diff --git a/ChangeLog b/ChangeLog
index f5d12c012..be8fc6ecf 100644
--- a/ChangeLog
+++ b/ChangeLog
@@ -27,6 +27,8 @@
 	* almost completely changed the storage interface (for custom storage)
 	* added support for hashing pieces in multiple threads
 
+1.0.1 release
+
 	* fix alignment issue in bitfield
 	* improved error handling of gzip
 	* fixed crash when web seeds redirect
diff --git a/set_version.py b/set_version.py
index 337e33048..e122d0286 100644
--- a/set_version.py
+++ b/set_version.py
@@ -26,7 +26,9 @@ def substitute_file(name):
 		elif 'VERSION = ' in l and name.endswith('Jamfile'):
 			l = 'VERSION = %d.%d.%d ;\n' % (version[0], version[1], version[2])
 		elif 'version=' in l and name.endswith('setup.py'):
-			l = "\tversion='%d.%d.%d'\n" % (version[0], version[1], version[2])
+			l = "\tversion = '%d.%d.%d',\n" % (version[0], version[1], version[2])
+		elif "version = '" in l and name.endswith('setup.py'):
+			l = "\tversion = '%d.%d.%d',\n" % (version[0], version[1], version[2])
 
 		subst += l
 
@@ -37,6 +39,7 @@ def substitute_file(name):
 substitute_file('include/libtorrent/version.hpp')
 substitute_file('CMakeLists.txt')
 substitute_file('configure.ac')
+substitute_file('bindings/python/setup.py')
 substitute_file('docs/gen_reference_doc.py')
 for i in glob.glob('docs/*.rst'):
 	substitute_file(i)
diff --git a/setup.py b/setup.py
new file mode 100644
index 000000000..fc687d8d9
--- /dev/null
+++ b/setup.py
@@ -0,0 +1,114 @@
+#!/usr/bin/env python
+
+from distutils import sysconfig
+from distutils.core import setup, Extension
+import os
+import platform
+import sys
+import shutil
+import multiprocessing
+import subprocess
+
+def parse_cmd(cmdline, prefix, keep_prefix = False):
+	ret = []
+	for token in cmdline.split():
+		if token[:len(prefix)] == prefix:
+			if keep_prefix:
+				ret.append(token)
+			else:
+				ret.append(token[len(prefix):])
+	return ret
+
+def arch():
+	if platform.system() != 'Darwin': return []
+	a = os.uname()[4]
+	if a == 'Power Macintosh': a = 'ppc'
+	return ['-arch', a]
+
+def target_specific():
+
+	if platform.system() != 'Darwin': return []
+
+	# on mavericks, clang will fail when unknown arguments are
+	# passed in. python distutils will pass in arguments it doesn't
+	# know about
+	return ['-Wno-error=unused-command-line-argument-hard-error-in-future']
+
+try:
+	extra_cmd = open('compile_flags').read()
+except:
+	extra_cmd = None
+
+try:
+	ldflags = open('link_flags').read()
+except:
+	ldflags = None
+
+ext = None
+packages = None
+
+if '--bjam' in sys.argv or ldflags == None or extra_cmd == None:
+
+	del sys.argv[sys.argv.index('--bjam')]
+
+	if not '--help' in sys.argv \
+		and not '--help-commands' in sys.argv:
+
+		toolset = ''
+		file_ext = '.so'
+
+		if platform.system() == 'Windows':
+			# msvc 9.0 (2008) is the official windows compiler for python 2.6
+			# http://docs.python.org/whatsnew/2.6.html#build-and-c-api-changes
+			toolset = ' msvc-9.0'
+			file_ext = '.pyd'
+
+		parallell_builds = ' -j%d' % multiprocessing.cpu_count()
+
+		# build libtorrent using bjam and build the installer with distutils
+		cmdline = 'bjam boost=source link=static geoip=static boost-link=static release optimization=space stage_module --abbreviate-paths' + toolset + parallell_builds
+		print cmdline
+		if os.system(cmdline) != 0:
+			print('build failed')
+			sys.exit(1)
+
+		try: os.mkdir('build')
+		except: pass
+		try: shutil.rmtree('build/lib')
+		except: pass
+		try: os.mkdir('build/lib')
+		except: pass
+		try: os.mkdir('libtorrent')
+		except: pass
+		shutil.copyfile('libtorrent' + file_ext, 'build/lib/libtorrent' + file_ext)
+
+	packages = ['libtorrent']
+
+else:
+
+	source_list = os.listdir(os.path.join(os.path.dirname(__file__), "src"))
+	source_list = [os.path.join("src", s) for s in source_list if s.endswith(".cpp")]
+
+	ext = [Extension('libtorrent',
+		sources = source_list,
+		language='c++',
+		include_dirs = ['../../include'] + parse_cmd(extra_cmd, '-I'),
+		library_dirs = ['../../src/.libs'] + parse_cmd(extra_cmd, '-L'),
+		extra_link_args = ldflags.split() + arch(),
+		extra_compile_args = parse_cmd(extra_cmd, '-D', True) + arch() \
+			+ target_specific(),
+		libraries = ['torrent-rasterbar'] + parse_cmd(extra_cmd, '-l'))]
+
+setup(name = 'python-libtorrent',
+	version = '1.0.1',
+	author = 'Arvid Norberg',
+	author_email = 'arvid@rasterbar.com',
+	description = 'Python bindings for libtorrent-rasterbar',
+	long_description = 'Python bindings for libtorrent-rasterbar',
+	url = 'http://libtorrent.org',
+	platforms = [platform.system() + '-' + platform.machine()],
+	license = 'BSD',
+	packages = packages,
+	ext_modules = ext
+)
+