diff --git a/src/Composer/Autoload/AutoloadGenerator.php b/src/Composer/Autoload/AutoloadGenerator.php
index daf2827a7..b9806320c 100644
--- a/src/Composer/Autoload/AutoloadGenerator.php
+++ b/src/Composer/Autoload/AutoloadGenerator.php
@@ -34,8 +34,8 @@ class AutoloadGenerator
         $relVendorPath = $filesystem->findShortestPath(getcwd(), $vendorPath, true);
         $vendorDirCode = $filesystem->findShortestPathCode(realpath($targetDir), $vendorPath, true);
 
-        $appBaseDir = $filesystem->findShortestPathCode($vendorPath, getcwd(), true);
-        $appBaseDir = str_replace('__DIR__', '$vendorDir', $appBaseDir);
+        $appBaseDirCode = $filesystem->findShortestPathCode($vendorPath, getcwd(), true);
+        $appBaseDirCode = str_replace('__DIR__', '$vendorDir', $appBaseDirCode);
 
         $namespacesFile = <<<EOF
 <?php
@@ -43,7 +43,7 @@ class AutoloadGenerator
 // autoload_namespace.php generated by Composer
 
 \$vendorDir = $vendorDirCode;
-\$baseDir = $appBaseDir;
+\$baseDir = $appBaseDirCode;
 
 return array(
 
@@ -55,22 +55,7 @@ EOF;
         foreach ($autoloads['psr-0'] as $namespace => $paths) {
             $exportedPaths = array();
             foreach ($paths as $path) {
-                $path = strtr($path, '\\', '/');
-                $baseDir = '';
-                if (!$filesystem->isAbsolutePath($path)) {
-                    if (strpos($path, $relVendorPath) === 0) {
-                        // path starts with vendor dir
-                        $path = substr($path, strlen($relVendorPath));
-                        $baseDir = '$vendorDir . ';
-                    } else {
-                        $path = '/'.$path;
-                        $baseDir = '$baseDir . ';
-                    }
-                } elseif (strpos($path, $vendorPath) === 0) {
-                    $path = substr($path, strlen($vendorPath));
-                    $baseDir = '$vendorDir . ';
-                }
-                $exportedPaths[] = $baseDir.var_export($path, true);
+                $exportedPaths[] = $this->getPathCode($filesystem, $relVendorPath, $vendorPath, $path);
             }
             $exportedPrefix = var_export($namespace, true);
             $namespacesFile .= "    $exportedPrefix => ";
@@ -88,7 +73,7 @@ EOF;
 // autoload_classmap.php generated by Composer
 
 \$vendorDir = $vendorDirCode;
-\$baseDir = $appBaseDir;
+\$baseDir = $appBaseDirCode;
 
 return array(
 
@@ -106,7 +91,7 @@ EOF;
 
         file_put_contents($targetDir.'/autoload_namespaces.php', $namespacesFile);
         file_put_contents($targetDir.'/autoload_classmap.php', $classmapFile);
-        if ($includePathFile = $this->getIncludePathsFile($packageMap)) {
+        if ($includePathFile = $this->getIncludePathsFile($packageMap, $filesystem, $relVendorPath, $vendorPath, $vendorDirCode, $appBaseDirCode)) {
             file_put_contents($targetDir.'/include_paths.php', $includePathFile);
         }
         file_put_contents($targetDir.'/autoload.php', $this->getAutoloadFile(true, true, (Boolean) $includePathFile));
@@ -186,7 +171,7 @@ EOF;
         return $loader;
     }
 
-    protected function getIncludePathsFile(array $packageMap)
+    protected function getIncludePathsFile(array $packageMap, Filesystem $filesystem, $relVendorPath, $vendorPath, $vendorDirCode, $appBaseDirCode)
     {
         $includePaths = array();
 
@@ -198,6 +183,7 @@ EOF;
             }
 
             foreach ($package->getIncludePaths() as $includePath) {
+                $includePath = trim($includePath, '/');
                 $includePaths[] = empty($installPath) ? $includePath : $installPath.'/'.$includePath;
             }
         }
@@ -206,9 +192,43 @@ EOF;
             return;
         }
 
-        return sprintf(
-            "<?php\nreturn %s;\n", var_export($includePaths, true)
-        );
+        $includePathsFile = <<<EOF
+<?php
+
+// include_paths.php generated by Composer
+
+\$vendorDir = $vendorDirCode;
+\$baseDir = $appBaseDirCode;
+
+return array(
+
+EOF;
+
+        foreach ($includePaths as $path) {
+            $includePathsFile .= "    " . $this->getPathCode($filesystem, $relVendorPath, $vendorPath, $path) . ",\n";
+        }
+
+        return $includePathsFile . ");\n";
+    }
+
+    protected function getPathCode(Filesystem $filesystem, $relVendorPath, $vendorPath, $path)
+    {
+        $path = strtr($path, '\\', '/');
+        $baseDir = '';
+        if (!$filesystem->isAbsolutePath($path)) {
+            if (strpos($path, $relVendorPath) === 0) {
+                // path starts with vendor dir
+                $path = substr($path, strlen($relVendorPath));
+                $baseDir = '$vendorDir . ';
+            } else {
+                $path = '/'.$path;
+                $baseDir = '$baseDir . ';
+            }
+        } elseif (strpos($path, $vendorPath) === 0) {
+            $path = substr($path, strlen($vendorPath));
+            $baseDir = '$vendorDir . ';
+        }
+        return $baseDir.var_export($path, true);
     }
 
     protected function getAutoloadFile($usePSR0, $useClassMap, $useIncludePath)
diff --git a/tests/Composer/Test/Autoload/AutoloadGeneratorTest.php b/tests/Composer/Test/Autoload/AutoloadGeneratorTest.php
index dced4ef7f..f4feef203 100644
--- a/tests/Composer/Test/Autoload/AutoloadGeneratorTest.php
+++ b/tests/Composer/Test/Autoload/AutoloadGeneratorTest.php
@@ -264,8 +264,12 @@ class AutoloadGeneratorTest extends TestCase
         $b = new MemoryPackage("b/b", "1.0", "1.0");
         $b->setIncludePaths(array("library"));
 
+        $c = new MemoryPackage("c", "1.0", "1.0");
+        $c->setIncludePaths(array("library"));
+
         $packages[] = $a;
         $packages[] = $b;
+        $packages[] = $c;
 
         $this->repository->expects($this->once())
             ->method("getPackages")
@@ -275,10 +279,12 @@ class AutoloadGeneratorTest extends TestCase
 
         $this->generator->dump($this->repository, $package, $this->im, $this->vendorDir."/.composer");
 
+        $this->assertFileEquals(__DIR__.'/Fixtures/include_paths.php', $this->vendorDir.'/.composer/include_paths.php');
         $this->assertEquals(
             array(
-                $this->vendorDir."/a/a/lib/",
-                $this->vendorDir."/b/b/library"
+                $this->vendorDir."/a/a/lib",
+                $this->vendorDir."/b/b/library",
+                $this->vendorDir."/c/library",
             ),
             require($this->vendorDir."/.composer/include_paths.php")
         );
@@ -307,7 +313,7 @@ class AutoloadGeneratorTest extends TestCase
         require($this->vendorDir."/.composer/autoload.php");
 
         $this->assertEquals(
-            $oldIncludePath.PATH_SEPARATOR.$this->vendorDir."/a/a/lib/",
+            $oldIncludePath.PATH_SEPARATOR.$this->vendorDir."/a/a/lib",
             get_include_path()
         );