diff --git a/.gitignore b/.gitignore
index 0dadd21a45..ca7d07aa2b 100644
--- a/.gitignore
+++ b/.gitignore
@@ -179,6 +179,7 @@
 /tools/*.[18]
 /tools/libvirt-guests.init
 /tools/libvirt-guests.service
+/tools/libvirt-guests.sh
 /tools/virsh
 /tools/virsh-*-edit.c
 /tools/virt-*-validate
diff --git a/libvirt.spec.in b/libvirt.spec.in
index d6e1fbe1aa..d463c2773a 100644
--- a/libvirt.spec.in
+++ b/libvirt.spec.in
@@ -1409,8 +1409,6 @@ rm -rf $RPM_BUILD_ROOT%{_sysconfdir}/logrotate.d/libvirtd.uml
 mv $RPM_BUILD_ROOT%{_datadir}/doc/libvirt-%{version} \
    $RPM_BUILD_ROOT%{_datadir}/doc/libvirt-docs-%{version}
 
-sed -i -e "s|$RPM_BUILD_ROOT||g" $RPM_BUILD_ROOT%{_sysconfdir}/rc.d/init.d/libvirt-guests
-
 %if %{with_dtrace}
 %ifarch %{power64} s390x x86_64 ia64 alpha sparc64
 mv $RPM_BUILD_ROOT%{_datadir}/systemtap/tapset/libvirt_probes.stp \
@@ -1657,10 +1655,13 @@ fi
 
 %dir %attr(0700, root, root) %{_sysconfdir}/libvirt/nwfilter/
 
+%attr(0755, root, root) %{_libexecdir}/libvirt-guests.sh
 %if %{with_systemd}
 %{_unitdir}/libvirtd.service
+%{_unitdir}/libvirt-guests.service
 %else
 %{_sysconfdir}/rc.d/init.d/libvirtd
+%{_sysconfdir}/rc.d/init.d/libvirt-guests
 %endif
 %doc daemon/libvirtd.upstart
 %config(noreplace) %{_sysconfdir}/sysconfig/libvirtd
@@ -1925,7 +1926,6 @@ rm -f $RPM_BUILD_ROOT%{_sysconfdir}/sysctl.d/libvirtd
 
 %{_datadir}/libvirt/cpu_map.xml
 
-%{_sysconfdir}/rc.d/init.d/libvirt-guests
 %if %{with_systemd}
 %{_unitdir}/libvirt-guests.service
 %endif
diff --git a/po/POTFILES.in b/po/POTFILES.in
index 51a1f5c31b..a6807502da 100644
--- a/po/POTFILES.in
+++ b/po/POTFILES.in
@@ -197,7 +197,7 @@ src/xenapi/xenapi_utils.c
 src/xenxs/xen_sxpr.c
 src/xenxs/xen_xm.c
 tools/console.c
-tools/libvirt-guests.init.sh
+tools/libvirt-guests.sh.in
 tools/virsh.c
 tools/virsh-domain-monitor.c
 tools/virsh-domain.c
diff --git a/tools/Makefile.am b/tools/Makefile.am
index d646bab4b8..605bf3b1f2 100644
--- a/tools/Makefile.am
+++ b/tools/Makefile.am
@@ -41,6 +41,7 @@ DISTCLEANFILES =
 
 bin_SCRIPTS = virt-xml-validate virt-pki-validate
 bin_PROGRAMS = virsh virt-host-validate
+libexec_SCRIPTS = libvirt-guests.sh
 
 if HAVE_SANLOCK
 sbin_SCRIPTS = virt-sanlock-cleanup
@@ -187,7 +188,7 @@ uninstall-sysconfig:
 	rm -f $(DESTDIR)$(sysconfdir)/sysconfig/libvirt-guests
 	rmdir $(DESTDIR)$(sysconfdir)/sysconfig ||:
 
-EXTRA_DIST += libvirt-guests.init.sh
+EXTRA_DIST += libvirt-guests.sh.in libvirt-guests.init.in
 
 install-initscript: libvirt-guests.init
 	$(MKDIR_P) $(DESTDIR)$(sysconfdir)/rc.d/init.d
@@ -208,7 +209,7 @@ install-init:
 uninstall-init:
 endif # LIBVIRT_INIT_SCRIPT_RED_HAT
 
-libvirt-guests.init: libvirt-guests.init.sh $(top_builddir)/config.status
+libvirt-guests.sh: libvirt-guests.sh.in $(top_builddir)/config.status
 	$(AM_V_GEN)sed					\
 	    -e 's!\@PACKAGE\@!$(PACKAGE)!g'		\
 	    -e 's!\@bindir\@!$(bindir)!g'		\
@@ -219,20 +220,26 @@ libvirt-guests.init: libvirt-guests.init.sh $(top_builddir)/config.status
 	    < $< > $@-t &&				\
 	    chmod a+x $@-t &&				\
 	    mv $@-t $@
+BUILT_SOURCES += libvirt-guests.sh
 
+libvirt-guests.init: libvirt-guests.init.in libvirt-guests.sh
+	$(AM_V_GEN)sed \
+		-e 's!\@libexecdir\@!$(libexecdir)!g' \
+	< $< > $@-t && \
+	chmod a+x $@-t && \
+	mv $@-t $@
 
 
 EXTRA_DIST += libvirt-guests.service.in
-
 SYSTEMD_UNIT_DIR = /lib/systemd/system
 
 if LIBVIRT_INIT_SCRIPT_SYSTEMD
-install-systemd: libvirt-guests.service install-initscript install-sysconfig
+install-systemd: libvirt-guests.service install-sysconfig libvirt-guests.sh
 	$(MKDIR_P) $(DESTDIR)$(SYSTEMD_UNIT_DIR)
 	$(INSTALL_DATA) libvirt-guests.service \
 	  $(DESTDIR)$(SYSTEMD_UNIT_DIR)/libvirt-guests.service
 
-uninstall-systemd: uninstall-initscript uninstall-sysconfig
+uninstall-systemd: uninstall-sysconfig
 	rm -f $(DESTDIR)$(SYSTEMD_UNIT_DIR)/libvirt-guests.service
 	rmdir $(DESTDIR)$(SYSTEMD_UNIT_DIR) ||:
 
@@ -251,6 +258,7 @@ libvirt-guests.service: libvirt-guests.service.in $(top_builddir)/config.status
 	    -e 's!\@localstatedir\@!$(localstatedir)!g'	\
 	    -e 's!\@sbindir\@!$(sbindir)!g'		\
 	    -e 's!\@sysconfdir\@!$(sysconfdir)!g'	\
+	    -e 's!\@libexecdir\@!$(libexecdir)!g'	\
 	    < $< > $@-t &&				\
 	    chmod a+x $@-t &&				\
 	    mv $@-t $@
diff --git a/tools/libvirt-guests.init.in b/tools/libvirt-guests.init.in
new file mode 100644
index 0000000000..5f9a60e81f
--- /dev/null
+++ b/tools/libvirt-guests.init.in
@@ -0,0 +1,27 @@
+#!/bin/sh
+
+# the following is the LSB init header
+#
+### BEGIN INIT INFO
+# Provides: libvirt-guests
+# Required-Start: libvirtd
+# Required-Stop: libvirtd
+# Default-Start: 2 3 4 5
+# Default-Stop: 0 1 6
+# Short-Description: suspend/resume libvirt guests on shutdown/boot
+# Description: This is a script for suspending active libvirt guests
+#              on shutdown and resuming them on next boot
+#              See http://libvirt.org
+### END INIT INFO
+
+# the following is chkconfig init header
+#
+# libvirt-guests:   suspend/resume libvirt guests on shutdown/boot
+#
+# chkconfig: 345 99 01
+# description:  This is a script for suspending active libvirt guests \
+#               on shutdown and resuming them on next boot \
+#               See http://libvirt.org
+#
+
+exec @libexecdir@/libvirt-guests.sh "$@"
diff --git a/tools/libvirt-guests.service.in b/tools/libvirt-guests.service.in
index 0f0c41c0bf..d41bf2b1de 100644
--- a/tools/libvirt-guests.service.in
+++ b/tools/libvirt-guests.service.in
@@ -6,8 +6,8 @@ After=syslog.target network.target
 EnvironmentFile=-/etc/sysconfig/libvirt-guests
 # Hack just call traditional service until we factor
 # out the code
-ExecStart=/etc/init.d/libvirt-guests start
-ExecStop=/etc/init.d/libvirt-guests stop
+ExecStart=@libexecdir@/libvirt-guests.sh start
+ExecStop=@libexecdir@/libvirt-guests.sh stop
 Type=oneshot
 RemainAfterExit=yes
 StandardOutput=journal+console
diff --git a/tools/libvirt-guests.init.sh b/tools/libvirt-guests.sh.in
similarity index 95%
rename from tools/libvirt-guests.init.sh
rename to tools/libvirt-guests.sh.in
index 99ef331247..1c9c46b30c 100644
--- a/tools/libvirt-guests.init.sh
+++ b/tools/libvirt-guests.sh.in
@@ -1,29 +1,5 @@
 #!/bin/sh
 
-# the following is the LSB init header
-#
-### BEGIN INIT INFO
-# Provides: libvirt-guests
-# Required-Start: libvirtd
-# Required-Stop: libvirtd
-# Default-Start: 2 3 4 5
-# Default-Stop: 0 1 6
-# Short-Description: suspend/resume libvirt guests on shutdown/boot
-# Description: This is a script for suspending active libvirt guests
-#              on shutdown and resuming them on next boot
-#              See http://libvirt.org
-### END INIT INFO
-
-# the following is chkconfig init header
-#
-# libvirt-guests:   suspend/resume libvirt guests on shutdown/boot
-#
-# chkconfig: 345 99 01
-# description:  This is a script for suspending active libvirt guests \
-#               on shutdown and resuming them on next boot \
-#               See http://libvirt.org
-#
-
 sysconfdir="@sysconfdir@"
 localstatedir="@localstatedir@"
 libvirtd="@sbindir@"/libvirtd