diff --git a/src/vm/Context.java b/src/vm/Context.java
new file mode 100644
index 0000000..4bae0eb
--- /dev/null
+++ b/src/vm/Context.java
@@ -0,0 +1,12 @@
+package vm;
+
+/** To call, push one of these and pop to return */
+public class Context {
+	int returnip;
+	int[] locals; // args + locals, indexed from 0
+
+	public Context(int returnip, int nlocals) {
+		this.returnip = returnip;
+		locals = new int[nlocals];
+	}
+}
diff --git a/src/vm/Test.java b/src/vm/Test.java
index fed3886..33b48ee 100644
--- a/src/vm/Test.java
+++ b/src/vm/Test.java
@@ -24,6 +24,14 @@ public class Test {
 		HALT
 	};
 
+    /*
+    iconst(1);
+    iconst(2);
+    iadd();
+    print();
+    halt();
+     */
+
 	static int[] loop = {
 	// .GLOBALS 2; N, I
 	// N = 10						ADDRESS
@@ -49,10 +57,11 @@ public class Test {
 			HALT					// 24
 	};
 
+    static int fact = 0;
 	static int[] factorial = {
 //.def fact: ARGS=1, LOCALS=0		ADDRESS
 //	IF N < 2 RETURN 1
-			LOAD, -3,				// 0
+			LOAD, 0,				// 0
 			ICONST, 2,				// 2
 			ILT,					// 4
 			BRF, 10,				// 5
@@ -60,17 +69,17 @@ public class Test {
 			RET,					// 9
 //CONT:
 //	RETURN N * FACT(N-1)
-			LOAD, -3,				// 10
-			LOAD, -3,				// 12
+			LOAD, 0,				// 10
+			LOAD, 0,				// 12
 			ICONST, 1,				// 14
 			ISUB,					// 16
-			CALL, 0, 1,				// 17
+			CALL, fact, 1,			// 17
 			IMUL,					// 20
 			RET,					// 21
 //.DEF MAIN: ARGS=0, LOCALS=0
-// PRINT FACT(10)
+// PRINT FACT(1)
 			ICONST, 5,				// 22    <-- MAIN METHOD!
-			CALL, 0, 1,				// 24
+			CALL, fact, 1,				// 24
 			PRINT,					// 27
 			HALT					// 28
 	};
diff --git a/src/vm/VM.java b/src/vm/VM.java
index ca9207a..570cc3e 100644
--- a/src/vm/VM.java
+++ b/src/vm/VM.java
@@ -25,13 +25,14 @@
 /** A simple stack-based interpreter */
 public class VM {
 	public static final int DEFAULT_STACK_SIZE = 1000;
+	public static final int DEFAULT_CALL_STACK_SIZE = 1000;
 	public static final int FALSE = 0;
 	public static final int TRUE = 1;
 
 	// registers
 	int ip;             // instruction pointer register
 	int sp = -1;  		// stack pointer register
-	int fp = -1;        // frame pointer register
+	int callsp = -1;    // call stack pointer register
 
 	int startip = 0;	// where execution begins
 
@@ -39,6 +40,7 @@ public class VM {
 	int[] code;         // word-addressable code memory but still bytecodes.
 	int[] globals;      // global variable space
 	int[] stack;		// Operand stack, grows upwards
+	Context[] callstack;// call stack, grows upwards
 
 	public boolean trace = false;
 
@@ -47,6 +49,7 @@ public VM(int[] code, int startip, int nglobals) {
 		this.startip = startip;
 		globals = new int[nglobals];
 		stack = new int[DEFAULT_STACK_SIZE];
+		callstack = new Context[DEFAULT_CALL_STACK_SIZE];
 	}
 
 	public void exec() {
@@ -57,7 +60,7 @@ public void exec() {
 	/** Simulate the fetch-decode execute cycle */
 	protected void cpu() {
 		int opcode = code[ip];
-		int a,b,addr,offset;
+		int a,b,addr,regnum;
 		while (opcode!= HALT && ip < code.length) {
 			if ( trace ) System.err.printf("%-35s", disInstr());
 			ip++; //jump to next instruction or to operand
@@ -102,16 +105,15 @@ protected void cpu() {
 					stack[++sp] = code[ip++]; // push operand
 					break;
 				case LOAD : // load local or arg; 1st local is fp+1, args are fp-3, fp-4, fp-5, ...
-					offset = code[ip++];
-					stack[++sp] = stack[fp+offset];
+                    load();
 					break;
 				case GLOAD :// load from global memory
 					addr = code[ip++];
 					stack[++sp] = globals[addr];
 					break;
 				case STORE :
-					offset = code[ip++];
-					stack[fp+offset] = stack[sp--];
+					regnum = code[ip++];
+					callstack[callsp].locals[regnum] = stack[sp--];
 					break;
 				case GSTORE :
 					addr = code[ip++];
@@ -127,21 +129,17 @@ protected void cpu() {
 					// expects all args on stack
 					addr = code[ip++];			// target addr of function
 					int nargs = code[ip++];		// how many args got pushed
-					stack[++sp] = nargs;	 	// save num args
-					stack[++sp] = fp;		 	// save fp
-					stack[++sp] = ip;		 	// push return address
-					fp = sp;					// fp points at ret addr on stack
+					callstack[++callsp] = new Context(ip,nargs);
+					// copy args into new context
+					for (int i=0; i<nargs; i++) {
+						callstack[callsp].locals[i] = stack[sp-i];
+					}
+					sp -= nargs;
 					ip = addr;					// jump to function
-					// code preamble of func must push space for locals
+					// TODO: code preamble of func must push space for locals
 					break;
 				case RET:
-					int rvalue = stack[sp--];	// pop return value
-					sp = fp;					// jump over locals to fp which points at ret addr
-					ip = stack[sp--];			// pop return address, jump to it
-					fp = stack[sp--];			// restore fp
-					nargs = stack[sp--];		// how many args to throw away?
-					sp -= nargs;				// pop args
-					stack[++sp] = rvalue;	  	// leave result on stack
+					ip = callstack[callsp--].returnip;
 					break;
 				default :
 					throw new Error("invalid opcode: "+opcode+" at ip="+(ip-1));
@@ -154,7 +152,13 @@ protected void cpu() {
 		if ( trace ) dumpDataMemory();
 	}
 
-	protected String stackString() {
+    private void load() {
+        int regnum;
+        regnum = code[ip++];
+        stack[++sp] = callstack[callsp].locals[regnum];
+    }
+
+    protected String stackString() {
 		StringBuilder buf = new StringBuilder();
 		buf.append("stack=[");
 		for (int i = 0; i <= sp; i++) {