function observableDelayTimeSpan(source, dueTime, scheduler) {
    return new AnonymousObservable(function (observer) {
      var active = false,
        cancelable = new SerialDisposable(),
        exception = null,
        q = [],
        running = false,
        subscription;
      subscription = source.materialize().timestamp(scheduler).subscribe(function (notification) {
        var d, shouldRun;
        if (notification.value.kind === 'E') {
          q = [];
          q.push(notification);
          exception = notification.value.exception;
          shouldRun = !running;
        } else {
          q.push({ value: notification.value, timestamp: notification.timestamp + dueTime });
          shouldRun = !active;
          active = true;
        }
        if (shouldRun) {
          if (exception !== null) {
            observer.onError(exception);
          } else {
            d = new SingleAssignmentDisposable();
            cancelable.setDisposable(d);
            d.setDisposable(scheduler.scheduleRecursiveWithRelative(dueTime, function (self) {
              var e, recurseDueTime, result, shouldRecurse;
              if (exception !== null) {
                return;
              }
              running = true;
              do {
                result = null;
                if (q.length > 0 && q[0].timestamp - scheduler.now() <= 0) {
                  result = q.shift().value;
                }
                if (result !== null) {
                  result.accept(observer);
                }
              } while (result !== null);
              shouldRecurse = false;
              recurseDueTime = 0;
              if (q.length > 0) {
                shouldRecurse = true;
                recurseDueTime = Math.max(0, q[0].timestamp - scheduler.now());
              } else {
                active = false;
              }
              e = exception;
              running = false;
              if (e !== null) {
                observer.onError(e);
              } else if (shouldRecurse) {
                self(recurseDueTime);
              }
            }));
          }
        }
      });
      return new CompositeDisposable(subscription, cancelable);
    }, source);
  }

  function observableDelayDate(source, dueTime, scheduler) {
    return observableDefer(function () {
      return observableDelayTimeSpan(source, dueTime - scheduler.now(), scheduler);
    });
  }

  /**
   *  Time shifts the observable sequence by dueTime. The relative time intervals between the values are preserved.
   *
   * @example
   *  1 - res = Rx.Observable.delay(new Date());
   *  2 - res = Rx.Observable.delay(new Date(), Rx.Scheduler.timeout);
   *
   *  3 - res = Rx.Observable.delay(5000);
   *  4 - res = Rx.Observable.delay(5000, 1000, Rx.Scheduler.timeout);
   * @memberOf Observable#
   * @param {Number} dueTime Absolute (specified as a Date object) or relative time (specified as an integer denoting milliseconds) by which to shift the observable sequence.
   * @param {Scheduler} [scheduler] Scheduler to run the delay timers on. If not specified, the timeout scheduler is used.
   * @returns {Observable} Time-shifted sequence.
   */
  observableProto.delay = function (dueTime, scheduler) {
    isScheduler(scheduler) || (scheduler = timeoutScheduler);
    return dueTime instanceof Date ?
      observableDelayDate(this, dueTime.getTime(), scheduler) :
      observableDelayTimeSpan(this, dueTime, scheduler);
  };