diff --git a/setup.py b/setup.py
index 8359ddc..298500f 100644
--- a/setup.py
+++ b/setup.py
@@ -10,12 +10,13 @@ except ImportError:
     from setuptools import setup, find_packages
 
 required_deps = ['sqlalchemy >= 0.5', 'decorator', 'tempita']
-readme_file = open(os.path.join(os.path.dirname(os.path.abspath(__file__)), 'README'))
+readme_file = open(os.path.join(os.path.dirname(os.path.abspath(__file__)),
+                                'README'))
 
 setup(
     name = "sqlalchemy-migrate",
     version = "0.6",
-    packages = find_packages(exclude=['tests*']),
+    packages = find_packages(exclude=["migrate.tests*"]),
     include_package_data = True,
     description = "Database schema migration for SQLAlchemy",
     long_description = readme_file.read(),