Index: Lib/HTMLParser.py
===================================================================
--- Lib/HTMLParser.py	(revision 80555)
+++ Lib/HTMLParser.py	(working copy)
@@ -175,6 +175,9 @@
                     i = self.updatepos(i, k)
                     continue
                 else:
+                    if ";" in rawdata[i:]: #bail by consuming &#
+                        self.handle_data(rawdata[0:2])
+                        i = self.updatepos(i, 2)
                     break
             elif startswith('&', i):
                 match = entityref.match(rawdata, i)
Index: Lib/test/test_htmlparser.py
===================================================================
--- Lib/test/test_htmlparser.py	(revision 80555)
+++ Lib/test/test_htmlparser.py	(working copy)
@@ -114,6 +114,7 @@
 <Img sRc='Bar' isMAP>sample
 text
 &#x201C;
+&#bad;
 <!--comment2a-- --comment2b--><!>
 </Html>
 """, [
@@ -129,7 +130,7 @@
     ("starttag", "img", [("src", "Bar"), ("ismap", None)]),
     ("data", "sample\ntext\n"),
     ("charref", "x201C"),
-    ("data", "\n"),
+    ("data", "\n&#bad;\n"),
     ("comment", "comment2a-- --comment2b"),
     ("data", "\n"),
     ("endtag", "html"),