Index: wp-admin/admin-ajax.php
===================================================================
--- wp-admin/admin-ajax.php	(revision 14834)
+++ wp-admin/admin-ajax.php	(working copy)
@@ -399,17 +399,6 @@
 	else
 		die('0');
 	break;
-case 'delete-menu-item' :
-	$menu_item_id = (int) $_POST['menu-item'];
-	check_ajax_referer( 'delete-menu_item_' . $menu_item_id );
-	if ( ! current_user_can( 'edit_theme_options' ) )
-		die('-1');
-
-	if ( is_nav_menu_item( $menu_item_id ) && wp_delete_post( $menu_item_id, true ) )
-		die('1');
-	else
-		die('0');
-	break;
 case 'delete-meta' :
 	check_ajax_referer( "delete-meta_$id" );
 	if ( !$meta = get_post_meta_by_id( $id ) )
Index: wp-admin/includes/nav-menu.php
===================================================================
--- wp-admin/includes/nav-menu.php	(revision 14834)
+++ wp-admin/includes/nav-menu.php	(working copy)
@@ -59,13 +59,13 @@
 			$original_title = $original_object->post_title;
 		}
 		?>
-		<li id="menu-item-<?php echo $item_id; ?>" class="menu-item menu-item-depth-<?php echo $depth; ?> menu-item-<?php echo esc_attr( $item->object ); ?>">
-			<dl class="menu-item-bar <?php
-				if ( isset($_GET['edit-menu-item']) && $item_id == $_GET['edit-menu-item'] )
-					echo 'menu-item-edit-active menu-item-bar-active';
-				else
-					echo 'menu-item-edit-inactive menu-item-bar-inactive';
-			?>">
+		<li id="menu-item-<?php echo $item_id; ?>" class="menu-item menu-item-depth-<?php echo $depth; ?> menu-item-<?php echo esc_attr( $item->object ); ?> menu-item-edit-<?php
+			if ( isset($_GET['edit-menu-item']) && $item_id == $_GET['edit-menu-item'] )
+				echo 'active';
+			else
+				echo 'inactive';
+		?>">
+			<dl class="menu-item-bar">
 				<dt class="menu-item-handle">
 					<span class="item-title"><?php echo esc_html( $item->title ); ?></span>
 					<span class="item-controls">
@@ -104,12 +104,7 @@
 				</dt>
 			</dl>
 
-			<div class="menu-item-settings <?php
-				if ( isset($_GET['edit-menu-item']) && $item_id == $_GET['edit-menu-item'] )
-					echo 'menu-item-edit-active menu-item-settings-active';
-				else
-					echo 'menu-item-edit-inactive menu-item-settings-inactive';
-			?>" id="menu-item-settings-<?php echo $item_id; ?>">
+			<div class="menu-item-settings" id="menu-item-settings-<?php echo $item_id; ?>">
 				<?php if( 'custom' == $item->type ) : ?>
 					<p class="field-url description description-wide">
 						<label for="edit-menu-item-url-<?php echo $item_id; ?>">
@@ -178,8 +173,7 @@
 							remove_query_arg($removed_args, admin_url( 'nav-menus.php' ) )
 						),
 						'delete-menu_item_' . $item_id
-					); ?>"><?php _e('Remove'); ?></a> <span class="meta-sep"> | </span> <a class="item-close submitclose" id="close-<?php echo $item_id; ?>" href="<?php echo admin_url( 'nav-menus.php' ); ?>"><?php _e('Close'); ?></a>
-					<input class="button-primary save-menu-item" name="save_menu_item" type="submit" value="<?php esc_attr_e('Save Menu Item'); ?>" />
+					); ?>"><?php _e('Remove'); ?></a> <span class="meta-sep"> | </span> <a class="item-cancel submitcancel" id="cancel-<?php echo $item_id; ?>" href="<?php echo admin_url( 'nav-menus.php' ); ?>"><?php _e('Cancel'); ?></a>
 				</div>
 
 				<input class="menu-item-data-db-id" type="hidden" name="menu-item-db-id[<?php echo $item_id; ?>]" value="<?php echo $item_id; ?>" />
Index: wp-admin/js/nav-menu.dev.js
===================================================================
--- wp-admin/js/nav-menu.dev.js	(revision 14834)
+++ wp-admin/js/nav-menu.dev.js	(working copy)
@@ -132,9 +132,10 @@
 
 						// Retrieve menu item data
 						$(checkboxes).each(function(){
-							var listItemDBIDMatch = re.exec( $(this).attr('name') ),
+							var t = $(this),
+								listItemDBIDMatch = re.exec( t.attr('name') ),
 								listItemDBID = 'undefined' == typeof listItemDBIDMatch[1] ? 0 : parseInt(listItemDBIDMatch[1], 10);
-							menuItems[listItemDBID] = api.getListDataFromID(listItemDBID);
+							menuItems[listItemDBID] = t.closest('li').getItemData( 'add-menu-item', listItemDBID );
 						});
 						// Add the items
 						api.addItemToMenu(menuItems, processMethod, function(){
@@ -143,6 +144,76 @@
 							t.find('img.waiting').hide();
 						});
 					});
+				},
+				getItemData : function( itemType, id ) {
+					itemType = itemType || 'menu-item';
+					
+					var itemData = {}, i, objId,
+					fields = [
+						'menu-item-db-id',
+						'menu-item-object-id',
+						'menu-item-object',
+						'menu-item-parent-id',
+						'menu-item-position',
+						'menu-item-type',
+						'menu-item-title',
+						'menu-item-url',
+						'menu-item-description',
+						'menu-item-attr-title',
+						'menu-item-target',
+						'menu-item-classes',
+						'menu-item-xfn'
+					];
+					
+					if( !id && itemType == 'menu-item' ) {
+						id = this.find('.menu-item-data-db-id').val();
+					}
+					
+					if( !id ) return itemData;
+					
+					this.find('input').each(function() {
+						var field;
+						i = fields.length;
+						while ( i-- ) {
+							if( itemType == 'menu-item' )
+								field = fields[i] + '[' + id + ']';
+							else if( itemType == 'add-menu-item' )
+								field = 'menu-item[' + id + '][' + fields[i] + ']';
+								
+							if (
+								this.name &&
+								field == this.name
+							) {
+								itemData[fields[i]] = this.value;
+							}
+						}
+					});
+					
+					return itemData;
+				},
+				setItemData : function( itemData, itemType, id ) { // Can take a type, such as 'menu-item', or an id.
+					itemType = itemType || 'menu-item';
+					
+					if( !id && itemType == 'menu-item' ) {
+						id = $('.menu-item-data-db-id', this).val();
+					}
+					
+					if( !id ) return this;
+					
+					this.find('input').each(function() {
+						var t = $(this), field;
+						$.each( itemData, function( attr, val ) {
+							if( itemType == 'menu-item' )
+								field = attr + '[' + id + ']';
+							else if( itemType == 'add-menu-item' )
+								field = 'menu-item[' + id + '][' + attr + ']';
+							
+							if ( field == t.attr('name') ) {
+								t.val( val );
+							}
+						});
+					});
+					return this;
 				}
 			});
 		},
@@ -306,8 +377,8 @@
 						return that.eventOnClickMenuDelete(e.target);
 					} else if ( -1 != e.target.className.indexOf('item-delete') ) {
 						return that.eventOnClickMenuItemDelete(e.target);
-					} else if ( -1 != e.target.className.indexOf('item-close') ) {
-						return that.eventOnClickCloseLink(e.target);
+					} else if ( -1 != e.target.className.indexOf('item-cancel') ) {
+						return that.eventOnClickCancelLink(e.target);
 					}
 				}
 			});
@@ -498,7 +569,7 @@
 				if ( api.menusChanged )
 					return navMenuL10n.saveAlert;
 			};
-			$('input.menu-save, input.save-menu-item').click(function(){
+			$('input.menu-save').click(function(){
 				window.onbeforeunload = null;
 			});
 		},
@@ -652,20 +723,22 @@
 		},
 
 		eventOnClickEditLink : function(clickedEl) {
-			var activeEdit,
+			var settings, item,
 			matchedSection = /#(.*)$/.exec(clickedEl.href);
 			if ( matchedSection && matchedSection[1] ) {
-				activeEdit = $('#'+matchedSection[1]);
-				if( 0 != activeEdit.length ) {
-					if( activeEdit.hasClass('menu-item-edit-inactive') ) {
-						activeEdit.slideDown('fast')
-							.siblings('dl').andSelf()
-							.removeClass('menu-item-edit-inactive')
+				settings = $('#'+matchedSection[1]);
+				item = settings.parent();
+				if( 0 != item.length ) {
+					if( item.hasClass('menu-item-edit-inactive') ) {
+						if( ! settings.data('menu-item-data') ) {
+							settings.data( 'menu-item-data', settings.getItemData() );
+						}
+						settings.slideDown('fast');
+						item.removeClass('menu-item-edit-inactive')
 							.addClass('menu-item-edit-active');
 					} else {
-						activeEdit.slideUp('fast')
-							.siblings('dl').andSelf()
-							.removeClass('menu-item-edit-active')
+						settings.slideUp('fast');
+						item.removeClass('menu-item-edit-active')
 							.addClass('menu-item-edit-inactive');
 					}
 					return false;
@@ -673,8 +746,9 @@
 			}
 		},
 
-		eventOnClickCloseLink : function(clickedEl) {
-			$(clickedEl).closest('.menu-item-settings').siblings('dl').find('.item-edit').click();
+		eventOnClickCancelLink : function(clickedEl) {
+			var settings = $(clickedEl).closest('.menu-item-settings');
+			settings.setItemData( settings.data('menu-item-data') );
 			return false;
 		},
 
@@ -699,28 +773,9 @@
 		},
 
 		eventOnClickMenuItemDelete : function(clickedEl) {
-			var itemID,
-			matchedSection,
-			that = this;
-
-			matchedSection = /_wpnonce=([a-zA-Z0-9]*)$/.exec(clickedEl.href);
-			if ( matchedSection && matchedSection[1] ) {
-				itemID = parseInt(clickedEl.id.replace('delete-', ''), 10);
-				$.post(
-					ajaxurl,
-					{
-						action:'delete-menu-item',
-						'menu-item':itemID,
-						'_wpnonce':matchedSection[1]
-					},
-					function (resp) {
-						if ( '1' == resp )
-							that.removeMenuItem(document.getElementById('menu-item-' + itemID));
-					}
-				);
-				return false;
-			}
-			return true;
+			var itemID = parseInt(clickedEl.id.replace('delete-', ''), 10);
+			api.removeMenuItem( $('#menu-item-' + itemID) );
+			return false;
 		},
 
 		/**
@@ -765,55 +820,17 @@
 		},
 
 		removeMenuItem : function(el) {
-			el = $(el);
 			var children = el.childMenuItems();
 
-			el.addClass('deleting').fadeOut( 350 , function() {
-				el.remove();
-				children.shiftDepthClass(-1).updateParentMenuItemDBId();
-			});
+			el.addClass('deleting').animate({
+					opacity : 0,
+					height: 0
+				}, 350, function() {
+					el.remove();
+					children.shiftDepthClass(-1).updateParentMenuItemDBId();
+				});
 		},
 
-		getListDataFromID : function(menuItemID, parentEl) {
-			if ( ! menuItemID )
-				return false;
-			parentEl = parentEl || document;
-			var fields = [
-				'menu-item-db-id',
-				'menu-item-object-id',
-				'menu-item-object',
-				'menu-item-parent-id',
-				'menu-item-position',
-				'menu-item-type',
-				'menu-item-title',
-				'menu-item-url',
-				'menu-item-description',
-				'menu-item-attr-title',
-				'menu-item-target',
-				'menu-item-classes',
-				'menu-item-xfn'
-			],
-			itemData = {},
-			inputs = parentEl.getElementsByTagName('input'),
-			i = inputs.length,
-			j;
-
-			while ( i-- ) {
-				j = fields.length;
-				while ( j-- ) {
-					if (
-						inputs[i] &&
-						inputs[i].name &&
-						'menu-item[' + menuItemID + '][' + fields[j] + ']' == inputs[i].name
-					) {
-						itemData[fields[j]] = inputs[i].value;
-					}
-				}
-			}
-
-			return itemData;
-		},
-
 		depthToPx : function(depth) {
 			return depth * api.options.menuItemDepthPerLevel;
 		},
Index: wp-admin/nav-menus.php
===================================================================
--- wp-admin/nav-menus.php	(revision 14834)
+++ wp-admin/nav-menus.php	(working copy)
@@ -318,7 +318,12 @@
 			// Update menu items
 
 			if ( ! is_wp_error( $_menu_object ) ) {
-				$menu_items = wp_get_nav_menu_items( $nav_menu_selected_id, array('orderby' => 'ID', 'output' => ARRAY_A, 'output_key' => 'ID') );
+				$unsorted_menu_items = wp_get_nav_menu_items( $nav_menu_selected_id, array('orderby' => 'ID', 'output' => ARRAY_A, 'output_key' => 'ID') );
+				$menu_items = array();
+				// Index menu items by db ID
+				foreach( $unsorted_menu_items as $_item )
+					$menu_items[$_item->db_id] = $_item;
+
 				$post_fields = array( 'menu-item-db-id', 'menu-item-object-id', 'menu-item-object', 'menu-item-parent-id', 'menu-item-position', 'menu-item-type', 'menu-item-title', 'menu-item-url', 'menu-item-description', 'menu-item-attr-title', 'menu-item-target', 'menu-item-classes', 'menu-item-xfn' );
 				wp_defer_term_counting(true);
 				// Loop through all the menu items' POST variables
@@ -356,7 +361,7 @@
 				do_action( 'wp_update_nav_menu', $nav_menu_selected_id );
 
 				$messages[] = '<div id="message" class="updated"><p>' . sprintf( __('The <strong>%s</strong> menu has been updated.'), $nav_menu_selected_title ) . '</p></div>';
-				unset( $menu_items );
+				unset( $menu_items, $unsorted_menu_items );
 			}
 		}
 		break;
@@ -410,11 +415,6 @@
 	// Set up nav menu
 	wp_nav_menu_setup();
 	$messages[] = '<div id="message" class="error"><p>' . __('The current theme does not natively support menus, but you can use the &#8220;Navigation Menu&#8221; widget to add any menus you create here to the theme&#8217;s sidebar.') . '</p></div>';
-
-// The theme supports neither menus nor widgets.
-} else {
-	remove_meta_box( 'create-menu', 'nav-menus', 'side' );
-	$messages[] = '<div id="message" class="error"><p>' . __('The current theme does not support menus.') . '</p></div>';
 }
 
 wp_initial_nav_menu_meta_boxes();
@@ -512,9 +512,11 @@
 								<?php endif; ?>
 							</div><!--END .major-publishing-actions-->
 						</div><!--END #submitpost .submitbox-->
-						<?php wp_nonce_field( 'closedpostboxes', 'closedpostboxesnonce', false ); ?>
-						<?php wp_nonce_field( 'meta-box-order', 'meta-box-order-nonce', false ); ?>
-						<?php wp_nonce_field( 'update-nav_menu', 'update-nav-menu-nonce' ); ?>
+						<?php
+						wp_nonce_field( 'closedpostboxes', 'closedpostboxesnonce', false );
+						wp_nonce_field( 'meta-box-order', 'meta-box-order-nonce', false );
+						wp_nonce_field( 'update-nav_menu', 'update-nav-menu-nonce' );
+						?>
 						<input type="hidden" name="action" value="update" />
 						<input type="hidden" name="menu" id="menu" value="<?php echo esc_attr( $nav_menu_selected_id ); ?>" />
 					</div><!--END #nav-menu-header-->
Index: wp-admin/css/nav-menu.dev.css
===================================================================
--- wp-admin/css/nav-menu.dev.css	(revision 14834)
+++ wp-admin/css/nav-menu.dev.css	(working copy)
@@ -214,7 +214,7 @@
 
 .meta-sep,
 .submitdelete, 
-.submitclose {
+.submitcancel {
 	display:block;
 	float:left;
 	font-size: 11px;
@@ -416,11 +416,11 @@
 	-khtml-border-bottom-right-radius: 6px;
 	-khtml-border-bottom-left-radius: 6px;
 }
-.menu-item-settings-active {
+.menu-item-edit-active .menu-item-settings {
 	display:block;
 }
 
-.menu-item-settings-inactive {
+.menu-item-edit-inactive .menu-item-settings {
 	display:none;
 }
 
@@ -468,10 +468,6 @@
 	padding-top: 15px;
 	line-height: 25px;
 }
-.save-menu-item {
-	float: right;
-	padding-left: 10px;
-}
 
 #cancel-save { cursor: pointer; }
 #cancel-save:hover { color: #fff !important; }
@@ -502,13 +498,13 @@
 	font-size: 11px;
 	font-style: normal;
 }
-.submitbox .submitclose {
+.submitbox .submitcancel {
 	color: #21759B;
 	border-bottom: 1px solid #21759B;
 	padding: 1px 2px;
 	text-decoration: none;
 }
-.submitbox .submitclose:hover {
+.submitbox .submitcancel:hover {
 	background: #21759B;
 	color: #fff;
 }