diff --git a/matlab/ep/extended_path.m b/matlab/ep/extended_path.m
index 0ad4c139bcca3e2550e1a3d03df8746b68b5f3a6..d0e4f2ba4956c213df7901239b37223a40071210 100644
--- a/matlab/ep/extended_path.m
+++ b/matlab/ep/extended_path.m
@@ -196,15 +196,11 @@ DynareResults.exo_simul = shocks;
 
 % Initializes some variables.
 t  = 1;
-tsimul = 1;
 for k = 1:replic_nbr
     results{k} = zeros(endo_nbr,sample_size+1);
     results{k}(:,1) = initial_conditions;
 end
 
-exo_simul_ = zeros(maximum_lag+sample_size+maximum_lead,exo_nbr);
-exo_simul_(1:size(DynareResults.exo_simul,1),1:size(DynareResults.exo_simul,2)) = DynareResults.exo_simul;
-
 % Main loop.
 while (t <= sample_size)
     if ~mod(t,10)
@@ -216,26 +212,24 @@ while (t <= sample_size)
     if replic_nbr > 1 && ep.parallel_1
         parfor k = 1:replic_nbr
             exo_simul = repmat(DynareResults.exo_steady_state',periods+2,1);
-            exo_simul(2,:) = exo_simul_(DynareModel.maximum_lag+t,:) + shocks((t-2)*replic_nbr+k,:);
-            initial_conditions = results{k}(:,t-1);
-            [results{k}(:,t), info_convergence] = extended_path_core(ep.periods,endo_nbr,exo_nbr,positive_var_indx, ...
-                                                              exo_simul,ep.init,initial_conditions,...
-                                                              maximum_lag,maximum_lead,steady_state, ...
-                                                              ep.verbosity,bytecode_flag,ep.stochastic.order,...
-                                                              DynareModel.params,pfm,ep.stochastic.algo,ep.solve_algo,ep.stack_solve_algo,...
-                                                              DynareOptions.lmmcp,DynareOptions,DynareResults);
+            exo_simul(2,:) = shocks((t-2)*replic_nbr+k,:);
+            [results{k}(:,t), info_convergence] = extended_path_core(ep.periods, endo_nbr, exo_nbr, positive_var_indx, ...
+                                                              exo_simul, ep.init, results{k}(:,t-1),...
+                                                              maximum_lag, maximum_lead, steady_state, ...
+                                                              ep.verbosity, bytecode_flag, ep.stochastic.order, ...
+                                                              DynareModel.params, pfm,ep.stochastic.algo, ep.solve_algo, ep.stack_solve_algo, ...
+                                                              DynareOptions.lmmcp, DynareOptions, DynareResults);
         end
     else
         for k = 1:replic_nbr
             exo_simul = repmat(DynareResults.exo_steady_state',periods+maximum_lag+ maximum_lead,1);
-            exo_simul(maximum_lag+1,:) = exo_simul_(maximum_lag+t,:) + shocks((t-2)*replic_nbr+k,:);
-            initial_conditions = results{k}(:,t-1);
-            [results{k}(:,t), info_convergence] = extended_path_core(ep.periods,endo_nbr,exo_nbr,positive_var_indx, ...
-                                                              exo_simul,ep.init,initial_conditions,...
-                                                              maximum_lag,maximum_lead,steady_state, ...
-                                                              ep.verbosity,bytecode_flag,ep.stochastic.order,...
-                                                              DynareModel,pfm,ep.stochastic.algo,ep.solve_algo,ep.stack_solve_algo,...
-                                                              DynareOptions.lmmcp,DynareOptions,DynareResults);
+            exo_simul(maximum_lag+1,:) = shocks((t-2)*replic_nbr+k,:);
+            [results{k}(:,t), info_convergence] = extended_path_core(ep.periods, endo_nbr, exo_nbr, positive_var_indx, ...
+                                                              exo_simul, ep.init, results{k}(:,t-1),...
+                                                              maximum_lag, maximum_lead, steady_state, ...
+                                                              ep.verbosity, bytecode_flag, ep.stochastic.order,...
+                                                              DynareModel, pfm,ep.stochastic.algo, ep.solve_algo, ep.stack_solve_algo,...
+                                                              DynareOptions.lmmcp, DynareOptions, DynareResults);
         end
     end
     if verbosity