diff --git a/diylc/diylc-core/src/org/diylc/common/IPlugInPort.java b/diylc/diylc-core/src/org/diylc/common/IPlugInPort.java
index 20865023..eb2a3b1e 100644
--- a/diylc/diylc-core/src/org/diylc/common/IPlugInPort.java
+++ b/diylc/diylc-core/src/org/diylc/common/IPlugInPort.java
@@ -51,7 +51,7 @@ import org.diylc.core.Theme;
  * @see IMessageListener
  * @see EventType
  */
-public interface IPlugInPort extends ISelectionProcessor, IMouseProcessor, IKeyProcessor, ITemplateProcessor,
+public interface IPlugInPort extends ISelectionProcessor, IMouseProcessor, IKeyProcessor, IVariantProcessor,
     IBlockProcessor {
 
   public static final String ANTI_ALIASING_KEY = "antiAliasing";
diff --git a/diylc/diylc-core/src/org/diylc/common/ITemplateProcessor.java b/diylc/diylc-core/src/org/diylc/common/IVariantProcessor.java
similarity index 62%
rename from diylc/diylc-core/src/org/diylc/common/ITemplateProcessor.java
rename to diylc/diylc-core/src/org/diylc/common/IVariantProcessor.java
index 9498b4e0..d0cce3d4 100644
--- a/diylc/diylc-core/src/org/diylc/common/ITemplateProcessor.java
+++ b/diylc/diylc-core/src/org/diylc/common/IVariantProcessor.java
@@ -25,26 +25,26 @@ import java.util.List;
 
 import org.diylc.core.Template;
 
-public interface ITemplateProcessor {
+public interface IVariantProcessor {
 
   public static final String TEMPLATES_KEY = "templates";
   public static final String DEFAULT_TEMPLATES_KEY = "defaultTemplates";
 
-  void saveSelectedComponentAsTemplate(String templateName);
+  void saveSelectedComponentAsVariant(String variantName);
 
-  List<Template> getTemplatesFor(String categoryName, String componentTypeName);
+  List<Template> getVariantsFor(String categoryName, String componentTypeName);
 
-  List<Template> getTemplatesForSelection();
+  List<Template> getVariantsForSelection();
 
-  void applyTemplateToSelection(Template template);
+  void applyVariantToSelection(Template variant);
 
-  void deleteTemplate(String categoryName, String componentTypeName, String templateName);
+  void deleteVariant(String categoryName, String componentTypeName, String variantName);
 
-  void setTemplateDefault(String categoryName, String componentTypeName, String templateName);
+  void setDefaultVariant(String categoryName, String componentTypeName, String variantName);
   
-  String getDefaultTemplate(String categoryName, String componentTypeName);
+  String getDefaultVariant(String categoryName, String componentTypeName);
 
-  public class TemplateAlreadyExistsException extends Exception {
+  public class VariantAlreadyExistsException extends Exception {
 
     private static final long serialVersionUID = 1L;
 
diff --git a/diylc/diylc-core/src/org/diylc/presenter/Presenter.java b/diylc/diylc-core/src/org/diylc/presenter/Presenter.java
index ccb2db66..e0eeb5b8 100644
--- a/diylc/diylc-core/src/org/diylc/presenter/Presenter.java
+++ b/diylc/diylc-core/src/org/diylc/presenter/Presenter.java
@@ -2091,8 +2091,8 @@ public class Presenter implements IPlugInPort {
 
     // try to find a default template if none is provided
     if (componentType != null && template == null) {
-      String defaultTemplate = getDefaultTemplate(componentType.getCategory(), componentType.getName());
-      List<Template> templates = getTemplatesFor(componentType.getCategory(), componentType.getName());
+      String defaultTemplate = getDefaultVariant(componentType.getCategory(), componentType.getName());
+      List<Template> templates = getVariantsFor(componentType.getCategory(), componentType.getName());
       if (templates != null && defaultTemplate != null)
         for (Template t : templates) {
           if (t.getName().equals(defaultTemplate)) {
@@ -2122,25 +2122,25 @@ public class Presenter implements IPlugInPort {
 
   @SuppressWarnings("unchecked")
   @Override
-  public void saveSelectedComponentAsTemplate(String templateName) {
-    LOG.info(String.format("saveSelectedComponentAsTemplate(%s)", templateName));
+  public void saveSelectedComponentAsVariant(String variantName) {
+    LOG.info(String.format("saveSelectedComponentAsVariant(%s)", variantName));
     if (selectedComponents.size() != 1) {
-      throw new RuntimeException("Can only save a single component as a template at once.");
+      throw new RuntimeException("Can only save a single component as a variant at once.");
     }
     IDIYComponent<?> component = selectedComponents.iterator().next();
     ComponentType type =
         ComponentProcessor.getInstance().extractComponentTypeFrom(
             (Class<? extends IDIYComponent<?>>) component.getClass());
-    Map<String, List<Template>> templateMap =
+    Map<String, List<Template>> variantMap =
         (Map<String, List<Template>>) ConfigurationManager.getInstance().readObject(TEMPLATES_KEY, null);
-    if (templateMap == null) {
-      templateMap = new HashMap<String, List<Template>>();
+    if (variantMap == null) {
+      variantMap = new HashMap<String, List<Template>>();
     }
     String key = type.getCategory() + "." + type.getName();
-    List<Template> templates = templateMap.get(key);
-    if (templates == null) {
-      templates = new ArrayList<Template>();
-      templateMap.put(key, templates);
+    List<Template> variants = variantMap.get(key);
+    if (variants == null) {
+      variants = new ArrayList<Template>();
+      variantMap.put(key, variants);
     }
     List<PropertyWrapper> properties = ComponentProcessor.getInstance().extractProperties(component.getClass());
     Map<String, Object> values = new HashMap<String, Object>();
@@ -2166,10 +2166,10 @@ public class Presenter implements IPlugInPort {
       point.translate(-x, -y);
     }
 
-    Template template = new Template(templateName, values, points);
+    Template template = new Template(variantName, values, points);
     boolean exists = false;
-    for (Template t : templates) {
-      if (t.getName().equalsIgnoreCase(templateName)) {
+    for (Template t : variants) {
+      if (t.getName().equalsIgnoreCase(variantName)) {
         exists = true;
         break;
       }
@@ -2177,29 +2177,29 @@ public class Presenter implements IPlugInPort {
 
     if (exists) {
       int result =
-          view.showConfirmDialog("Template with that name already exists. Overwrite?", "Save as Template",
+          view.showConfirmDialog("A variant with that name already exists. Overwrite?", "Save as Variant",
               IView.YES_NO_OPTION, IView.WARNING_MESSAGE);
       if (result != IView.YES_OPTION) {
         return;
       }
-      // Delete the existing template
-      Iterator<Template> i = templates.iterator();
+      // Delete the existing variant
+      Iterator<Template> i = variants.iterator();
       while (i.hasNext()) {
         Template t = i.next();
-        if (t.getName().equalsIgnoreCase(templateName)) {
+        if (t.getName().equalsIgnoreCase(variantName)) {
           i.remove();
         }
       }
     }
 
-    templates.add(template);
+    variants.add(template);
 
     if (System.getProperty("org.diylc.WriteStaticVariants", "false").equalsIgnoreCase("true"))
     {
       if (defaultVariantMap == null)
         defaultVariantMap = new HashMap<String, List<Template>>();
       // unify default and user-variants
-      for(Map.Entry<String, List<Template>> entry : templateMap.entrySet()) {
+      for(Map.Entry<String, List<Template>> entry : variantMap.entrySet()) {
         if (defaultVariantMap.containsKey(entry.getKey())) {
           defaultVariantMap.get(entry.getKey()).addAll(entry.getValue());
         } else {
@@ -2218,13 +2218,13 @@ public class Presenter implements IPlugInPort {
         LOG.error("Could not save default variants", e);
       }
     } else {
-      ConfigurationManager.getInstance().writeValue(TEMPLATES_KEY, templateMap);
+      ConfigurationManager.getInstance().writeValue(TEMPLATES_KEY, variantMap);
     }
   }
 
   @SuppressWarnings("unchecked")
   @Override
-  public List<Template> getTemplatesFor(String categoryName, String componentTypeName) {
+  public List<Template> getVariantsFor(String categoryName, String componentTypeName) {
     Map<String, List<Template>> variantMap =
         (Map<String, List<Template>>) ConfigurationManager.getInstance().readObject(TEMPLATES_KEY, null);
     List<Template> variants = new ArrayList<Template>();
@@ -2243,7 +2243,7 @@ public class Presenter implements IPlugInPort {
 
   @SuppressWarnings("unchecked")
   @Override
-  public List<Template> getTemplatesForSelection() {
+  public List<Template> getVariantsForSelection() {
     if (this.selectedComponents.isEmpty()) {
       throw new RuntimeException("No components selected");
     }
@@ -2256,13 +2256,13 @@ public class Presenter implements IPlugInPort {
       if (selectedType == null)
         selectedType = type;
       else if (selectedType.getInstanceClass() != type.getInstanceClass())
-        throw new RuntimeException("Template can be applied on multiple components of the same type only");
+        return null;
     }
-    return getTemplatesFor(selectedType.getCategory(), selectedType.getName());
+    return getVariantsFor(selectedType.getCategory(), selectedType.getName());
   }
 
   @Override
-  public void applyTemplateToSelection(Template template) {
+  public void applyVariantToSelection(Template template) {
     LOG.debug(String.format("applyTemplateToSelection(%s)", template.getName()));
 
     Project oldProject = currentProject.clone();
@@ -2289,7 +2289,7 @@ public class Presenter implements IPlugInPort {
 
   @SuppressWarnings("unchecked")
   @Override
-  public void deleteTemplate(String categoryName, String componentTypeName, String templateName) {
+  public void deleteVariant(String categoryName, String componentTypeName, String templateName) {
     LOG.debug(String.format("deleteTemplate(%s, %s, %s)", categoryName, componentTypeName, templateName));
     Map<String, List<Template>> templateMap =
         (Map<String, List<Template>>) ConfigurationManager.getInstance().readObject(TEMPLATES_KEY, null);
@@ -2310,7 +2310,7 @@ public class Presenter implements IPlugInPort {
 
   @SuppressWarnings("unchecked")
   @Override
-  public void setTemplateDefault(String categoryName, String componentTypeName, String templateName) {
+  public void setDefaultVariant(String categoryName, String componentTypeName, String templateName) {
     LOG.debug(String.format("setTemplateDefault(%s, %s, %s)", categoryName, componentTypeName, templateName));
     Map<String, String> defaultTemplateMap =
         (Map<String, String>) ConfigurationManager.getInstance().readObject(DEFAULT_TEMPLATES_KEY, null);
@@ -2325,7 +2325,7 @@ public class Presenter implements IPlugInPort {
   
   @SuppressWarnings("unchecked")
   @Override
-  public String getDefaultTemplate(String categoryName, String componentTypeName) {
+  public String getDefaultVariant(String categoryName, String componentTypeName) {
     Map<String, String> defaultTemplateMap =
         (Map<String, String>) ConfigurationManager.getInstance().readObject(DEFAULT_TEMPLATES_KEY, null);
     if (defaultTemplateMap == null)
diff --git a/diylc/diylc-swing/src/org/diylc/swing/ActionFactory.java b/diylc/diylc-swing/src/org/diylc/swing/ActionFactory.java
index c30cd548..700ac8b4 100644
--- a/diylc/diylc-swing/src/org/diylc/swing/ActionFactory.java
+++ b/diylc/diylc-swing/src/org/diylc/swing/ActionFactory.java
@@ -1011,7 +1011,7 @@ public class ActionFactory {
       String templateName =
           JOptionPane.showInputDialog(null, "Variant name:", "Save as Variant", JOptionPane.PLAIN_MESSAGE);
       if (templateName != null && !templateName.trim().isEmpty()) {
-        plugInPort.saveSelectedComponentAsTemplate(templateName);
+        plugInPort.saveSelectedComponentAsVariant(templateName);
       }
     }
   }
diff --git a/diylc/diylc-swing/src/org/diylc/swing/plugins/canvas/CanvasPlugin.java b/diylc/diylc-swing/src/org/diylc/swing/plugins/canvas/CanvasPlugin.java
index 2c2b9ed9..984d4763 100644
--- a/diylc/diylc-swing/src/org/diylc/swing/plugins/canvas/CanvasPlugin.java
+++ b/diylc/diylc-swing/src/org/diylc/swing/plugins/canvas/CanvasPlugin.java
@@ -413,14 +413,16 @@ public class CanvasPlugin implements IPlugIn, ClipboardOwner {
     List<Template> templates = null;
 
     try {
-      templates = plugInPort.getTemplatesForSelection();
+      templates = plugInPort.getVariantsForSelection();
     } catch (Exception e) {
       LOG.info("Could not load variants for selection");
       getApplyTemplateMenu().setEnabled(false);
     }
 
-    if (templates == null)
+    if (templates == null) {
+      getApplyTemplateMenu().setEnabled(false);
       return;
+    }
 
     getApplyTemplateMenu().setEnabled(templates.size() > 0);
 
@@ -431,7 +433,7 @@ public class CanvasPlugin implements IPlugIn, ClipboardOwner {
 
         @Override
         public void actionPerformed(ActionEvent e) {
-          plugInPort.applyTemplateToSelection(finalTemplate);
+          plugInPort.applyVariantToSelection(finalTemplate);
         }
       });
       getApplyTemplateMenu().add(item);
diff --git a/diylc/diylc-swing/src/org/diylc/swing/plugins/toolbox/ComponentButtonFactory.java b/diylc/diylc-swing/src/org/diylc/swing/plugins/toolbox/ComponentButtonFactory.java
index 9f0e410e..81b0c782 100644
--- a/diylc/diylc-swing/src/org/diylc/swing/plugins/toolbox/ComponentButtonFactory.java
+++ b/diylc/diylc-swing/src/org/diylc/swing/plugins/toolbox/ComponentButtonFactory.java
@@ -106,9 +106,9 @@ public class ComponentButtonFactory {
     return button;
   }
 
-  public static JMenuItem createTemplateItem(final IPlugInPort plugInPort, final Template template,
+  public static JMenuItem createVariantItem(final IPlugInPort plugInPort, final Template variant,
       final ComponentType componentType) {
-    final JMenuItem item = new JMenuItem(template.getName()) {
+    final JMenuItem item = new JMenuItem(variant.getName()) {
 
       private static final long serialVersionUID = 1L;
 
@@ -122,14 +122,14 @@ public class ComponentButtonFactory {
 
       @Override
       public void actionPerformed(ActionEvent e) {
-        plugInPort.setNewComponentTypeSlot(componentType, template);
+        plugInPort.setNewComponentTypeSlot(componentType, variant);
       }
     });
     
-    String defaultVariant = plugInPort.getDefaultTemplate(componentType.getCategory(), componentType.getName());
+    String defaultVariant = plugInPort.getDefaultVariant(componentType.getCategory(), componentType.getName());
 
-    JLabel label = new JLabel(template.getName().equals(defaultVariant) ? IconLoader.PinGreen.getIcon() : IconLoader.PinGrey.getIcon());
-    label.setToolTipText(template.getName().equals(defaultVariant) ? "Remove default variant" : "Set default variant");
+    JLabel label = new JLabel(variant.getName().equals(defaultVariant) ? IconLoader.PinGreen.getIcon() : IconLoader.PinGrey.getIcon());
+    label.setToolTipText(variant.getName().equals(defaultVariant) ? "Remove default variant" : "Set default variant");
     label.addMouseListener(new MouseAdapter() {
 
       @Override
@@ -140,7 +140,7 @@ public class ComponentButtonFactory {
           JPopupMenu m = (JPopupMenu) c;
           m.setVisible(false);
         }
-        plugInPort.setTemplateDefault(componentType.getCategory(), componentType.getName(), template.getName());
+        plugInPort.setDefaultVariant(componentType.getCategory(), componentType.getName(), variant.getName());
         e.consume();
       }
     });
@@ -163,11 +163,11 @@ public class ComponentButtonFactory {
         }
         int result =
             JOptionPane.showConfirmDialog(SwingUtilities.getRoot(item), "Are you sure you want to delete variant \""
-                + template.getName() + "\"", "Delete", JOptionPane.YES_NO_OPTION, JOptionPane.WARNING_MESSAGE);
+                + variant.getName() + "\"", "Delete", JOptionPane.YES_NO_OPTION, JOptionPane.WARNING_MESSAGE);
         if (result != JOptionPane.YES_OPTION) {
           return;
         }
-        plugInPort.deleteTemplate(componentType.getCategory(), componentType.getName(), template.getName());
+        plugInPort.deleteVariant(componentType.getCategory(), componentType.getName(), variant.getName());
         e.consume();
       }
     });
diff --git a/diylc/diylc-swing/src/org/diylc/swing/plugins/toolbox/ComponentTabbedPane.java b/diylc/diylc-swing/src/org/diylc/swing/plugins/toolbox/ComponentTabbedPane.java
index 4567c938..689300ae 100644
--- a/diylc/diylc-swing/src/org/diylc/swing/plugins/toolbox/ComponentTabbedPane.java
+++ b/diylc/diylc-swing/src/org/diylc/swing/plugins/toolbox/ComponentTabbedPane.java
@@ -160,7 +160,7 @@ class ComponentTabbedPane extends JTabbedPane {
     toolbar.setLayout(new BoxLayout(toolbar, BoxLayout.X_AXIS));
     for (ComponentType componentType : componentTypes) {
       try {
-        Component button = ComponentButtonFactory.create(plugInPort, componentType, createTemplatePopup(componentType));
+        Component button = ComponentButtonFactory.create(plugInPort, componentType, createVariantPopup(componentType));
         toolbar.add(button);
       } catch (Exception e) {
         LOG.error("Could not create recent component button for " + componentType.getName(), e);
@@ -204,7 +204,7 @@ class ComponentTabbedPane extends JTabbedPane {
         componentType =
             ComponentProcessor.getInstance().extractComponentTypeFrom(
                 (Class<? extends IDIYComponent<?>>) Class.forName(componentClassName));
-        Component button = ComponentButtonFactory.create(plugInPort, componentType, createTemplatePopup(componentType));
+        Component button = ComponentButtonFactory.create(plugInPort, componentType, createVariantPopup(componentType));
         toolbar.add(button);
       } catch (Exception e) {
         LOG.error("Could not create recent component button for " + componentClassName, e);
@@ -212,23 +212,23 @@ class ComponentTabbedPane extends JTabbedPane {
     }
   }
 
-  private JPopupMenu createTemplatePopup(final ComponentType componentType) {
-    final JPopupMenu templatePopup = new JPopupMenu();
-    templatePopup.add("Loading...");
-    templatePopup.addPopupMenuListener(new PopupMenuListener() {
+  private JPopupMenu createVariantPopup(final ComponentType componentType) {
+    final JPopupMenu variantPopup = new JPopupMenu();
+    variantPopup.add("Loading...");
+    variantPopup.addPopupMenuListener(new PopupMenuListener() {
 
       @Override
       public void popupMenuWillBecomeVisible(PopupMenuEvent e) {
-        templatePopup.removeAll();
-        List<Template> templates = plugInPort.getTemplatesFor(componentType.getCategory(), componentType.getName());
-        if (templates == null || templates.isEmpty()) {
+        variantPopup.removeAll();
+        List<Template> variants = plugInPort.getVariantsFor(componentType.getCategory(), componentType.getName());
+        if (variants == null || variants.isEmpty()) {
           JMenuItem item = new JMenuItem("<no variants>");
           item.setEnabled(false);
-          templatePopup.add(item);
+          variantPopup.add(item);
         } else {
-          for (Template template : templates) {
-            JMenuItem item = ComponentButtonFactory.createTemplateItem(plugInPort, template, componentType);
-            templatePopup.add(item);
+          for (Template variant : variants) {
+            JMenuItem item = ComponentButtonFactory.createVariantItem(plugInPort, variant, componentType);
+            variantPopup.add(item);
           }
         }
       }
@@ -239,6 +239,6 @@ class ComponentTabbedPane extends JTabbedPane {
       @Override
       public void popupMenuCanceled(PopupMenuEvent e) {}
     });
-    return templatePopup;
+    return variantPopup;
   }
 }
diff --git a/diylc/diylc-swing/src/org/diylc/swing/plugins/tree/TreePanel.java b/diylc/diylc-swing/src/org/diylc/swing/plugins/tree/TreePanel.java
index b0d216d9..4dc5a40f 100644
--- a/diylc/diylc-swing/src/org/diylc/swing/plugins/tree/TreePanel.java
+++ b/diylc/diylc-swing/src/org/diylc/swing/plugins/tree/TreePanel.java
@@ -441,14 +441,14 @@ public class TreePanel extends JPanel {
             popup.add(shortcutSubmenu);
             popup.add(new JSeparator());
 
-            List<Template> templates = plugInPort.getTemplatesFor(componentType.getCategory(), componentType.getName());
+            List<Template> templates = plugInPort.getVariantsFor(componentType.getCategory(), componentType.getName());
             if (templates == null || templates.isEmpty()) {
               JMenuItem item = new JMenuItem("<no variants>");
               item.setEnabled(false);
               popup.add(item);
             } else {
               for (Template template : templates) {
-                JMenuItem item = ComponentButtonFactory.createTemplateItem(plugInPort, template, componentType);
+                JMenuItem item = ComponentButtonFactory.createVariantItem(plugInPort, template, componentType);
                 popup.add(item);
               }
             }
@@ -628,7 +628,7 @@ public class TreePanel extends JPanel {
         }
         
         if (payload.getComponentType() != null) {
-          List<Template> variants = plugInPort.getTemplatesFor(payload.getComponentType().getCategory(), payload.getComponentType().getName());
+          List<Template> variants = plugInPort.getVariantsFor(payload.getComponentType().getCategory(), payload.getComponentType().getName());
           if (variants != null && !variants.isEmpty()) {
             variantsHtml = " <a style=\"text-shadow: -1px 0 black, 0 1px black, 1px 0 black, 0 -1px black; background-color: #D7FFC6; color: #666666;\">[+"
                 + variants.size() + "]</a>";