diff --git a/include/hack.h b/include/hack.h
index c9ae85eb8..d6600798f 100644
--- a/include/hack.h
+++ b/include/hack.h
@@ -64,7 +64,7 @@
 #define COST_DRAIN   1	/* drain life upon an object */
 #define COST_UNCHRG  2	/* cursed charging */
 #define COST_UNBLSS  3	/* unbless (devalues holy water) */
-#define COST_UNHOLY  4	/* uncurse (devalues unholy water) */
+#define COST_UNCURS  4	/* uncurse (devalues unholy water) */
 #define COST_DECHNT  5	/* disenchant weapons or armor */
 #define COST_DEGRD   6	/* removal of rustproofing, dulling via engraving */
 #define COST_DILUTE  7	/* potion dilution */
diff --git a/src/mkobj.c b/src/mkobj.c
index d84ff79da..ec635534b 100644
--- a/src/mkobj.c
+++ b/src/mkobj.c
@@ -369,6 +369,7 @@ int alter_type;
 {
     xchar ox, oy;
     char objroom;
+    boolean set_bknown;
     const char *those, *them, *what;
     struct monst *shkp = 0;
 
@@ -401,9 +402,15 @@ int alter_type;
     else
 	those = "those", them = "them";
 
+    /* when shopkeeper describes the object as being uncursed or unblessed
+       hero will know that it is now uncursed; will also make the feedback
+       from `I x' after bill_dummy_object() be more specific for this item */
+    set_bknown = (alter_type == COST_UNCURS || alter_type == COST_UNBLSS);
+
     switch (obj->where) {
     case OBJ_FREE:	/* obj_no_longer_held() */
     case OBJ_INVENT:
+	if (set_bknown) obj->bknown = 1;
 	what = simple_typename(obj->otyp);
 	if (obj->quan != 1L) what = makeplural(what);
 	verbalize("You %s %s %s, you pay for %s!",
@@ -411,6 +418,7 @@ int alter_type;
 	bill_dummy_object(obj);
 	break;
     case OBJ_FLOOR:
+	if (set_bknown) obj->bknown = 1;
 	if (costly_spot(u.ux, u.uy) && objroom == *u.ushops) {
 	    verbalize("You %s %s, you pay for %s!",
 		      alteration_verbs[alter_type], those, them);
diff --git a/src/potion.c b/src/potion.c
index 1c5310497..399105794 100644
--- a/src/potion.c
+++ b/src/potion.c
@@ -1693,7 +1693,7 @@ dodip()
 					  hcolor(NH_AMBER));
 				obj->bknown = 1;
 				if (obj->otyp == POT_WATER && obj->unpaid)
-				    costly_alteration(obj, COST_UNHOLY);
+				    costly_alteration(obj, COST_UNCURS);
 				uncurse(obj);
 	poof:
 				if(!(objects[potion->otyp].oc_name_known) &&
diff --git a/src/read.c b/src/read.c
index 4a572e1c3..c88d25aaa 100644
--- a/src/read.c
+++ b/src/read.c
@@ -964,39 +964,22 @@ struct obj *sobj;
 			if (sobj->blessed || wornmask ||
 			     obj->otyp == LOADSTONE ||
 			     (obj->otyp == LEASH && obj->leashmon)) {
-			    unsigned save_bknown, save_cursed, save_blessed;
-			    boolean was_cursed = !!obj->cursed,
-			            was_blessed = !!obj->blessed,
-			            was_normal = !(was_cursed || was_blessed);
-
-			    if(confused) blessorcurse(obj, 2);
-			    else uncurse(obj);
 			    /* water price varies by curse/bless status */
-			    if (obj->unpaid && obj->otyp == POT_WATER) {
-				if ((was_cursed && !obj->cursed) ||
-					(was_blessed && !obj->blessed)) {
-				    /* make `Ix' more specific for this item */
-				    save_bknown = obj->bknown;
-				    obj->bknown = 1;
-				    /* temporarily restore curse/bless to
-				       obtain the right shop price (if potion
-				       went from cursed directly to blessed
-				       or vice versa its price didn't change
-				       but hero will have to buy it anyway) */
-				    save_cursed = obj->cursed;
-				    obj->cursed = was_cursed ? 1 : 0;
-				    save_blessed = obj->blessed;
-				    obj->blessed = was_blessed ? 1 : 0;
-				    costly_alteration(obj, was_cursed ?
-				                    COST_UNHOLY : COST_UNBLSS);
-				    obj->bknown = save_bknown;
-				    obj->cursed = save_cursed;
-				    obj->blessed = save_blessed;
-				} else if (was_normal &&
-					(obj->blessed || obj->cursed)) {
-				    alter_cost(obj, 0L);
-				}
-			    } /* unpaid water */
+			    boolean shop_h2o = (obj->unpaid &&
+						obj->otyp == POT_WATER);
+
+			    if (confused) {
+				blessorcurse(obj, 2);
+				/* blessorcurse() only affects uncursed items
+				   so no need to worry about price of water
+				   going down (hence no costly_alteration) */
+				if (shop_h2o && (obj->cursed || obj->blessed))
+				    alter_cost(obj, 0L);  /* price goes up */
+			    } else if (obj->cursed) {
+				if (shop_h2o)
+				    costly_alteration(obj, COST_UNCURS);
+				uncurse(obj);
+			    }
 			}
 		    }
 		}
diff --git a/src/zap.c b/src/zap.c
index 61b9e49b6..93bd5f888 100644
--- a/src/zap.c
+++ b/src/zap.c
@@ -855,7 +855,7 @@ register struct obj *obj;
 		(obj->spe && (obj->oclass == ARMOR_CLASS ||
 			obj->oclass == WEAPON_CLASS || is_weptool(obj))) ||
 		otyp == POT_ACID || otyp == POT_SICKNESS ||
-		(otyp == WATER && (obj->blessed || obj->cursed))) {
+		(otyp == POT_WATER && (obj->blessed || obj->cursed))) {
 	    if (obj->spe != ((obj->oclass == WAND_CLASS) ? -1 : 0) &&
 		    otyp != WAN_CANCELLATION && /* can't cancel cancellation */
 		    otyp != MAGIC_LAMP && /* cancelling doesn't remove djini */
@@ -876,8 +876,8 @@ register struct obj *obj;
 		}
 		break;
 	      case POTION_CLASS:
-		costly_alteration(obj, (otyp == WATER && obj->cursed) ?
-					COST_UNHOLY : COST_CANCEL);
+		costly_alteration(obj, (otyp != POT_WATER) ? COST_CANCEL :
+				      obj->cursed ? COST_UNCURS : COST_UNBLSS);
 		if (otyp == POT_SICKNESS || otyp == POT_SEE_INVISIBLE) {
 		    /* sickness is "biologically contaminated" fruit juice;
 		       cancel it and it just becomes fruit juice...