diff --git a/source4/build/smb_build/makefile.pm b/source4/build/smb_build/makefile.pm
index 22bf95e5b27..78b16599f42 100644
--- a/source4/build/smb_build/makefile.pm
+++ b/source4/build/smb_build/makefile.pm
@@ -114,7 +114,7 @@ sub _prepare_compiler_linker($)
 		$libdir = "\$(builddir)/bin/shared";
 		$devld_install = " -Wl,-rpath-link,\$(builddir)/bin/shared";
 	} else {
-		$libdir = "\$(builddir)/bin";
+		$libdir = "\$(builddir)/bin/static";
 	}
 	
 	if (!(abs_path($self->{config}->{srcdir}) eq abs_path($self->{config}->{builddir}))) {
@@ -248,14 +248,14 @@ sub SharedLibrary($$)
 		$proto_fn =~ s/\(\*\)/$ctx->{INIT_FUNCTION}/;
 
 		$self->output(<< "__EOD__"
-$ctx->{SHAREDDIR}/$ctx->{NAME}_init_module.c:
+bin/$ctx->{NAME}_init_module.c:
 	\@echo Creating \$\@
 	\@echo \"#include \\\"includes.h\\\"\" > \$\@
 	\@echo \"$proto_fn;\" >> \$\@
 	\@echo -e \"_PUBLIC_ $init_fn \\n{\\n\\treturn $ctx->{INIT_FUNCTION}();\\n}\\n\" >> \$\@
 __EOD__
 );
-		$init_obj = "$ctx->{SHAREDDIR}/$ctx->{NAME}_init_module.o";
+		$init_obj = "bin/$ctx->{NAME}_init_module.o";
 	}
 
 	my $soarg = "";
diff --git a/source4/build/smb_build/output.pm b/source4/build/smb_build/output.pm
index e7609e65496..34ed7ae03ec 100644
--- a/source4/build/smb_build/output.pm
+++ b/source4/build/smb_build/output.pm
@@ -89,7 +89,7 @@ sub generate_static_library($)
 	push(@{$lib->{LINK_FLAGS}}, "\$($lib->{TYPE}_$lib->{NAME}\_OBJ_LIST)");
 
 	if (defined($lib->{OBJ_FILES})) {
-		$lib->{TARGET} = "bin/$lib->{LIBRARY_NAME}";
+		$lib->{TARGET} = "bin/static/$lib->{LIBRARY_NAME}";
 	} else {
 		$lib->{TARGET} = "";
 	}
diff --git a/source4/main.mk b/source4/main.mk
index c3d232e86c2..4779044ad62 100644
--- a/source4/main.mk
+++ b/source4/main.mk
@@ -253,7 +253,7 @@ clean:: clean_pch
 	@-rm -f $(BIN_PROGS) $(SBIN_PROGS) $(BINARIES) $(TORTURE_PROGS)
 	@echo Removing libraries
 	@-rm -f $(STATIC_LIBRARIES) $(SHARED_LIBRARIES)
-	@-rm -f bin/*.a bin/shared/*.$(SHLIBEXT)
+	@-rm -f bin/static/*.a bin/shared/*.$(SHLIBEXT)
 	@echo Removing modules
 	@-rm -f bin/modules/*/*.$(SHLIBEXT)
 	@-rm -f bin/*_init_module.c