diff --git a/README b/README
index 58760fa5..5d406eb3 100644
--- a/README
+++ b/README
@@ -1,5 +1,5 @@
-SparkleShare 0.2 Beta 2
-=======================
+SparkleShare 0.2 Release Candidate 1
+====================================
 
 SparkleShare is a file sharing and collaboration tool inspired by Dropbox. 
 
diff --git a/configure.ac b/configure.ac
index 1ab791bf..dda2bf4f 100644
--- a/configure.ac
+++ b/configure.ac
@@ -1,6 +1,6 @@
 dnl Process this file with autoconf to produce a configure script.
 m4_define([sparkleshare_version],
-	[0.2-beta1])
+	[0.2-rc1])
 
 m4_define([sparkleshare_asm_version],
 	[0.2])