diff --git a/conf/machine/include/omap3.inc b/conf/machine/include/omap3.inc
index 212ebe75..c80939a7 100644
--- a/conf/machine/include/omap3.inc
+++ b/conf/machine/include/omap3.inc
@@ -16,7 +16,7 @@ XSERVER = "xserver-xorg \
 GUI_MACHINE_CLASS = "bigscreen"
 
 # Increase this everytime you change something in the kernel
-MACHINE_KERNEL_PR = "r124"
+MACHINE_KERNEL_PR = "r125"
 
 KERNEL_IMAGETYPE = "uImage"
 
diff --git a/recipes-kernel/linux/linux-omap-psp_2.6.37.bb b/recipes-kernel/linux/linux-omap-psp_2.6.37.bb
index 5d72af58..d1a64786 100644
--- a/recipes-kernel/linux/linux-omap-psp_2.6.37.bb
+++ b/recipes-kernel/linux/linux-omap-psp_2.6.37.bb
@@ -5,7 +5,8 @@ DESCRIPTION = "Linux kernel for OMAP3 EVM from PSP, based on linux-omap3 kernel"
 
 COMPATIBLE_MACHINE = "omap3"
 
-SRCREV= "20c003f2f024d9f50f59edf9f1b8f5f035fb15b8"
+# SRCREV corresponds to tag v2.6.37_OMAPPSP_04.02.00.07
+SRCREV= "adcd067326836777c049e3cb32a5b7d9d401fc31"
 
 # The main PR is now using MACHINE_KERNEL_PR, for omap3 devices
 # see conf/machine/include/omap3.inc