diff --git a/progress-sample/.gitignore b/progress-sample/.gitignore
new file mode 100644
index 00000000..8e5962ee
--- /dev/null
+++ b/progress-sample/.gitignore
@@ -0,0 +1,2 @@
+out
+node_modules
\ No newline at end of file
diff --git a/progress-sample/.vscode/launch.json b/progress-sample/.vscode/launch.json
new file mode 100644
index 00000000..c776d21e
--- /dev/null
+++ b/progress-sample/.vscode/launch.json
@@ -0,0 +1,28 @@
+// A launch configuration that compiles the extension and then opens it inside a new window
+{
+	"version": "0.1.0",
+	"configurations": [
+		{
+			"name": "Launch Extension",
+			"type": "extensionHost",
+			"request": "launch",
+			"runtimeExecutable": "${execPath}",
+			"args": ["--extensionDevelopmentPath=${workspaceRoot}" ],
+			"stopOnEntry": false,
+			"sourceMaps": true,
+			"outFiles": ["${workspaceRoot}/out/src/**/*.js"],
+			"preLaunchTask": "npm"
+		},
+		{
+			"name": "Launch Tests",
+			"type": "extensionHost",
+			"request": "launch",
+			"runtimeExecutable": "${execPath}",
+			"args": ["--extensionDevelopmentPath=${workspaceRoot}", "--extensionTestsPath=${workspaceRoot}/out/test" ],
+			"stopOnEntry": false,
+			"sourceMaps": true,
+			"outFiles": ["${workspaceRoot}/out/test/**/*.js"],
+			"preLaunchTask": "npm"
+		}
+	]
+}
diff --git a/progress-sample/.vscode/settings.json b/progress-sample/.vscode/settings.json
new file mode 100644
index 00000000..3f5aa9cf
--- /dev/null
+++ b/progress-sample/.vscode/settings.json
@@ -0,0 +1,10 @@
+// Place your settings in this file to overwrite default and user settings.
+{
+	"files.exclude": {
+		"out": false // set this to true to hide the "out" folder with the compiled JS files
+	},
+	"search.exclude": {
+		"out": true // set this to false to include "out" folder in search results
+	},
+	"typescript.tsdk": "./node_modules/typescript/lib" // we want to use the TS server from our node_modules folder to control its version
+}
\ No newline at end of file
diff --git a/progress-sample/.vscode/tasks.json b/progress-sample/.vscode/tasks.json
new file mode 100644
index 00000000..1992757d
--- /dev/null
+++ b/progress-sample/.vscode/tasks.json
@@ -0,0 +1,30 @@
+// Available variables which can be used inside of strings.
+// ${workspaceRoot}: the root folder of the team
+// ${file}: the current opened file
+// ${fileBasename}: the current opened file's basename
+// ${fileDirname}: the current opened file's dirname
+// ${fileExtname}: the current opened file's extension
+// ${cwd}: the current working directory of the spawned process
+
+// A task runner that calls a custom npm script that compiles the extension.
+{
+	"version": "0.1.0",
+
+	// we want to run npm
+	"command": "npm",
+
+	// the command is a shell script
+	"isShellCommand": true,
+
+	// show the output window only if unrecognized errors occur.
+	"showOutput": "silent",
+
+	// we run the custom script "compile" as defined in package.json
+	"args": ["run", "compile", "--loglevel", "silent"],
+
+	// The tsc compiler is started in watching mode
+	"isWatching": true,
+
+	// use the standard tsc in watch mode problem matcher to find compile problems in the output.
+	"problemMatcher": "$tsc-watch"
+}
\ No newline at end of file
diff --git a/progress-sample/.vscodeignore b/progress-sample/.vscodeignore
new file mode 100644
index 00000000..795e7143
--- /dev/null
+++ b/progress-sample/.vscodeignore
@@ -0,0 +1,9 @@
+.vscode/**
+typings/**
+out/test/**
+test/**
+src/**
+**/*.map
+.gitignore
+tsconfig.json
+vsc-extension-quickstart.md
diff --git a/progress-sample/README.md b/progress-sample/README.md
new file mode 100644
index 00000000..dd78d223
--- /dev/null
+++ b/progress-sample/README.md
@@ -0,0 +1,21 @@
+# Progress Sample
+
+This is a sample extension that shows a running progress in the notification area with support for cancellation.
+
+It is not intended as a product quality extension.
+
+- Open the command palette
+- Run "Show Progress"
+- Observe the running task in the notification area
+
+![Show progress in notification area](https://raw.githubusercontent.com/Microsoft/vscode-extension-samples/master/progress-sample/preview.gif)
+
+# How it works, what it shows?
+
+- The extension uses the [`withProgress`](https://code.visualstudio.com/docs/extensionAPI/vscode-api#ProgressOptions) API to show the task in the notification area.
+- Registers a command via `package.json` that will trigger the task
+
+# How to run locally
+
+* `npm run compile` to start the compiler in watch mode
+* open this folder in VS Code and press `F5`
\ No newline at end of file
diff --git a/progress-sample/package.json b/progress-sample/package.json
new file mode 100644
index 00000000..94992573
--- /dev/null
+++ b/progress-sample/package.json
@@ -0,0 +1,44 @@
+{
+	"name": "progress-ts",
+	"displayName": "Notification Progress",
+	"description": "Show a long running operation in the notification area",
+	"version": "0.0.1",
+	"publisher": "bpasero",
+	"repository": {
+		"type": "git",
+		"url": "https://github.com/Microsoft/vscode-extension-samples"
+	},
+	"bugs": {
+		"url": "https://github.com/Microsoft/vscode-extension-samples/issues"
+	},
+	"engines": {
+		"vscode": "^1.22.0"
+	},
+	"categories": [
+		"Other"
+	],
+	"activationEvents": [
+		"*"
+	],
+	"contributes": {
+		"commands": [
+			{
+				"command": "extension.startTask",
+				"title": "Show Progress"
+			}
+		]
+	},
+	"main": "./out/extension",
+	"scripts": {
+		"vscode:prepublish": "tsc -p ./",
+		"compile": "tsc -watch -p ./",
+		"postinstall": "node ./node_modules/vscode/bin/install",
+		"test": "node ./node_modules/vscode/bin/test"
+	},
+	"devDependencies": {
+		"typescript": "^2.1.4",
+		"vscode": "^1.0.0",
+		"mocha": "^2.3.3",
+		"@types/node": "^6.0.40"
+	}
+}
diff --git a/progress-sample/preview.gif b/progress-sample/preview.gif
new file mode 100644
index 00000000..9cb1e1c9
Binary files /dev/null and b/progress-sample/preview.gif differ
diff --git a/progress-sample/src/extension.ts b/progress-sample/src/extension.ts
new file mode 100644
index 00000000..69dd6df3
--- /dev/null
+++ b/progress-sample/src/extension.ts
@@ -0,0 +1,41 @@
+/*---------------------------------------------------------
+ * Copyright (C) Microsoft Corporation. All rights reserved.
+ *--------------------------------------------------------*/
+
+'use strict';
+
+import { ExtensionContext, StatusBarAlignment, window, StatusBarItem, Selection, workspace, TextEditor, commands, ProgressLocation } from 'vscode';
+
+export function activate(context: ExtensionContext) {
+	context.subscriptions.push(commands.registerCommand('extension.startTask', () => {
+		window.withProgress({
+			location: ProgressLocation.Notification,
+			title: "I am long running!",
+			cancellable: true
+		}, (progress, token) => {
+			token.onCancellationRequested(() => {
+				console.log("User canceled the long running operation")
+			});
+
+			setTimeout(() => {
+				progress.report({ percentage: 10, message: "I am long running! - still going..." });
+			}, 1000);
+
+			setTimeout(() => {
+				progress.report({ percentage: 50, message: "I am long running! - still going even more..." });
+			}, 2000);
+
+			setTimeout(() => {
+				progress.report({ percentage: 90, message: "I am long running! - almost there..." });
+			}, 3000);
+
+			var p = new Promise(resolve => {
+				setTimeout(() => {
+					resolve();
+				}, 5000);
+			});
+
+			return p;
+		});
+	}));
+}
\ No newline at end of file
diff --git a/progress-sample/tsconfig.json b/progress-sample/tsconfig.json
new file mode 100644
index 00000000..c79b0fa0
--- /dev/null
+++ b/progress-sample/tsconfig.json
@@ -0,0 +1,15 @@
+{
+	"compilerOptions": {
+		"module": "commonjs",
+		"target": "es5",
+		"outDir": "out",
+		"lib": [
+			"es6"
+		],
+		"sourceMap": true,
+		"rootDir": "src"
+	},
+	"exclude": [
+		"node_modules"
+	]
+}