diff --git a/makefile b/makefile
index 94ac349e9..6144ba48c 100644
--- a/makefile
+++ b/makefile
@@ -22,7 +22,7 @@ VER_PATCH = 0
 
 FFLAGS   += -I../fms -I../fms/include -fPIC
 
-CPPDEFS = -DNEW_TAUCTMAX -DSMALL_PE -DNEMS_GSM
+CPPDEFS += -DNEW_TAUCTMAX -DSMALL_PE -DNEMS_GSM
 
 SRCS_f   =  \
 	   ./physics/cnvc90.f                                                        \
@@ -144,14 +144,15 @@ SRCS_F90 = \
 	   ./GFS_layer/GFS_radiation_driver.F90                                      \
 	   ./GFS_layer/GFS_restart.F90                                               \
 	   ./GFS_layer/GFS_typedefs.F90                                              \
-	   ./IPD_layer/IPD_driver_cap.F90                                            \
 	   ./IPD_layer/IPD_driver.F90                                                \
 	   ./IPD_layer/IPD_typedefs.F90
 
-
 SRCS_c   =
 
-DEPEND_FILES = $(SRCS_f) $(SRCS_f90) $(SRCS_F) $(SRCS_F90)
+CAPS_F90 = \
+	   ./IPD_layer/IPD_driver_cap.F90
+
+DEPEND_FILES = $(SRCS_f) $(SRCS_f90) $(SRCS_F) $(SRCS_F90) $(CAPS_F90)
 
 OBJS_f   = $(SRCS_f:.f=.o)
 OBJS_f90 = $(SRCS_f90:.f90=.o)
@@ -161,10 +162,12 @@ OBJS_c   = $(SRCS_c:.c=.o)
 
 OBJS = $(OBJS_f) $(OBJS_f90) $(OBJS_F) $(OBJS_F90) $(OBJS_c)
 
+CAPS = $(CAPS_F90:.F90=.o)
+
 all default: depend $(LIBRARY)
 
-$(LIBRARY): $(OBJS)
-	$(FC) -shared -Wl,-soname,$(LIBRARY).$(VER_MAJOR) $(OBJS) $(LDFLAGS) $(NCEPLIBS) -o $(LIBRARY).$(VER_MAJOR).$(VER_MINOR).$(VER_PATCH)
+$(LIBRARY): $(OBJS) $(CAPS)
+	$(FC) -shared -Wl,-soname,$(LIBRARY).$(VER_MAJOR) $(OBJS) $(CAPS) $(LDFLAGS) $(NCEPLIBS) -o $(LIBRARY).$(VER_MAJOR).$(VER_MINOR).$(VER_PATCH)
 	ln -sf $(LIBRARY).$(VER_MAJOR).$(VER_MINOR).$(VER_PATCH) $(LIBRARY)
 	ln -sf $(LIBRARY).$(VER_MAJOR).$(VER_MINOR).$(VER_PATCH) $(LIBRARY).$(VER_MAJOR)
 
@@ -177,6 +180,16 @@ $(LIBRARY): $(OBJS)
 ./GFS_layer/GFS_diagnostics.o : ./GFS_layer/GFS_diagnostics.F90
 	$(FC) $(FFLAGS) $(OTHER_FFLAGS) -O0 -c $< -o $@
 
+ifneq (,$(findstring PGIFIX,$(CPPDEFS)))
+$(CAPS):
+	$(FC) $(FFLAGS) $(OTHER_FFLAGS) -c $< -o $@
+	# Apply a fix specific to the PGI compiler (rename objects in cap object files)
+	./pgifix.py $@
+else
+$(CAPS):
+	$(FC) $(FFLAGS) $(OTHER_FFLAGS) -c $< -o $@
+endif
+
 .PHONY: clean
 clean:
 	@echo "Cleaning gfsphysics  ... "
diff --git a/pgifix.py b/pgifix.py
new file mode 100755
index 000000000..fd1ba45f6
--- /dev/null
+++ b/pgifix.py
@@ -0,0 +1,78 @@
+#!/usr/bin/env python
+
+import argparse
+import os
+import subprocess
+import sys
+
+parser = argparse.ArgumentParser(description='Fix cap objects produced by PGI compiler')
+parser.add_argument("cap")
+
+def parse_args():
+    args = parser.parse_args()
+    cap = args.cap
+    return cap
+
+def execute(cmd, debug = True, abort = True):
+    """Runs a local command in a shell. Waits for completion and
+    returns status, stdout and stderr. If abort = True, abort in
+    case an error occurs during the execution of the command."""
+    
+    if debug:
+        print 'Executing "{0}"'.format(cmd)
+    p = subprocess.Popen(cmd, stdout = subprocess.PIPE,
+                         stderr = subprocess.PIPE, shell = True)
+    (stdout, stderr) = p.communicate()
+    status = p.returncode
+    if debug:
+        message = 'Execution of "{0}" returned with exit code {1}\n'.format(cmd, status)
+        message += '    stdout: "{0}"\n'.format(stdout.rstrip('\n'))
+        message += '    stderr: "{0}"'.format(stderr.rstrip('\n'))
+        print message
+    if not status == 0:
+        message = 'Execution of command {0} failed, exit code {1}\n'.format(cmd, status)
+        message += '    stdout: "{0}"\n'.format(stdout.rstrip('\n'))
+        message += '    stderr: "{0}"'.format(stderr.rstrip('\n'))
+        if abort:
+            raise Exception(message)
+        else:
+            print message
+    return (status, stdout.rstrip('\n'), stderr.rstrip('\n'))
+
+def correct_cap_object_names(fixcmd, cap):
+    (cappath, capname) = os.path.split(cap)
+    pgiprefix = capname.rstrip('.o').lower() + '_'
+    # Get list of all symbols in cap object
+    nmcmd = 'nm {0}'.format(cap)
+    (status, stdout, stderr) = execute(nmcmd)
+    del nmcmd
+    # Parse all symbols and generate objcopy command
+    for line in stdout.split('\n'):
+        try:
+            (address, symboltype, objectname) = line.split()
+        except ValueError:
+            continue
+        if not symboltype == 'T':
+            continue
+        if objectname.startswith(pgiprefix):
+            newname = objectname[len(pgiprefix):]
+        if newname.endswith('_cap'):
+            fixcmd += '--redefine-sym {0}={1} '.format(objectname, newname)
+    return fixcmd
+
+def correct_object_names(fixcmd, cap):
+    tmp = cap + '.tmp'
+    fixcmd += '{0} {1}'.format(cap, tmp)
+    execute(fixcmd)
+    mvcmd = 'mv -v {0} {1}'.format(tmp, cap)
+    execute(mvcmd)
+
+def main():
+    cap = parse_args()
+    fixcmd = 'objcopy '
+    fixcmd = correct_cap_object_names(fixcmd, cap)
+    if not fixcmd == 'objcopy ':
+        correct_object_names(fixcmd, cap)
+
+if __name__ == '__main__':
+    main()
\ No newline at end of file