diff --git a/proposal/myrmidon/build.xml b/proposal/myrmidon/build.xml
index 1dd30f7a9..53d6664a7 100644
--- a/proposal/myrmidon/build.xml
+++ b/proposal/myrmidon/build.xml
@@ -48,6 +48,7 @@ Legal:
     <property name="build.ext" value="${build.dir}/ext"/>
     <property name="build.src" value="${build.dir}/src"/>
     <property name="build.classes" value="${build.dir}/classes"/>
+    <property name="build.custom-tasks" value="${build.dir}/tasks"/>
 
     <property name="src.base" value="src"/>
     <property name="manifest.dir" value="${src.base}/manifest"/>
@@ -70,14 +71,15 @@ Legal:
     <property name="constants.file" value="org/apache/myrmidon/Constants.java"/>
 
     <path id="project.class.path">
-        <pathelement path="${java.class.path}" />
         <pathelement location="../../lib/optional/junit.jar" />
         <pathelement location="../xdocs/lib/xdoclet.jar" />
         <pathelement location="../xdocs/lib/log4j-core.jar" />
         <fileset dir="${lib.dir}">
             <include name="*.jar" />
         </fileset>
-        <pathelement path="${build.classes}" />
+        <pathelement location="${build.classes}"/>
+        <!-- Need this to get tools.jar in the classpath -->
+        <pathelement path="${java.class.path}"/>
     </path>
 
     <!-- Main target -->
@@ -199,7 +201,6 @@ Legal:
 
     <!-- Compiles and installs the custom build tasks -->
     <target name="custom-tasks">
-        <property name="build.custom-tasks" value="${build.dir}/tasks"/>
         <property name="custom-package-dir" value="${build.custom-tasks}/org/apache/myrmidon/build"/>
         <mkdir dir="${build.custom-tasks}"/>
         <javac srcdir="src/make" destdir="${build.custom-tasks}">
@@ -236,7 +237,10 @@ Legal:
         <javac
             destdir="${build.classes}"
             debug="${debug}"
-            deprecation="${deprecation}" >
+            deprecation="${deprecation}" 
+            includeAntRuntime="false"
+            includeJavaRuntime="false">
+            
             <classpath refid="project.class.path"/>
             <src location="src/todo"/>
             <src path="${java.dir}" />
@@ -255,16 +259,6 @@ Legal:
             <include name="org/apache/antlib/**"/>
         </javac>
 
-        <mkdir dir="${test.classes}"/>
-        <javac srcdir="src/test"
-            destdir="${test.classes}"
-            debug="${debug}"
-            deprecation="${deprecation}">
-            <classpath refid="project.class.path"/>
-            <exclude name="**/SmbFileSystemTestCase.java" unless="jcifs.present"/>
-            <exclude name="**/FtpFileSystemTestCase.java" unless="netcomp.present"/>
-        </javac>
-
         <copy todir="${build.classes}">
             <fileset dir="${java.dir}">
                 <exclude name="**/*.java"/>
@@ -290,6 +284,7 @@ Legal:
             <include name="org/apache/myrmidon/components/**" />
             <include name="org/apache/myrmidon/frontends/**" />
             <include name="org/apache/myrmidon/*" />
+            <exclude name="**/TransformingProjectBuilder.java" unless="trax.present"/>
         </patternset>
 
         <patternset id="aut.include">
@@ -551,7 +546,12 @@ Legal:
             destdir="${test.classes}"
             debug="${debug}"
             deprecation="${deprecation}">
-            <classpath refid="project.class.path"/>
+            
+            <classpath>
+              <pathelement location="${build.classes}"/>
+              <path refid="project.class.path"/>
+            </classpath>
+            
             <exclude name="**/SmbFileSystemTestCase.java" unless="jcifs.present"/>
             <exclude name="**/FtpFileSystemTestCase.java" unless="netcomp.present"/>
         </javac>
@@ -611,12 +611,12 @@ Legal:
             tofile="${test.classes}/META-INF/ant-descriptor.xml"/>
 
         <!-- Run all the tests -->
-        <junit printsummary="on" fork="true" failureProperty="test.failed">
+        <junit printsummary="on" 
+               fork="true" failureProperty="test.failed">
             <formatter type="brief" usefile="false"/>
-            <classpath location="${build.classes}"/>
             <classpath>
                 <fileset dir="${test.working.dir}/dist/bin/lib" includes="**/*.jar"/>
-                <fileset dir="${test.working.dir}/dist/lib" includes="**/*.jar, **/*.atl" excludes="crimson.jar"/>
+                <fileset dir="${test.working.dir}/dist/lib" includes="**/*.jar, **/*.atl" excludes="**/crimson.jar"/>
             </classpath>
             <classpath location="${test.classes}"/>
 
@@ -767,6 +767,8 @@ Legal:
                 <exclude name="jdepend.jar"/>
             </fileset>
         </copy>
+        
+        <copy todir="${dist.lib}" file="../../lib/optional/junit.jar" />
 
         <copy todir="${dist.bin}">
             <fileset dir="${script.dir}"/>
@@ -797,6 +799,8 @@ Legal:
     <!-- Cleans up the compiled classes -->
     <target name="clean-classes">
         <delete dir="${build.classes}"/>
+        <delete dir="${test.classes}"/>
+        <delete dir="${build.custom-tasks}"/>
     </target>
 
     <!-- Rebuilds the distribution -->
diff --git a/proposal/myrmidon/lib/xalan.jar b/proposal/myrmidon/lib/xalan.jar
deleted file mode 100644
index 3681818e1..000000000
Binary files a/proposal/myrmidon/lib/xalan.jar and /dev/null differ
diff --git a/proposal/myrmidon/lib/xml-apis.jar b/proposal/myrmidon/lib/xml-apis.jar
deleted file mode 100644
index 8331d27f1..000000000
Binary files a/proposal/myrmidon/lib/xml-apis.jar and /dev/null differ
diff --git a/proposal/myrmidon/src/ant1compat/org/apache/tools/ant/Ant1CompatProject.java b/proposal/myrmidon/src/ant1compat/org/apache/tools/ant/Ant1CompatProject.java
index 2d8765787..03081a039 100644
--- a/proposal/myrmidon/src/ant1compat/org/apache/tools/ant/Ant1CompatProject.java
+++ b/proposal/myrmidon/src/ant1compat/org/apache/tools/ant/Ant1CompatProject.java
@@ -10,7 +10,6 @@ package org.apache.tools.ant;
 import java.io.File;
 import java.io.IOException;
 import java.io.InputStream;
-import java.security.CodeSource;
 import java.util.Enumeration;
 import java.util.HashSet;
 import java.util.Hashtable;
@@ -25,6 +24,8 @@ import org.apache.myrmidon.api.TaskException;
 import org.apache.myrmidon.interfaces.type.DefaultTypeFactory;
 import org.apache.myrmidon.interfaces.type.TypeManager;
 
+import org.apache.tools.ant.types.Path;
+
 /**
  * Ant1 Project proxy for Myrmidon. Provides hooks between Myrmidon TaskContext
  * and Ant1 project.
@@ -42,19 +43,9 @@ public class Ant1CompatProject extends Project
         org.apache.myrmidon.interfaces.model.Project.PROJECT;
     public static final String ANT1_PROJECT_PROP = "ant1.project";
 
-    private static String javaclasspath;
-
-    static
-    {
-        // Find the path to the Ant1 antlib file.
-        CodeSource ant1codesource =
-            Ant1CompatProject.class.getProtectionDomain().getCodeSource();
-        String ant1jar = ant1codesource.getLocation().getFile().toString();
-
-        // Append this to the java.class.path system property.
-        javaclasspath = System.getProperty( "java.class.path" );
-        javaclasspath = javaclasspath + File.pathSeparator + ant1jar;
-    }
+    // Add everything in the current classloader to the
+    // java.class.path property.
+    private static String javaclasspath = Path.systemClasspath.toString();
 
     private final Converter m_converter;
 
diff --git a/proposal/myrmidon/src/ant1compat/org/apache/tools/ant/types/Path.java b/proposal/myrmidon/src/ant1compat/org/apache/tools/ant/types/Path.java
index a63aa0d3f..c8f0a8585 100644
--- a/proposal/myrmidon/src/ant1compat/org/apache/tools/ant/types/Path.java
+++ b/proposal/myrmidon/src/ant1compat/org/apache/tools/ant/types/Path.java
@@ -112,10 +112,11 @@ public class Path extends DataType implements Cloneable {
 
 
     //Modified from original source.
-    //Append Ant1 codebase to systemclasspath.
+    //Append Ant1Compat classpath to systemclasspath.
     // ------------------Modified--------------------------------
     static
     {
+        // Add Ant1Compat.atl to system classpath.
         String classpath = LoaderUtils.getClasspath( Path.class.getClassLoader() );
         systemClasspath.append( new Path( null, classpath ) );
     }
diff --git a/proposal/myrmidon/src/java/org/apache/myrmidon/components/builder/ConvertingProjectBuilder.java b/proposal/myrmidon/src/java/org/apache/myrmidon/components/builder/ConvertingProjectBuilder.java
new file mode 100644
index 000000000..676e9687d
--- /dev/null
+++ b/proposal/myrmidon/src/java/org/apache/myrmidon/components/builder/ConvertingProjectBuilder.java
@@ -0,0 +1,237 @@
+/*
+ * Copyright (C) The Apache Software Foundation. All rights reserved.
+ *
+ * This software is published under the terms of the Apache Software License
+ * version 1.1, a copy of which has been included  with this distribution in
+ * the LICENSE.txt file.
+ */
+package org.apache.myrmidon.components.builder;
+
+import java.util.HashSet;
+import java.util.Set;
+import org.apache.avalon.framework.configuration.Configuration;
+import org.apache.avalon.framework.configuration.DefaultConfiguration;
+import org.apache.myrmidon.interfaces.builder.ProjectException;
+
+/**
+ * A simple ProjectBuilder, which programmatically converts an Ant1 Project
+ * configuration into a Myrmidon one.
+ *
+ * @author <a href="mailto:darrell@apache.org">Darrell DeBoer</a>
+ * @version $Revision$ $Date$
+ *
+ * @ant.type type="project-builder" name="xml"
+ */
+public class ConvertingProjectBuilder
+    extends DefaultProjectBuilder
+{
+    private static final String VERSION_ATTRIBUTE = "version";
+
+    protected Configuration parseProject( String systemID )
+        throws ProjectException
+    {
+        Configuration originalConfig = super.parseProject( systemID );
+
+        // Check the version, if it's present, just use this config.
+        // TODO: check for version < 2.0
+        if( originalConfig.getAttribute( VERSION_ATTRIBUTE, null ) != null )
+        {
+            return originalConfig;
+        }
+
+        // Convert the config by prepending "ant1." on tasks,
+        // and using <if> tasks instead of target 'if=' and 'unless='
+        DefaultConfiguration newConfig = copyConfiguration( originalConfig );
+
+        // Put a new version attribute.
+        newConfig.setAttribute( VERSION_ATTRIBUTE, "2.0" );
+
+        // Copy the remaining attributes.
+        Set omitAttributes = new HashSet();
+        omitAttributes.add( VERSION_ATTRIBUTE );
+        copyAttributes( originalConfig, newConfig, omitAttributes );
+
+        // Now copy/convert the children
+        Configuration[] children = originalConfig.getChildren();
+        for( int i = 0; i < children.length; i++ )
+        {
+            Configuration child = children[ i ];
+
+            if( child.getName().equals( "target" ) )
+            {
+                newConfig.addChild( convertTarget( child ) );
+            }
+            else
+            {
+                newConfig.addChild( convertTask( child ) );
+            }
+        }
+
+        return newConfig;
+    }
+
+    /**
+     * Converts Configuration for an Ant1 Target into a Myrmidon version.
+     * @param originalTarget The Ant1 Target
+     * @return the converted target
+     */
+    private Configuration convertTarget( Configuration originalTarget )
+    {
+        DefaultConfiguration newTarget = copyConfiguration( originalTarget );
+
+        // Copy all attributes except 'if' and 'unless'
+        Set omitAttributes = new HashSet();
+        omitAttributes.add( "if" );
+        omitAttributes.add( "unless" );
+        copyAttributes( originalTarget, newTarget, omitAttributes );
+
+        DefaultConfiguration containerElement = newTarget;
+
+        // For 'if="prop-name"', replace with <if> task.
+        String ifAttrib = originalTarget.getAttribute( "if", null );
+        if ( ifAttrib != null )
+        {
+            DefaultConfiguration ifElement =
+                buildIfElement( ifAttrib, false, originalTarget.getLocation() );
+            containerElement.addChild( ifElement );
+            // Treat the ifElement as the enclosing target.
+            containerElement = ifElement;
+        }
+
+        // For 'unless="prop-name"', replace with <if> task (negated).
+        String unlessAttrib = originalTarget.getAttribute( "unless", null );
+        if ( unlessAttrib != null )
+        {
+            DefaultConfiguration unlessElement =
+                buildIfElement( unlessAttrib, true, originalTarget.getLocation() );
+            containerElement.addChild( unlessElement );
+            // Treat the unlessElement as the enclosing target.
+            containerElement = unlessElement;
+        }
+
+        // Now copy in converted tasks.
+        Configuration[] tasks = originalTarget.getChildren();
+        for( int i = 0; i < tasks.length; i++ )
+        {
+            containerElement.addChild( convertTask( tasks[ i ] ) );
+        }
+
+        return newTarget;
+    }
+
+    /**
+     * Builds configuration for an <if> task, to replace a "if" or "unless"
+     * attribute on a Ant1 target.
+     * @param ifProperty the name of the property from the Ant1 attribute.
+     * @param unless if the attribute is actually an "unless" attribute.
+     * @param location the configuration location to use
+     * @return The configuration for an <if> task
+     */
+    private DefaultConfiguration buildIfElement( String ifProperty,
+                                                 boolean unless,
+                                                 final String location )
+    {
+        // <if>
+        //      <condition>
+        //          <is-set property="prop-name"/>
+        //      </condition>
+        //      .. tasks
+        // </if>
+        DefaultConfiguration isSetElement =
+            new DefaultConfiguration( "is-set", location );
+        isSetElement.setAttribute( "property", ifProperty );
+
+        DefaultConfiguration conditionElement =
+            new DefaultConfiguration( "condition", location );
+
+        if ( unless )
+        {
+            // Surround <is-set> with <not>
+            DefaultConfiguration notElement =
+                new DefaultConfiguration( "not", location );
+            notElement.addChild( isSetElement );
+            conditionElement.addChild( notElement );
+        }
+        else
+        {
+            conditionElement.addChild( isSetElement );
+        }
+
+
+        DefaultConfiguration ifElement =
+            new DefaultConfiguration( "if", location );
+        ifElement.addChild( conditionElement );
+
+        return ifElement;
+    }
+
+    /**
+     * Converts Configuration for an Ant1 Task into a Myrmidon version.
+     * @param originalTask The Ant1 Task
+     * @return the converted task
+     */
+    private Configuration convertTask( Configuration originalTask )
+    {
+        // Create a new configuration with the "ant1." prefix.
+        String newTaskName = "ant1." + originalTask.getName();
+        DefaultConfiguration newTask =
+            new DefaultConfiguration( newTaskName, originalTask.getLocation() );
+
+        // Copy all attributes and elements of the task.
+        copyAttributes( originalTask, newTask, new HashSet() );
+        copyChildren( originalTask, newTask );
+
+        return newTask;
+    }
+
+    /**
+     * Copies all child elements from one configuration to another
+     * @param from Configuration to copy from
+     * @param to Configuration to copy to
+     */
+    private void copyChildren( Configuration from, DefaultConfiguration to )
+    {
+        Configuration[] children = from.getChildren();
+        for( int i = 0; i < children.length; i++ )
+        {
+            to.addChild( children[ i ] );
+        }
+    }
+
+    /**
+     * Copies all attributes from one configuration to another, excluding
+     * specified attribute names.
+     * @param from Configuration to copy from
+     * @param to Configuration to copy to
+     * @param omitAttributes a Set of attribute names to exclude
+     */
+    private void copyAttributes( Configuration from,
+                                 DefaultConfiguration to,
+                                 Set omitAttributes )
+    {
+        // Copy other attributes
+        String[] attribs = from.getAttributeNames();
+        for( int i = 0; i < attribs.length; i++ )
+        {
+            String name = attribs[ i ];
+            if( omitAttributes.contains( name ) )
+            {
+                continue;
+            }
+            String value = from.getAttribute( name, "" );
+            to.setAttribute( name, value );
+        }
+    }
+
+    /**
+     * Creates a DefaultConfiguration with the same name and location as
+     * the one supplied.
+     * @param originalConfig the COnfiguration to copy.
+     * @return the new Configuration
+     */
+    private DefaultConfiguration copyConfiguration( Configuration originalConfig )
+    {
+        return new DefaultConfiguration( originalConfig.getName(),
+                                         originalConfig.getLocation() );
+    }
+}
diff --git a/proposal/myrmidon/src/java/org/apache/myrmidon/components/builder/TransformingProjectBuilder.java b/proposal/myrmidon/src/java/org/apache/myrmidon/components/builder/TransformingProjectBuilder.java
index 58b8c9eb1..1a659075d 100644
--- a/proposal/myrmidon/src/java/org/apache/myrmidon/components/builder/TransformingProjectBuilder.java
+++ b/proposal/myrmidon/src/java/org/apache/myrmidon/components/builder/TransformingProjectBuilder.java
@@ -27,7 +27,7 @@ import org.apache.myrmidon.interfaces.builder.ProjectException;
  * @author <a href="mailto:darrell@apache.org">Darrell DeBoer</a>
  * @version $Revision$ $Date$
  *
- * @ant.type type="project-builder" name="xml"
+ * @ant.type type="project-builder" name="ant-transform"
  */
 public class TransformingProjectBuilder
     extends DefaultProjectBuilder