diff --git a/obs-service-tar_scm.changes b/obs-service-tar_scm.changes
index e388e84..4f4414c 100644
--- a/obs-service-tar_scm.changes
+++ b/obs-service-tar_scm.changes
@@ -1,3 +1,8 @@
+-------------------------------------------------------------------
+Fri Aug 12 11:51:07 UTC 2011 - adrian@suse.de
+
+- fix exclude expansion
+
 -------------------------------------------------------------------
 Mon Jun 20 08:48:12 UTC 2011 - cthiel@novell.com
 
diff --git a/obs-service-tar_scm.spec b/obs-service-tar_scm.spec
index 290db5f..c0e3260 100644
--- a/obs-service-tar_scm.spec
+++ b/obs-service-tar_scm.spec
@@ -30,7 +30,6 @@ Requires:       subversion git mercurial bzr
 BuildRoot:      %{_tmppath}/%{name}-%{version}-build
 BuildArch:      noarch
 
-
 %description
 This is a source service for openSUSE Build Service.
 
@@ -40,21 +39,16 @@ It supports downloading from svn, git, hg and bzr repositories.
 %prep
 %setup -q -D -T 0 -n .
 
-
 %build
 
-
 %install
 mkdir -p $RPM_BUILD_ROOT/usr/lib/obs/service
 install -m 0755 %{SOURCE0} $RPM_BUILD_ROOT/usr/lib/obs/service
 install -m 0644 %{SOURCE1} $RPM_BUILD_ROOT/usr/lib/obs/service
 
-
 %files
 %defattr(-,root,root)
 %dir /usr/lib/obs
 /usr/lib/obs/service
 
-
-
 %changelog
diff --git a/tar_scm b/tar_scm
index 5d1f0fc..0c205af 100644
--- a/tar_scm
+++ b/tar_scm
@@ -45,7 +45,7 @@ while test $# -gt 0; do
       shift
     ;;
     *-exclude)
-      EXCLUDES="$EXCLUDES --exclude='${2#/}'"
+      EXCLUDES="$EXCLUDES --exclude=${2#/}"
       shift
     ;;
     *-filename)