diff --git a/rse/plugins/org.eclipse.dstore.core/src/org/eclipse/dstore/core/model/ByteStreamHandler.java b/rse/plugins/org.eclipse.dstore.core/src/org/eclipse/dstore/core/model/ByteStreamHandler.java
index 61203c0f53f..06d22cb7336 100644
--- a/rse/plugins/org.eclipse.dstore.core/src/org/eclipse/dstore/core/model/ByteStreamHandler.java
+++ b/rse/plugins/org.eclipse.dstore.core/src/org/eclipse/dstore/core/model/ByteStreamHandler.java
@@ -1,5 +1,5 @@
 /*******************************************************************************
- * Copyright (c) 2002, 2011 IBM Corporation and others.
+ * Copyright (c) 2002, 2012 IBM Corporation and others.
  * All rights reserved. This program and the accompanying materials
  * are made available under the terms of the Eclipse Public License v1.0
  * which accompanies this distribution, and is available at
@@ -93,7 +93,7 @@ public class ByteStreamHandler implements IByteStreamHandler
 					String doBackups = System.getProperty("backupfiles"); //$NON-NLS-1$
 					if (doBackups == null || doBackups.equals("true")){ //$NON-NLS-1$
 						// backup the file first					
-						file.renameTo(new File(fileName+"~")); //$NON-NLS-1$
+						file.renameTo(new File('.'+fileName+"~")); //$NON-NLS-1$
 					}
 				}