diff --git a/quantum/db/securitygroups_db.py b/quantum/db/securitygroups_db.py
index b61f1dcb33..6e2eb5d296 100644
--- a/quantum/db/securitygroups_db.py
+++ b/quantum/db/securitygroups_db.py
@@ -127,20 +127,13 @@ class SecurityGroupDbMixin(ext_sg.SecurityGroupPluginBase):
             context.session.add(security_group_db)
             if s.get('name') == 'default':
                 for ethertype in self.sg_supported_ethertypes:
-                    # Allow all egress traffic
-                    db = SecurityGroupRule(
-                        id=utils.str_uuid(), tenant_id=tenant_id,
-                        security_group=security_group_db,
-                        direction='egress',
-                        ethertype=ethertype)
-                    context.session.add(db)
                     # Allow intercommunication
                     db = SecurityGroupRule(
                         id=utils.str_uuid(), tenant_id=tenant_id,
                         security_group=security_group_db,
                         direction='ingress',
-                        source_group=security_group_db,
-                        ethertype=ethertype)
+                        ethertype=ethertype,
+                        source_group=security_group_db)
                     context.session.add(db)
 
         return self._make_security_group_dict(security_group_db)
diff --git a/quantum/tests/unit/test_extension_security_group.py b/quantum/tests/unit/test_extension_security_group.py
index efda1c7d5c..83c17713d3 100644
--- a/quantum/tests/unit/test_extension_security_group.py
+++ b/quantum/tests/unit/test_extension_security_group.py
@@ -367,7 +367,7 @@ class TestSecurityGroups(SecurityGroupDBTestCase):
             self.assertEquals(len(groups['security_groups']), 1)
             res = self.new_list_request('security-group-rules')
             rules = self.deserialize('json', res.get_response(self.ext_api))
-            self.assertEquals(len(rules['security_group_rules']), 4)
+            self.assertEquals(len(rules['security_group_rules']), 2)
             # just generic rules to allow default egress and
             # intergroup communicartion
             for rule in rules['security_group_rules']: