diff --git a/VERSION.txt b/VERSION.txt
index 7a81f67fda7..b2ba178d565 100644
--- a/VERSION.txt
+++ b/VERSION.txt
@@ -11,9 +11,10 @@ jetty-7.1.4-SNAPSHOT
  + 314581 Implement the Sec-Websocket handshake
  + 315190 CrossOriginFilter adds headers not understood by Chrome 5 WebSocket
           implementation
+ + 315687 included init script fails to test for JETTY_HOME as empty
  + 315715 Improved Cookie version handling. Server.setMaxCookieVersion
  + 315744 Fixed STOP.PORT and STOP.KEY in start.jar
- + 315748 Removed --fromDaemon from start.jar
+ + 315748 Removed --fromDaemon from start.jar (replaced with --daemon)
  + 315925 Improved context xml configuration handling
  + 315995 Incorrect package name in system classes list
  + JETTY-1231 Support context request log handler
diff --git a/jetty-distribution/src/main/resources/bin/jetty.sh b/jetty-distribution/src/main/resources/bin/jetty.sh
index 935c72045bc..3bc4f8cb1f1 100755
--- a/jetty-distribution/src/main/resources/bin/jetty.sh
+++ b/jetty-distribution/src/main/resources/bin/jetty.sh
@@ -215,9 +215,8 @@ if [ -z "$JETTY_HOME" ] ; then
       then
         JETTY_HOME=
       fi
+      [ "$JETTY_HOME" ] && break
     done
-
-    [ "$JETTY_HOME" ] && break
   done
 fi