diff --git a/lib/VERSION b/VERSION
similarity index 100%
rename from lib/VERSION
rename to VERSION
diff --git a/lib/mail/version.rb b/lib/mail/version.rb
index 2b70bd115..d44ba9db7 100644
--- a/lib/mail/version.rb
+++ b/lib/mail/version.rb
@@ -3,7 +3,7 @@ module Mail
   module VERSION
     
     version = {}
-    File.read(File.join(File.dirname(__FILE__), '../', 'VERSION')).each_line do |line|
+    File.read(File.join(File.dirname(__FILE__), '../', '../', 'VERSION')).each_line do |line|
       type, value = line.chomp.split(":")
       next if type =~ /^\s+$/  || value =~ /^\s+$/
       version[type] = value
diff --git a/mail.gemspec b/mail.gemspec
index a0c656878..e1981efec 100644
--- a/mail.gemspec
+++ b/mail.gemspec
@@ -26,5 +26,5 @@ Gem::Specification.new do |s|
   s.add_development_dependency('rdoc')
 
   s.require_path = 'lib'
-  s.files = %w(README.md MIT-LICENSE CONTRIBUTING.md CHANGELOG.rdoc Dependencies.txt Gemfile Rakefile TODO.rdoc) + Dir.glob("lib/**/*")
+  s.files = %w(README.md VERSION MIT-LICENSE CONTRIBUTING.md CHANGELOG.rdoc Dependencies.txt Gemfile Rakefile TODO.rdoc) + Dir.glob("lib/**/*")
 end