diff --git a/Makefile b/Makefile
index babb41e..6586a60 100644
--- a/Makefile
+++ b/Makefile
@@ -85,7 +85,7 @@ dist:
 		$(PACKAGE)-$(VERSION)/config.h \
 		$(PACKAGE)-$(VERSION)/config.sh \
 		$(PACKAGE)-$(VERSION)/INSTALL \
-		$(PACKAGE)-$(VERSION)/README \
+		$(PACKAGE)-$(VERSION)/README.md \
 		$(PACKAGE)-$(VERSION)/project.conf
 	$(RM) -- $(OBJDIR)$(PACKAGE)-$(VERSION)
 
@@ -111,7 +111,7 @@ install:
 	$(MKDIR) $(DESTDIR)$(PREFIX)/share/doc/configure
 	$(INSTALL) -m 0644 INSTALL $(DESTDIR)$(PREFIX)/share/doc/configure/INSTALL
 	$(MKDIR) $(DESTDIR)$(PREFIX)/share/doc/configure
-	$(INSTALL) -m 0644 README $(DESTDIR)$(PREFIX)/share/doc/configure/README
+	$(INSTALL) -m 0644 README.md $(DESTDIR)$(PREFIX)/share/doc/configure/README.md
 
 uninstall:
 	@for i in $(SUBDIRS); do (cd "$$i" && $(MAKE) uninstall) || exit; done
@@ -119,6 +119,6 @@ uninstall:
 	$(RM) -- $(DESTDIR)$(PREFIX)/share/doc/configure/BUGS
 	$(RM) -- $(DESTDIR)$(PREFIX)/share/doc/configure/CHANGES
 	$(RM) -- $(DESTDIR)$(PREFIX)/share/doc/configure/INSTALL
-	$(RM) -- $(DESTDIR)$(PREFIX)/share/doc/configure/README
+	$(RM) -- $(DESTDIR)$(PREFIX)/share/doc/configure/README.md
 
 .PHONY: all subdirs clean distclean dist distcheck install uninstall
diff --git a/README b/README.md
similarity index 54%
rename from README
rename to README.md
index 8c7fe57..de83412 100644
--- a/README
+++ b/README.md
@@ -1,15 +1,26 @@
-configure release notes
------------------------
+DeforaOS configure
+==================
+
+About configure
+---------------
 
 configure automatically generates Makefiles from project definition files.
 
 configure depends on the DeforaOS libSystem library, which is found on the
-DeforaOS project web site: http://www.defora.org/
+website for the DeforaOS Project: http://www.defora.org/
+
+
+Compiling configure
+-------------------
 
 Please read the INSTALL file for instructions about how to compile and install
 configure.
 
-Please read the BUGS file for information about known problems, and planned
+
+Bug reports
+-----------
+
+Please read the BUGS file for information about known problems and planned
 feature upgrades.
 
 Thanks for using this program. I hope it will be useful.
diff --git a/project.conf b/project.conf
index 7df523a..87478a7 100644
--- a/project.conf
+++ b/project.conf
@@ -3,7 +3,7 @@ version=0.1.0
 config=h,sh
 
 subdirs=doc,src,tests,tools
-dist=Makefile,AUTHORS,BUGS,CHANGES,COPYING,config.h,config.sh,INSTALL,README
+dist=Makefile,AUTHORS,BUGS,CHANGES,COPYING,config.h,config.sh,INSTALL,README.md
 
 [AUTHORS]
 install=$(PREFIX)/share/doc/configure
@@ -17,5 +17,5 @@ install=$(PREFIX)/share/doc/configure
 [INSTALL]
 install=$(PREFIX)/share/doc/configure
 
-[README]
+[README.md]
 install=$(PREFIX)/share/doc/configure