diff --git a/archivers/bzip2/Makefile b/archivers/bzip2/Makefile
index 7bcf3c84aa3..a70edd0f368 100644
--- a/archivers/bzip2/Makefile
+++ b/archivers/bzip2/Makefile
@@ -1,12 +1,12 @@
-# $OpenBSD: Makefile,v 1.53 2006/02/03 20:00:33 steven Exp $
+# $OpenBSD: Makefile,v 1.54 2007/01/25 21:08:22 naddy Exp $
 
 COMMENT=	"block-sorting file compressor, unencumbered"
 
-VERSION=	1.0.3
+VERSION=	1.0.4
 DISTNAME=	bzip2-${VERSION}
 CATEGORIES=	archivers
 MASTER_SITES=	${HOMEPAGE}${VERSION}/
-SHARED_LIBS=	bz2	10.3
+SHARED_LIBS=	bz2	10.4
 
 HOMEPAGE=	http://www.bzip.org/
 
diff --git a/archivers/bzip2/distinfo b/archivers/bzip2/distinfo
index 187ddf72847..9aa8bac377d 100644
--- a/archivers/bzip2/distinfo
+++ b/archivers/bzip2/distinfo
@@ -1,4 +1,4 @@
-MD5 (bzip2-1.0.3.tar.gz) = 8a716bebecb6e647d2e8a29ea5d8447f
-RMD160 (bzip2-1.0.3.tar.gz) = 7ac2a122c254d1fcd54ca8af96a1814e9e245a1a
-SHA1 (bzip2-1.0.3.tar.gz) = 7e749510f65c86fbfff37b97144a02f1b8b8617f
-SIZE (bzip2-1.0.3.tar.gz) = 669075
+MD5 (bzip2-1.0.4.tar.gz) = fc310b254f6ba5fbb5da018f04533688
+RMD160 (bzip2-1.0.4.tar.gz) = 438365cb911ef84b3bd6643e0d39f6b7567f0447
+SHA1 (bzip2-1.0.4.tar.gz) = f2388ec8f2c506e02aa89e67577b3c6331cbaa4c
+SIZE (bzip2-1.0.4.tar.gz) = 841221
diff --git a/archivers/bzip2/patches/patch-Makefile b/archivers/bzip2/patches/patch-Makefile
index 879ec29fec5..4b66e510416 100644
--- a/archivers/bzip2/patches/patch-Makefile
+++ b/archivers/bzip2/patches/patch-Makefile
@@ -1,12 +1,12 @@
-$OpenBSD: patch-Makefile,v 1.10 2005/12/23 13:57:21 espie Exp $
---- Makefile.orig	Thu Feb 17 12:28:24 2005
-+++ Makefile	Thu Dec 22 09:39:51 2005
-@@ -10,10 +10,9 @@ LDFLAGS=
+$OpenBSD: patch-Makefile,v 1.11 2007/01/25 21:08:22 naddy Exp $
+--- Makefile.orig	Tue Jan 23 21:27:43 2007
++++ Makefile	Tue Jan 23 21:35:18 2007
+@@ -23,10 +23,9 @@ LDFLAGS=
  BIGFILES=-D_FILE_OFFSET_BITS=64
- CFLAGS=-Wall -Winline -O -g $(BIGFILES)
+ CFLAGS=-Wall -Winline -O2 -g $(BIGFILES)
  
 -# Where you want it installed when you do 'make install'
--PREFIX=/usr
+-PREFIX=/usr/local
 +PICFLAG= -fpic
 +SHLIB= libbz2.so.${LIBbz2_VERSION}
  
@@ -14,7 +14,7 @@ $OpenBSD: patch-Makefile,v 1.10 2005/12/23 13:57:21 espie Exp $
  OBJS= blocksort.o  \
        huffman.o    \
        crctable.o   \
-@@ -21,10 +20,17 @@ OBJS= blocksort.o  \
+@@ -34,10 +33,17 @@ OBJS= blocksort.o  \
        compress.o   \
        decompress.o \
        bzlib.o
@@ -33,7 +33,7 @@ $OpenBSD: patch-Makefile,v 1.10 2005/12/23 13:57:21 espie Exp $
  	$(CC) $(CFLAGS) $(LDFLAGS) -o bzip2 bzip2.o -L. -lbz2
  
  bzip2recover: bzip2recover.o
-@@ -39,66 +45,61 @@ libbz2.a: $(OBJS)
+@@ -52,66 +58,61 @@ libbz2.a: $(OBJS)
  		$(RANLIB) libbz2.a ; \
  	fi
  
@@ -91,14 +91,14 @@ $OpenBSD: patch-Makefile,v 1.10 2005/12/23 13:57:21 espie Exp $
 -	cp -f libbz2.a $(PREFIX)/lib
 -	chmod a+r $(PREFIX)/lib/libbz2.a
 -	cp -f bzgrep $(PREFIX)/bin/bzgrep
--	ln $(PREFIX)/bin/bzgrep $(PREFIX)/bin/bzegrep
--	ln $(PREFIX)/bin/bzgrep $(PREFIX)/bin/bzfgrep
+-	ln -s -f $(PREFIX)/bin/bzgrep $(PREFIX)/bin/bzegrep
+-	ln -s -f $(PREFIX)/bin/bzgrep $(PREFIX)/bin/bzfgrep
 -	chmod a+x $(PREFIX)/bin/bzgrep
 -	cp -f bzmore $(PREFIX)/bin/bzmore
--	ln $(PREFIX)/bin/bzmore $(PREFIX)/bin/bzless
+-	ln -s -f $(PREFIX)/bin/bzmore $(PREFIX)/bin/bzless
 -	chmod a+x $(PREFIX)/bin/bzmore
 -	cp -f bzdiff $(PREFIX)/bin/bzdiff
--	ln $(PREFIX)/bin/bzdiff $(PREFIX)/bin/bzcmp
+-	ln -s -f $(PREFIX)/bin/bzdiff $(PREFIX)/bin/bzcmp
 -	chmod a+x $(PREFIX)/bin/bzdiff
 -	cp -f bzgrep.1 bzmore.1 bzdiff.1 $(PREFIX)/man/man1
 -	chmod a+r $(PREFIX)/man/man1/bzgrep.1