diff --git a/team/bundles/org.eclipse.compare/compare/org/eclipse/compare/internal/ComparePreferencePage.java b/team/bundles/org.eclipse.compare/compare/org/eclipse/compare/internal/ComparePreferencePage.java
index b4525dc9aca..a3b6f106f94 100644
--- a/team/bundles/org.eclipse.compare/compare/org/eclipse/compare/internal/ComparePreferencePage.java
+++ b/team/bundles/org.eclipse.compare/compare/org/eclipse/compare/internal/ComparePreferencePage.java
@@ -170,7 +170,7 @@ public static void initDefaults(IPreferenceStore store) {
 		store.setDefault(PREF_SAVE_ALL_EDITORS, false);
 		store.setDefault(ADDED_LINES_REGEX, ""); //$NON-NLS-1$
 		store.setDefault(REMOVED_LINES_REGEX, ""); //$NON-NLS-1$
-		store.setDefault(USE_SINGLE_LINE, true);
+		store.setDefault(USE_SINGLE_LINE, false);
 		store.setDefault(HIGHLIGHT_TOKEN_CHANGES, true);
 		store.setDefault(CAPPING_DISABLED, false);
 		store.setDefault(PATH_FILTER, ""); //$NON-NLS-1$