ, NfsTimeout);
 		if (rlen > 0) {
 			nfs_offset += rlen;
 			NfsSend ();
@@ -676,13 +685,6 @@
 	}
 }
 
-static void
-NfsTimeout (void)
-{
-	puts ("Timeout\n");
-	NetState = NETLOOP_FAIL;
-	return;
-}
 
 void
 NfsStart (void)