diff --git a/ChangeLog b/ChangeLog
index ee38badc..9f4354b6 100644
--- a/ChangeLog
+++ b/ChangeLog
@@ -1,3 +1,8 @@
+1998-07-10  Martin Baulig  <martin@home-of-linux.org>
+
+	* src/Makefile.am (SUBDIRS): Removed `proxy'. This directory
+	is considered obsolete and will be removed soon.
+
 1998-07-06  Martin Baulig  <martin@home-of-linux.org>
 
 	* sysdeps/common/mountlist.c: using functions from `xmalloc.c'.
diff --git a/src/Makefile.am b/src/Makefile.am
index 6c285f4f..1f27265f 100644
--- a/src/Makefile.am
+++ b/src/Makefile.am
@@ -1 +1 @@
-SUBDIRS			= server proxy daemon
+SUBDIRS			= server daemon