diff --git a/README.md b/README.md
index 8670a27..d0d5cc1 100644
--- a/README.md
+++ b/README.md
@@ -13,7 +13,7 @@ It has been written to complement grblHAL and has features such as proper keyboa
 
 ---
 
-Latest build date is 20230302, see the [changelog](changelog.md) for details.  
+Latest build date is 20230311, see the [changelog](changelog.md) for details.  
 __NOTE:__ A settings reset will be performed on an update of builds earlier than 20230125. Backup and restore of settings is recommended.  
 __IMPORTANT!__  A new setting has been introduced for ganged axes motors in build 20211121.  
 I have only bench tested this for a couple of drivers, correct function should be verified after updating by those who have more than three motors configured.  
diff --git a/changelog.md b/changelog.md
index ced103b..12ad356 100644
--- a/changelog.md
+++ b/changelog.md
@@ -1,6 +1,17 @@
 ## grblHAL changelog
 
-<a name="2023032"/>20230302
+<a name="20230311"/>20230311
+
+Core:
+
+* Fix for isisue #264, stepper motors not disabled when entering sleep mode.  
+__NOTE:__ all stepper motors will now be disabled even if the $37 setting is set to keep some enabled.
+
+* Fix for recent regression that disabled G7/G8 handling in lathe mode.
+
+---
+
+<a name="20230302"/>20230302
 
 Core:
 
@@ -16,7 +27,7 @@ Drivers:
 
 Plugins:
 
-* Keypad: Type fix for homed status field.
+* Keypad: I2C display protocol plugin, type fix for homed status field.
 
 ---
 
diff --git a/config.h b/config.h
index 3abdbbd..7730773 100644
--- a/config.h
+++ b/config.h
@@ -24,7 +24,7 @@
 For the most part, users will not need to directly modify these, but they are here for
 specific needs, i.e. performance tuning or adjusting to non-typical machines.
 <br>__IMPORTANT:__ Symbol/macro names starting with `DEFAULT_` contains default values for run-time
-                   configuarble settings that can be changed with `$=<setting id>` commands.
+                   configurable settings that can be changed with `$=<setting id>` commands.
                    Any changes to these requires a full re-compiling of the source code to propagate them.
                    A reset of non-volatile storage with `$RST=*` after reflashing is also required.
 */
diff --git a/gcode.c b/gcode.c
index 28afd30..c583fef 100644
--- a/gcode.c
+++ b/gcode.c
@@ -1695,7 +1695,7 @@ status_code_t gc_execute_block (char *block)
             gc_block.values.xyz[idx] *= MM_PER_INCH;
     } while(idx);
 
-    if (command_words.G1 && gc_state.modal.diameter_mode != gc_block.modal.diameter_mode) {
+    if (command_words.G15 && gc_state.modal.diameter_mode != gc_block.modal.diameter_mode) {
         gc_state.modal.diameter_mode = gc_block.modal.diameter_mode;
         system_add_rt_report(Report_LatheXMode);
     }
diff --git a/grbl.h b/grbl.h
index bb69ec3..599bee5 100644
--- a/grbl.h
+++ b/grbl.h
@@ -42,7 +42,7 @@
 #else
 #define GRBL_VERSION "1.1f"
 #endif
-#define GRBL_BUILD 20230302
+#define GRBL_BUILD 20230311
 
 #define GRBL_URL "https://github.com/grblHAL"
 
diff --git a/sleep.c b/sleep.c
index 98f0d9c..aa7ddd7 100644
--- a/sleep.c
+++ b/sleep.c
@@ -52,7 +52,6 @@ static void sleep_execute()
     // If reached, sleep counter has expired. Execute sleep procedures.
     // Notify user that Grbl has timed out and will be parking.
     // To exit sleep, resume or reset. Either way, the job will not be recoverable.
-    grbl.report.feedback_message(Message_SleepMode);
     system_set_exec_state_flag(EXEC_SLEEP);
 }
 
diff --git a/state_machine.c b/state_machine.c
index cc7c1b1..b85ae00 100644
--- a/state_machine.c
+++ b/state_machine.c
@@ -111,7 +111,16 @@ static void state_restore_conditions (restore_condition_t *condition)
     }
 }
 
-bool initiate_hold (uint_fast16_t new_state)
+static void enter_sleep (void)
+{
+    st_go_idle();
+    spindle_all_off();
+    hal.coolant.set_state((coolant_state_t){0});
+    grbl.report.feedback_message(Message_SleepMode);
+    stateHandler = state_noop;
+}
+
+static bool initiate_hold (uint_fast16_t new_state)
 {
     spindle_ptrs_t *spindle;
     spindle_num_t spindle_num = N_SYS_SPINDLE;
@@ -304,6 +313,8 @@ void state_set (sys_state_t new_state)
                     }
                 } else
                     sys_state = new_state;
+                if(sys_state == STATE_SLEEP && stateHandler != state_await_waypoint_retract)
+                    enter_sleep();
                 break;
 
             case STATE_ALARM:
@@ -532,13 +543,13 @@ static void state_await_hold (uint_fast16_t rt_exec)
                         // Parking motion not possible. Just disable the spindle and coolant.
                         // NOTE: Laser mode does not start a parking motion to ensure the laser stops immediately.
                         spindle_all_off(); // De-energize
-                        if (!settings.safety_door.flags.keep_coolant_on)
-                            hal.coolant.set_state((coolant_state_t){0});     // De-energize
+                        if (!settings.safety_door.flags.keep_coolant_on || sys_state == STATE_SLEEP)
+                            hal.coolant.set_state((coolant_state_t){0}); // De-energize
                         sys.parking_state = hal.control.get_state().safety_door_ajar ? Parking_DoorAjar : Parking_DoorClosed;
                     }
                 } else {
                     spindle_all_off(); // De-energize
-                    if (!settings.safety_door.flags.keep_coolant_on)
+                    if (!settings.safety_door.flags.keep_coolant_on || sys_state == STATE_SLEEP)
                         hal.coolant.set_state((coolant_state_t){0}); // De-energize
                     sys.parking_state = hal.control.get_state().safety_door_ajar ? Parking_DoorAjar : Parking_DoorClosed;
                 }
@@ -565,6 +576,10 @@ static void state_await_resume (uint_fast16_t rt_exec)
             st_parking_restore_buffer(); // Restore step segment buffer to normal run state.
         }
         sys.parking_state = hal.control.get_state().safety_door_ajar ? Parking_DoorAjar : Parking_DoorClosed;
+        if(sys_state == STATE_SLEEP) {
+            enter_sleep();
+            return;
+        }
     }
 
     if (rt_exec & EXEC_SLEEP)
diff --git a/stepper.c b/stepper.c
index 953d6cb..a3eff5b 100644
--- a/stepper.c
+++ b/stepper.c
@@ -202,7 +202,6 @@ void st_deenergize (void)
     }
 }
 
-
 // Stepper state initialization. Cycle should only start if the st.cycle_start flag is
 // enabled. Startup init and limits call this function but shouldn't start the cycle.
 void st_wake_up (void)
@@ -230,10 +229,14 @@ ISR_CODE void ISR_FUNC(st_go_idle)(void)
 
     // Set stepper driver idle state, disabled or enabled, depending on settings and circumstances.
     if (((settings.steppers.idle_lock_time != 255) || sys.rt_exec_alarm || state == STATE_SLEEP) && state != STATE_HOMING) {
-        // Force stepper dwell to lock axes for a defined amount of time to ensure the axes come to a complete
-        // stop and not drift from residual inertial forces at the end of the last movement.
-        sys.steppers_deenergize = true;
-        hal.delay_ms(settings.steppers.idle_lock_time, st_deenergize);
+        if(state == STATE_SLEEP)
+            hal.stepper.enable((axes_signals_t){0});
+        else {
+            // Force stepper dwell to lock axes for a defined amount of time to ensure the axes come to a complete
+            // stop and not drift from residual inertial forces at the end of the last movement.
+            sys.steppers_deenergize = true;
+            hal.delay_ms(settings.steppers.idle_lock_time, st_deenergize);
+        }
     } else
         hal.stepper.enable(settings.steppers.idle_lock_time == 255 ? (axes_signals_t){AXES_BITMASK} : settings.steppers.deenergize);
 }