diff --git a/leksah.cabal b/leksah.cabal
--- a/leksah.cabal
+++ b/leksah.cabal
@@ -1,5 +1,5 @@
 name: leksah
-version: 0.10.0.0
+version: 0.10.0.1
 cabal-version: >=1.8
 build-type: Simple
 license: GPL
diff --git a/src/IDE/Workspaces.hs b/src/IDE/Workspaces.hs
--- a/src/IDE/Workspaces.hs
+++ b/src/IDE/Workspaces.hs
@@ -146,7 +146,7 @@
                             then filePath
                             else addExtension filePath leksahWorkspaceFileExtension
     in do
-        dir <- liftIO $ myCanonicalizePath realPath
+        dir <- liftIO $ myCanonicalizePath $ dropFileName realPath
         let cPath = dir </> takeFileName realPath
             newWorkspace = emptyWorkspace {
                             wsName = takeBaseName cPath,
