diff --git wp-includes/js/tinymce/plugins/wpeditimage/editimage.html wp-includes/js/tinymce/plugins/wpeditimage/editimage.html
index d7ad227..5627ee2 100644
--- wp-includes/js/tinymce/plugins/wpeditimage/editimage.html
+++ wp-includes/js/tinymce/plugins/wpeditimage/editimage.html
@@ -103,7 +103,7 @@ if ( 'rtl' == tinyMCEPopup.editor.getParam('directionality','') )
 				</label>
 			</th>
 			<td class="field">
-				<input type="text" id="img_cap" name="img_cap" value="" size="60" />
+ 				<textarea id="img_cap" name="img_cap" value="" rows="4" cols="60"></textarea>
 			</td>
 		</tr>
 
diff --git wp-includes/js/tinymce/plugins/wpeditimage/editor_plugin.dev.js wp-includes/js/tinymce/plugins/wpeditimage/editor_plugin.dev.js
index f79b625..8e9ae90 100644
--- wp-includes/js/tinymce/plugins/wpeditimage/editor_plugin.dev.js
+++ wp-includes/js/tinymce/plugins/wpeditimage/editor_plugin.dev.js
@@ -143,7 +143,8 @@
 				if ( ! w || ! cap ) return c;
 				
 				div_cls = (cls == 'aligncenter') ? 'mceTemp mceIEcenter' : 'mceTemp';
-
+ 				cap = cap.replace(/&#39;/gi, "'").replace(/&quot;/gi, '"');
+        
 				return '<div class="'+div_cls+'" draggable><dl id="'+id+'" class="wp-caption '+cls+'" style="width: '+(10+parseInt(w))+
 				'px"><dt class="wp-caption-dt">'+c+'</dt><dd class="wp-caption-dd">'+cap+'</dd></dl></div>';
 			});
@@ -163,7 +164,7 @@
 
 				if ( ! w || ! cap ) return c;
 				cls = cls.match(/align[^ '"]+/) || 'alignnone';
-				cap = cap.replace(/<\S[^<>]*>/gi, '').replace(/'/g, '&#39;').replace(/"/g, '&quot;');
+				cap = cap.replace(/'/g, '&#39;').replace(/"/g, '&quot;');
 
 				return '[caption id="'+id+'" align="'+cls+'" width="'+w+'" caption="'+cap+'"]'+c+'[/caption]';
 			});
diff --git wp-includes/media.php wp-includes/media.php
index 89a3f36..dcc0263 100644
--- wp-includes/media.php
+++ wp-includes/media.php
@@ -743,7 +743,7 @@ function img_caption_shortcode($attr, $content = null) {
 	if ( $id ) $id = 'id="' . esc_attr($id) . '" ';
 
 	return '<div ' . $id . 'class="wp-caption ' . esc_attr($align) . '" style="width: ' . (10 + (int) $width) . 'px">'
-	. do_shortcode( $content ) . '<p class="wp-caption-text">' . $caption . '</p></div>';
+	. do_shortcode( $content ) . '<p class="wp-caption-text">' . html_entity_decode( $caption ) . '</p></div>';
 }
 
 add_shortcode('gallery', 'gallery_shortcode');
