diff --git a/MANIFEST.in b/MANIFEST.in
index b48af96..c8dc86e 100644
--- a/MANIFEST.in
+++ b/MANIFEST.in
@@ -4,6 +4,5 @@ recursive-include flag/templates *
 recursive-include docs *
 include LICENSE
 include README.rst
-include VERSION
 include tox.ini manage.py
 recursive-include tests *.py
diff --git a/flag/__init__.py b/flag/__init__.py
index e0deeef..9d7af80 100644
--- a/flag/__init__.py
+++ b/flag/__init__.py
@@ -1,4 +1,4 @@
-VERSION = (1, 0, 0)
+VERSION = (1, 0, 1)
 
 
 def _get_version(version):