diff --git a/ChangeLog b/ChangeLog
index 36adaeba..cac35e6a 100644
--- a/ChangeLog
+++ b/ChangeLog
@@ -1,5 +1,26 @@
 1999-01-13  Alexandre Oliva  <oliva@dcc.unicamp.br>
 
+	* configure.in (AC_CONFIG_DIRS): configure only libltdl, and then,
+ 	only if --enable-ltdl-install
+	(CONF_SUBDIRS): list directories that are configured on demand,
+	but that must be included in the distribution
+	(ACINCLUDE_M4_LIST, DIST_MAKEFILE_LIST): generated from CONF_SUBDIRS
+	* Makefile.am (AUTOMAKE_OPTIONS): added version 1.3e and
+	readme-alpha, to handle README-alpha automatically
+	(EXTRA_DIST): removed README-alpha
+	(BUILD_SUBDIRS): subdirectories that are always built
+	(SUBDIRS): BUILD_SUBDIRS plus BUILD_LTDL
+	(DIST_SUBDIRS): BUILD_SUBDIRS plus CONF_SUBDIRS, from configure
+	(all-local, check-local): depend on $(ACINCLUDE_M4_LIST), from
+	configure, and libtool, so that it is built before subdirs
+	(configure-subdirs): new target
+	(configure-subdirs, distdir): depend on $(DIST_MAKEFILE_LIST),
+	from configure
+	(@DIST_MAKEFILE_LIST@): create subdir if needed, then run
+	configure.
+	On-demand configuration of subdirs at distribution time was
+	suggested by Gary V. Vaughan <gvaughan@oranda.demon.co.uk>
+	
 	* libtool.m4, ltconfig.in (NM): search for NM in PATH before
 	/usr/ccs/bin, /usr/ucb and /bin.  However, if the found one isn't
 	BSD-compat keep searching.  If no BSD-compat is found, use the
diff --git a/Makefile.am b/Makefile.am
index ddb2549e..0fd4f616 100644
--- a/Makefile.am
+++ b/Makefile.am
@@ -1,8 +1,11 @@
 ## Process Makefile.am with automake to create Makefile.in. -*-Makefile-*-
 ## Gordon Matzigkeit <gord@gnu.ai.mit.edu>, 1996
-AUTOMAKE_OPTIONS = gnits
-SUBDIRS = . doc tests $(BUILD_LTDL)
-DIST_SUBDIRS = . doc tests libltdl demo mdemo cdemo # depdemo
+
+AUTOMAKE_OPTIONS = 1.3e gnits readme-alpha
+
+BUILD_SUBDIRS = . doc tests
+SUBDIRS = $(BUILD_SUBDIRS) $(BUILD_LTDL)
+DIST_SUBDIRS = $(BUILD_SUBDIRS) $(CONF_SUBDIRS)
 
 # We need to export these variables when we run ltconfig.
 CFLAGS = @CFLAGS@
@@ -11,7 +14,7 @@ CPPLAGS = @CPPFLAGS@
 aclocal_macros = libtool.m4
 
 EXTRA_DIST = $(aclocal_macros) libtoolize.in ltconfig.in ltmain.in \
-	libtool.spec README-alpha # remove this for a non-alpha release
+	libtool.spec
 CLEANFILES = libtool libtoolize
 MAINTAINERCLEANFILES = ltconfig ltmain.sh
 
@@ -58,23 +61,21 @@ $(srcdir)/ltmain.sh: $(srcdir)/ltmain.in $(top_srcdir)/configure.in
 	sed -e 's/@''PACKAGE@/@PACKAGE@/' -e 's/@''VERSION@/@VERSION@/' $(srcdir)/ltmain.in > ltmain.shT
 	mv -f ltmain.shT $@
 
-# We use our own libtool.m4 for these.
-ACINCLUDE_M4_LIST = \
-	$(srcdir)/acinclude.m4 \
-	$(srcdir)/libltdl/acinclude.m4 \
-	$(srcdir)/demo/acinclude.m4 \
-	$(srcdir)/mdemo/acinclude.m4 \
-	$(srcdir)/cdemo/acinclude.m4 # \ #
-#	$(srcdir)/depdemo/acinclude.m4
-
 # All our rules should depend on these demo files.
-all check: $(ACINCLUDE_M4_LIST) $(LIBTOOL_DEPS)
+all-local check-local: $(ACINCLUDE_M4_LIST) libtool
 
-$(ACINCLUDE_M4_LIST): $(srcdir)/libtool.m4
+@ACINCLUDE_M4_LIST@: $(srcdir)/libtool.m4
 	rm -f $@
 	cd `echo $@ | sed 's,/[^/]*$$,,'` && \
 	  $(LN_S) `echo $@ | sed -e 's|^$(srcdir)/||' -e 's,[^/]*$$,,' -e 's,[^/][^/]*,..,g'`libtool.m4 acinclude.m4
 
+.PHONY: configure-subdirs
+configure-subdirs distdir: $(DIST_MAKEFILE_LIST)
+@DIST_MAKEFILE_LIST@:
+	dir=`echo $@ | sed 's,^[^/]*$,.,;s,/[^/]*$,,'`; \
+	test -d $$dir || mkdir $$dir || exit 1; \
+	(cd $$dir && $(srcdir)/$$dir/configure) || exit 1
+
 ################################################################
 ##
 ## Everything past here is useful to the maintainer, but probably not
diff --git a/configure.in b/configure.in
index 9f834919..e768d7c1 100644
--- a/configure.in
+++ b/configure.in
@@ -28,7 +28,21 @@ AC_PROG_LN_S
 dnl For the `lineno' script (which puts line numbers into `ltconfig').
 AC_PROG_AWK
 
-AC_CONFIG_SUBDIRS(libltdl demo mdemo cdemo) dnl #depdemo
+dnl all subdirectories that are configured on demand, but that must be
+dnl included in the distribution
+CONF_SUBDIRS="libltdl demo mdemo cdemo" # depdemo
+AC_SUBST(CONF_SUBDIRS)
+
+ACINCLUDE_M4_LIST="\$(srcdir)/acinclude.m4 "
+DIST_MAKEFILE_LIST=
+for dir in $CONF_SUBDIRS; do
+  ACINCLUDE_M4_LIST="$ACINCLUDE_M4_LIST\$(srcdir)/$dir/acinclude.m4 "
+  DIST_MAKEFILE_LIST="$DIST_MAKEFILE_LIST$dir/Makefile "
+done
+AC_SUBST(ACINCLUDE_M4_LIST)
+AC_SUBST(DIST_MAKEFILE_LIST)
+
+AC_CONFIG_SUBDIRS($BUILD_LTDL)
 AC_OUTPUT([Makefile doc/Makefile tests/Makefile])
 
 # Local Variables: