diff --git a/build.py b/build.py
index b1f011c8..c85bb731 100755
--- a/build.py
+++ b/build.py
@@ -1383,6 +1383,12 @@ def cmd_sdist(options, args):
         destdir = posixjoin(PDEST, 'wx')
         for name in glob.glob(posixjoin('wx', wc)):
             copyFile(name, destdir)
+
+    # Also add the waf executable
+    copyFile('bin/waf-%s' % wafCurrentVersion, os.path.join(PDEST, 'bin'))
+
+    # Add a setup.py for the root folder
+    copyFile('packaging/setup.py', ADEST)
             
     # build the tarball
     msg('Archiving Phoenix source...')
diff --git a/packaging/setup.py b/packaging/setup.py
new file mode 100644
index 00000000..019ebe2b
--- /dev/null
+++ b/packaging/setup.py
@@ -0,0 +1,33 @@
+#---------------------------------------------------------------------------
+# This setup file is placed in the root folder of the source dist tarball, 
+# and will be used to help do automated builds from tools like easy_install 
+# or pip.  These tools expect to find at least the setup.py in the root 
+# folder, so let's accomodate them...
+#---------------------------------------------------------------------------
+ 
+import sys, os, glob
+
+# Restructure the content of the tarball so things like pip or easy_install
+# know how to build stuff. To be compatible with those tools the main source
+# dir needs to be the root, so move all of Phoenix/* here.
+SRC = 'Phoenix'
+if os.path.exists(SRC) and os.path.isdir(SRC):
+    items = os.listdir(SRC)
+    for item in items:
+        os.rename(os.path.join(SRC, item), item)
+    os.rmdir(SRC)
+
+# Somewhere along the way (probably when pip untars the source tar file) any
+# executable permissions set on files in the tarball gets lost. Some of them
+# will break our build if they are not executable, so turn them back on.
+for wc in ['wxWidgets/configure',
+           'wxWidgets/src/stc/gen_iface.py',
+           'bin/waf-*', ]:
+    for item in glob.glob(wc):
+        os.chmod(item, 0755)
+
+
+# Now execute the real setup.py that was copied here in order to do whatever
+# command was trying to be done before.
+execfile('setup.py')
+
diff --git a/setup.py b/setup.py
index 263a3016..d4809665 100644
--- a/setup.py
+++ b/setup.py
@@ -254,6 +254,7 @@ if __name__ == '__main__':
           classifiers      = [c for c in CLASSIFIERS.split("\n") if c],
           keywords         = KEYWORDS,
           zip_safe         = False,
+          use_2to3         = False,
           include_package_data = True,
           
           packages         = WX_PKGLIST,