diff --git a/ChangeLog b/ChangeLog
index ed138c46f4..40128198f7 100644
--- a/ChangeLog
+++ b/ChangeLog
@@ -1,3 +1,11 @@
+Mon Mar 24 11:16:58 CET 2008 Jim Meyering <meyering@redhat.com>
+
+	Fix bugs in tests/Makefile.am.
+	* tests/Makefile.am (TESTS_ENVIRONMENT): Correct invalid
+	settings of abs_top_builddir and abs_top_srcdir.
+	Also prepend src/ to PATH, so we test the just-built virsh,
+	not whatever happens to be in the original $PATH.
+
 Mon Mar 24 10:20:21 CET 2008 Daniel Veillard <veillard@redhat.com>
 
 	* src/xend_internal.c: applied patch from Saori Fukuta adding the
diff --git a/tests/Makefile.am b/tests/Makefile.am
index 644715e1ab..4810179a77 100644
--- a/tests/Makefile.am
+++ b/tests/Makefile.am
@@ -53,13 +53,15 @@ if ENABLE_XEN_TESTS
   TESTS += reconnect
 endif
 
+path_add = $$abs_top_builddir/src$(PATH_SEPARATOR)$$abs_top_builddir/qemud
+
 # NB, automake < 1.10 does not provide the real
 # abs_top_{src/build}dir variables, so don't rely
 # on them here. Fake them with 'pwd'
 TESTS_ENVIRONMENT =				\
-  abs_top_builddir=`pwd`/'$(top_builddir)'	\
-  abs_top_srcdir=`pwd`/'$(top_srcdir)'		\
-  PATH="$$abs_top_builddir/qemud$(PATH_SEPARATOR)$$PATH" \
+  abs_top_builddir=`cd '$(top_builddir)'; pwd`	\
+  abs_top_srcdir=`cd '$(top_srcdir)'; pwd`	\
+  PATH="$(path_add)$(PATH_SEPARATOR)$$PATH"	\
   $(VG)
 
 valgrind: