diff --git a/newlib/ChangeLog b/newlib/ChangeLog
index 6e09241cf..2d28ac49e 100644
--- a/newlib/ChangeLog
+++ b/newlib/ChangeLog
@@ -1,3 +1,8 @@
+Thu Jun 22 18:35:00 2000  Ranjith Kumaran  <ranjith@cygnus.com>
+
+	* README: Newlib 1.8.2 must be built in a separate directory
+	than the sources.
+
 Tue Jun 20 14:30:00 2000  Jeff Johnston  <jjohnstn@cygnus.com>
 
         * libc/include/sys/reent.h (_rand_next): Added __extension__
diff --git a/newlib/README b/newlib/README
index fdda052d3..b49127a8b 100644
--- a/newlib/README
+++ b/newlib/README
@@ -28,11 +28,8 @@ ChangeLog        configure*       mpw-README       texinfo/
 Makefile.in      configure.in     mpw-build.in
 README           etc/             mpw-config.in
 
-To build NEWLIB, you can just do:
-
-	cd newlib-1.8.2
-	./configure --target=<your target>
-	make all install
+To build NEWLIB, you must follow the instructions in the section entitled
+"Compiling NEWLIB in another directory".
 
 This will configure and build all the libraries and crt0 (if one exists).
 If `configure' can't determine your host system type, specify one as its