diff --git a/doc/build/changelog.rst b/doc/build/changelog.rst
index 23d362a9..bf954f21 100644
--- a/doc/build/changelog.rst
+++ b/doc/build/changelog.rst
@@ -11,11 +11,11 @@ Changelog
     :include_notes_from: unreleased
 
 .. changelog::
-    :version: 1.3.4
+    :version: 1.3.4 (yanked)
     :released: Mon May 13 2024
 
     .. change::
-        :tags: bug, parser
+        :tags: bug, lexer
         :tickets: 398
 
         Fixed regression caused by the fix for :ticket:`320` where new logic added
@@ -31,6 +31,9 @@ Changelog
         dictionary literals, would fail to be interpreted correctly even though the
         initial parsing is correct. Pull request courtesy Jose Galvez.
 
+        .. note:: this change was **reverted** and release 1.3.4 was yanked as
+           this fix caused regressions.
+
 .. changelog::
     :version: 1.3.3
     :released: Wed Apr 10 2024
diff --git a/doc/build/unreleased/400.rst b/doc/build/unreleased/400.rst
new file mode 100644
index 00000000..2c98fdf4
--- /dev/null
+++ b/doc/build/unreleased/400.rst
@@ -0,0 +1,7 @@
+.. change::
+    :tags: bug, lexer, regression
+    :tickets: 400, 401
+
+    Reverted the fix for :ticket:`400` as it caused new issues when traversing
+    some bracketed situations.
+
diff --git a/mako/parsetree.py b/mako/parsetree.py
index dae707c1..04686ece 100644
--- a/mako/parsetree.py
+++ b/mako/parsetree.py
@@ -322,10 +322,10 @@ def _parse_attributes(self, expressions, nonexpressions):
         for key in self.attributes:
             if key in expressions:
                 expr = []
-                for x in re.compile(r"(\${.+})", re.S).split(
+                for x in re.compile(r"(\${.+?})", re.S).split(
                     self.attributes[key]
                 ):
-                    m = re.compile(r"^\${(.+)}$", re.S).match(x)
+                    m = re.compile(r"^\${(.+?)}$", re.S).match(x)
                     if m:
                         code = ast.PythonCode(
                             m.group(1).rstrip(), **self.exception_kwargs
diff --git a/test/test_lexer.py b/test/test_lexer.py
index b1a796cd..d8029a17 100644
--- a/test/test_lexer.py
+++ b/test/test_lexer.py
@@ -810,7 +810,25 @@ def test_tricky_expression(self):
             ),
         )
 
-    def test_dict_expression(self):
+    def test_dict_expression_issue_400_regression(self):
+        """test for issue #401.
+
+        This was the regression case for #400
+
+        """
+        template = '<%include file="${foo}${bar}"/>'
+
+        nodes = Lexer(template).parse()
+        self._compare(
+            nodes,
+            TemplateNode(
+                {},
+                [IncludeTag("include", {"file": "${foo}${bar}"}, (1, 1), [])],
+            ),
+        )
+
+    def _dont_test_dict_expression_issue_400(self):
+        """test for issue #400"""
         template = """
         <%def name="dtest(d)">
             % for k,v in d.items():
@@ -868,7 +886,8 @@ def test_dict_expression(self):
             ),
         )
 
-    def test_dict_expression_2(self):
+    def _dont_test_dict_expression_2_issue_400(self):
+        """test for issue #400"""
         template = """
         <%def name="thing(thing)">
             ${type(thing)}