diff --git a/.gitignore b/.gitignore
index 8f7c323e7..187b981b9 100644
--- a/.gitignore
+++ b/.gitignore
@@ -14,6 +14,7 @@ target/
 *.ipr
 *.iws
 *.idea
+out/
 
 # Mac
 .DS_Store
diff --git a/mule-migration-tool-e2e-tests/src/test/java/com/mulesoft/tools/migration/e2e/TransformMigrationTestCase.java b/mule-migration-tool-e2e-tests/src/test/java/com/mulesoft/tools/migration/e2e/TransformMigrationTestCase.java
new file mode 100644
index 000000000..a8173cb9d
--- /dev/null
+++ b/mule-migration-tool-e2e-tests/src/test/java/com/mulesoft/tools/migration/e2e/TransformMigrationTestCase.java
@@ -0,0 +1,34 @@
+/*
+ * Copyright (c) 2020, Mulesoft, LLC. All rights reserved.
+ * Use of this source code is governed by a BSD 3-Clause License
+ * license that can be found in the LICENSE.txt file.
+ */
+package com.mulesoft.tools.migration.e2e;
+
+import org.junit.Test;
+import org.junit.runner.RunWith;
+import org.junit.runners.Parameterized;
+import org.junit.runners.Parameterized.Parameters;
+
+
+@RunWith(Parameterized.class)
+public class TransformMigrationTestCase extends AbstractEndToEndTestCase {
+
+  @Parameters(name = "{0}")
+  public static Object[] params() {
+    return new Object[] {
+        "ee_transform/ee_transform_01"
+    };
+  }
+
+  private final String appToMigrate;
+
+  public TransformMigrationTestCase(String appToMigrate) {
+    this.appToMigrate = appToMigrate;
+  }
+
+  @Test
+  public void test() throws Exception {
+    simpleCase(appToMigrate);
+  }
+}
diff --git a/mule-migration-tool-e2e-tests/src/test/resources/e2e/ee_transform/ee_transform_01/input/src/main/app/mule-config.xml b/mule-migration-tool-e2e-tests/src/test/resources/e2e/ee_transform/ee_transform_01/input/src/main/app/mule-config.xml
new file mode 100644
index 000000000..190e3f5b3
--- /dev/null
+++ b/mule-migration-tool-e2e-tests/src/test/resources/e2e/ee_transform/ee_transform_01/input/src/main/app/mule-config.xml
@@ -0,0 +1,45 @@
+<?xml version="1.0" encoding="UTF-8"?>
+
+<mule xmlns:dw="http://www.mulesoft.org/schema/mule/ee/dw"
+      xmlns="http://www.mulesoft.org/schema/mule/core"
+      xmlns:doc="http://www.mulesoft.org/schema/mule/documentation"
+      xmlns:xsi="http://www.w3.org/2001/XMLSchema-instance"
+      xsi:schemaLocation="http://www.mulesoft.org/schema/mule/core http://www.mulesoft.org/schema/mule/core/current/mule.xsd
+http://www.mulesoft.org/schema/mule/ee/dw http://www.mulesoft.org/schema/mule/ee/dw/current/dw.xsd">
+    <flow name="ee-transform-03Flow">
+        <dw:transform-message doc:name="Transform Message">
+            <dw:set-payload>
+                <![CDATA[%dw 1.0
+                %output application/json
+                ---
+                {
+                  order: {
+                    type: "Book",
+                    title: payload.title,
+                    details: "By $(payload.author) ($(payload.year))"
+                  }
+                }
+                ]]>
+            </dw:set-payload>
+            <dw:set-variable variableName="testVar">
+                <![CDATA[%dw 1.0
+                %output application/java
+                ---
+                {
+                    orderStatus: "complete" when flowVars.purchaseOrderStatus == "C" otherwise "incomplete"
+                }
+                ]]>
+            </dw:set-variable>
+            <dw:set-session-variable variableName="testSessionVar">
+                <![CDATA[%dw 1.0
+                %output application/java
+                ---
+                {
+                    value: "aValue"
+                }
+                ]]>
+            </dw:set-session-variable>
+        </dw:transform-message>
+        <logger/>
+    </flow>
+</mule>
diff --git a/mule-migration-tool-e2e-tests/src/test/resources/e2e/ee_transform/ee_transform_01/output/pom.xml b/mule-migration-tool-e2e-tests/src/test/resources/e2e/ee_transform/ee_transform_01/output/pom.xml
new file mode 100644
index 000000000..70e9a9b5d
--- /dev/null
+++ b/mule-migration-tool-e2e-tests/src/test/resources/e2e/ee_transform/ee_transform_01/output/pom.xml
@@ -0,0 +1,51 @@
+<?xml version="1.0" encoding="UTF-8"?>
+<project xsi:schemaLocation="http://maven.apache.org/POM/4.0.0 http://maven.apache.org/xsd/maven-4.0.0.xsd" xmlns="http://maven.apache.org/POM/4.0.0"
+         xmlns:xsi="http://www.w3.org/2001/XMLSchema-instance">
+    <modelVersion>4.0.0</modelVersion>
+    <groupId>org.mule.migrated</groupId>
+    <artifactId>ee_transform_01</artifactId>
+    <version>1.0.0-M4-SNAPSHOT</version>
+    <packaging>mule-application</packaging>
+    <description>Application migrated with MMA</description>
+    <dependencies>
+        <dependency>
+            <groupId>com.mulesoft.mule.modules</groupId>
+            <artifactId>mule-compatibility-module</artifactId>
+            <version>1.4.0</version>
+            <classifier>mule-plugin</classifier>
+        </dependency>
+    </dependencies>
+    <repositories>
+        <repository>
+            <id>mulesoft-releases</id>
+            <name>MuleSoft Releases Repository</name>
+            <url>https://repository.mulesoft.org/releases/</url>
+        </repository>
+        <repository>
+            <id>anypoint-exchange</id>
+            <name>Anypoint Exchange</name>
+            <url>https://maven.anypoint.mulesoft.com/api/v1/maven</url>
+        </repository>
+    </repositories>
+    <pluginRepositories>
+        <pluginRepository>
+            <snapshots>
+                <enabled>true</enabled>
+            </snapshots>
+            <id>mulesoft-releases</id>
+            <name>MuleSoft Releases Repository</name>
+            <url>https://repository.mulesoft.org/releases/</url>
+        </pluginRepository>
+    </pluginRepositories>
+    <build>
+        <plugins>
+            <plugin>
+                <groupId>org.mule.tools.maven</groupId>
+                <artifactId>mule-maven-plugin</artifactId>
+                <version>3.2.1</version>
+                <extensions>true</extensions>
+                <configuration />
+            </plugin>
+        </plugins>
+    </build>
+</project>
diff --git a/mule-migration-tool-e2e-tests/src/test/resources/e2e/ee_transform/ee_transform_01/output/report/report.json b/mule-migration-tool-e2e-tests/src/test/resources/e2e/ee_transform/ee_transform_01/output/report/report.json
new file mode 100644
index 000000000..8c1da0522
--- /dev/null
+++ b/mule-migration-tool-e2e-tests/src/test/resources/e2e/ee_transform/ee_transform_01/output/report/report.json
@@ -0,0 +1,45 @@
+{
+  "projectType": "MULE_THREE_APPLICATION",
+  "projectName": "input",
+  "connectorsMigrated": [],
+  "numberOfMuleComponents": 4,
+  "numberOfMuleComponentsMigrated": 4,
+  "componentDetails": {
+    "mule": {
+      "success": 1,
+      "failure": 0
+    },
+    "logger": {
+      "success": 1,
+      "failure": 0
+    },
+    "flow": {
+      "success": 1,
+      "failure": 0
+    },
+    "ee:transform": {
+      "success": 1,
+      "failure": 0
+    }
+  },
+  "numberOfMELExpressions": 0,
+  "numberOfMELExpressionsMigrated": 0,
+  "numberOfMELExpressionLines": 0,
+  "numberOfMELExpressionLinesMigrated": 0,
+  "numberOfDWTransformations": 3,
+  "numberOfDWTransformationsMigrated": 3,
+  "numberOfDWTransformationLines": 22,
+  "numberOfDWTransformationLinesMigrated": 22,
+  "detailedMessages": [
+    {
+      "level": "WARN",
+      "key": "transform.sessionVars",
+      "component": "compatibility:set-session-variable",
+      "lineNumber": 38,
+      "columnNumber": 106,
+      "message": "Instead of setting session variables in the flow, you must set Mule 4 variables.",
+      "filePath": "src/main/mule/mule-config.xml",
+      "documentationLinks": []
+    }
+  ]
+}
\ No newline at end of file
diff --git a/mule-migration-tool-e2e-tests/src/test/resources/e2e/ee_transform/ee_transform_01/output/src/main/mule/mule-config.xml b/mule-migration-tool-e2e-tests/src/test/resources/e2e/ee_transform/ee_transform_01/output/src/main/mule/mule-config.xml
new file mode 100644
index 000000000..88c384f12
--- /dev/null
+++ b/mule-migration-tool-e2e-tests/src/test/resources/e2e/ee_transform/ee_transform_01/output/src/main/mule/mule-config.xml
@@ -0,0 +1,48 @@
+<?xml version="1.0" encoding="UTF-8"?>
+<mule xmlns="http://www.mulesoft.org/schema/mule/core" xmlns:compatibility="http://www.mulesoft.org/schema/mule/compatibility" xmlns:doc="http://www.mulesoft.org/schema/mule/documentation" xmlns:ee="http://www.mulesoft.org/schema/mule/ee/core" xmlns:xsi="http://www.w3.org/2001/XMLSchema-instance" xsi:schemaLocation="http://www.mulesoft.org/schema/mule/ee/core http://www.mulesoft.org/schema/mule/ee/core/current/mule-ee.xsd http://www.mulesoft.org/schema/mule/compatibility http://www.mulesoft.org/schema/mule/compatibility/current/mule-compatibility.xsd http://www.mulesoft.org/schema/mule/core http://www.mulesoft.org/schema/mule/core/current/mule.xsd">
+
+    <flow name="ee-transform-03Flow">
+        <ee:transform doc:name="Transform Message">
+            <ee:message>
+                <ee:set-payload><![CDATA[%dw 2.0
+output application/json  
+---
+{
+  order: {
+    "type": "Book",
+    title: payload.title,
+    details: "By $(payload.author) ($(payload.year))"
+  }
+}]]></ee:set-payload>
+            </ee:message>
+            <ee:variables>
+                <ee:set-variable variableName="testVar"><![CDATA[%dw 2.0
+output application/java  
+---
+{
+  orderStatus: 
+    if (vars.purchaseOrderStatus == "C")
+      "complete"
+    else
+      "incomplete"
+}]]></ee:set-variable>
+                <ee:set-variable variableName="testSessionVar"><![CDATA[%dw 2.0
+output application/java  
+---
+{
+  value: "aValue"
+}]]></ee:set-variable>
+            </ee:variables>
+        </ee:transform>
+
+        <compatibility:set-session-variable variableName="testSessionVar" value="#[vars.testSessionVar]">
+            <!--Migration WARN: Instead of setting session variables in the flow, you must set Mule 4 variables.-->
+            <!--    For more information refer to:-->
+            <!--        * https://github.com/mulesoft/mule-migration-assistant/blob/master/docs/user-docs/migration-tool-post-mig.adoc#session_variables-->
+        </compatibility:set-session-variable>
+
+        <logger />
+
+    </flow>
+
+</mule>