diff -ur linux-2.6.11-rc2-bk8/net/core/link_watch.c linux-2.6.11-work/net/core/link_watch.c
--- linux-2.6.11-rc2-bk8/net/core/link_watch.c	2005-01-30 22:08:44.000000000 +0100
+++ linux-2.6.11-work/net/core/link_watch.c	2005-01-31 00:17:45.716039247 +0100
@@ -16,6 +16,7 @@
 #include <linux/netdevice.h>
 #include <linux/if.h>
 #include <net/sock.h>
+#include <net/pkt_sched.h>
 #include <linux/rtnetlink.h>
 #include <linux/jiffies.h>
 #include <linux/spinlock.h>
@@ -74,6 +75,9 @@
 		clear_bit(__LINK_STATE_LINKWATCH_PENDING, &dev->state);
 
 		if (dev->flags & IFF_UP) {
+			if (netif_carrier_ok(dev) &&
+			    dev->qdisc_sleeping != &noop_qdisc)
+				dev_activate(dev);
 			netdev_state_change(dev);
 		}
 
diff -ur linux-2.6.11-rc2-bk8/net/sched/sch_generic.c linux-2.6.11-work/net/sched/sch_generic.c
--- linux-2.6.11-rc2-bk8/net/sched/sch_generic.c	2005-01-30 22:11:50.458216314 +0100
+++ linux-2.6.11-work/net/sched/sch_generic.c	2005-01-31 00:06:47.609769835 +0100
@@ -185,6 +185,7 @@
 static void dev_watchdog(unsigned long arg)
 {
 	struct net_device *dev = (struct net_device *)arg;
+	int check_carrier = 0;
 
 	spin_lock(&dev->xmit_lock);
 	if (dev->qdisc != &noop_qdisc) {
@@ -198,10 +199,23 @@
 			}
 			if (!mod_timer(&dev->watchdog_timer, jiffies + dev->watchdog_timeo))
 				dev_hold(dev);
-		}
+		} else
+			check_carrier = 1;
 	}
 	spin_unlock(&dev->xmit_lock);
 
+	if (check_carrier) {
+		spin_lock(&dev->queue_lock);
+		if (!netif_carrier_ok(dev) && netif_queue_stopped(dev)) {
+			struct Qdisc *qdisc;
+
+			qdisc = dev->qdisc;
+			dev->qdisc = &noop_qdisc;
+			qdisc_reset(qdisc);
+		}
+		spin_unlock(&dev->queue_lock);
+	}
+
 	dev_put(dev);
 }