diff --git a/build/jam/ImageRules b/build/jam/ImageRules
index 2faabf4420..a61747cb6c 100644
--- a/build/jam/ImageRules
+++ b/build/jam/ImageRules
@@ -1006,6 +1006,8 @@ rule AddHaikuImagePackages packages : installationLocation
 	 # is either "system" or "common" (the default) and specifies where the
 	 # packages shall be installed.
 
+	installationLocation ?= common ;
+
 	local package ;
 	for package in $(packages) {
 		if ! [ on $(package) return $(HAIKU_PACKAGE_ADDED) ] {
@@ -1018,8 +1020,14 @@ rule AddHaikuImagePackages packages : installationLocation
 			HAIKU_PACKAGE_ADDED on $(package) = 1 ;
 			HAIKU_ADDED_PACKAGES += $(package) ;
 
-			InstallOptionalHaikuImagePackage [ PackageURL $(package) ]
-				: $(installationLocation) ;
+			# download the package file and add it to the image
+			local file = [ DownloadPackage $(package) ] ;
+
+			if $(HAIKU_UPDATE_ALL_PACKAGES) {
+				HAIKU_INCLUDE_IN_IMAGE on $(file) = 1 ;
+			}
+
+			AddPackageFilesToHaikuImage $(installationLocation) : $(file) ;
 		}
 	}
 }
diff --git a/build/jam/MiscRules b/build/jam/MiscRules
index dc2a185cf8..c7373fe106 100644
--- a/build/jam/MiscRules
+++ b/build/jam/MiscRules
@@ -695,12 +695,10 @@ rule ExtractBuildFeatureArchives feature : list
 		}
 
 		local package = $(list[2]) ;
-		local url = [ PackageURL $(list[3]) ] ;
-		local fileName = $(url:BS) ;
+		local file = [ DownloadPackage $(list[3]) ] ;
+		local fileName = $(file:BS) ;
 		list = $(list[4-]) ;
 
-		local file = [ DownloadFile $(fileName) : $(url) ] ;
-
 		local directory = [ FDirName $(HAIKU_OPTIONAL_BUILD_PACKAGES_DIR)
 			$(fileName:B) ] ;
 		directory = $(directory:G=$(package)) ;
diff --git a/build/jam/RepositoryRules b/build/jam/RepositoryRules
index 6b65180482..0c81e02e27 100644
--- a/build/jam/RepositoryRules
+++ b/build/jam/RepositoryRules
@@ -39,8 +39,8 @@ rule AddRepositoryPackages repository : architecture : packages : sourcePackages
 }
 
 
-rule PackageRepository repository : architecture : repositoryUrl : packagesUrl
-	: anyPackages : packages : sourcePackages
+rule PackageRepository repository : architecture : repositoryUrl : anyPackages
+	: packages : sourcePackages
 {
 	repository = $(repository:G=repository) ;
 
@@ -50,7 +50,6 @@ rule PackageRepository repository : architecture : repositoryUrl : packagesUrl
 
 	HAIKU_REPOSITORIES += $(repository) ;
 	HAIKU_REPOSITORY_URL on $(repository) = $(repositoryUrl) ;
-	HAIKU_REPOSITORY_PACKAGES_URL on $(repository) = $(packagesUrl) ;
 	HAIKU_REPOSITORY_DEFINITION_FILE on $(repository)
 		= $(HAIKU_REPOSITORY_JAMFILE) ;
 
@@ -95,6 +94,8 @@ rule PackageRepository repository : architecture : repositoryUrl : packagesUrl
 
 	HAIKU_REPOSITORY_CACHE_FILE on $(repository) = $(repositoryFile) ;
 	HAIKU_REPOSITORY_CONFIG_FILE on $(repository) = $(repositoryConfig) ;
+	HAIKU_REPOSITORY_PACKAGES_CHECKSUM_FILE on $(repository)
+		= $(packagesChecksumFile) ;
 }
 
 
@@ -156,10 +157,10 @@ rule IsPackageAvailable package
 }
 
 
-rule PackageURL packageName
+rule DownloadPackage packageName
 {
 	if ! [ IsPackageAvailable $(packageName) ] {
-		Exit "PackageURL: package" $(packageName) "not available!" ;
+		Exit "DownloadPackage: package" $(packageName) "not available!" ;
 		return ;
 	}
 
@@ -171,8 +172,16 @@ rule PackageURL packageName
 		= [ on $(packageFamily) return $(HAIKU_PACKAGE_VERSIONS[1]) ] ;
 	local fileName = [ on $(package) return $(HAIKU_PACKAGE_FILE_NAME) ] ;
 	local repository = [ on $(package) return $(HAIKU_PACKAGE_REPOSITORY) ] ;
-	local baseUrl
-		= [ on $(repository) return $(HAIKU_REPOSITORY_PACKAGES_URL) ] ;
+	local baseUrl = [ on $(repository) return $(HAIKU_REPOSITORY_URL) ] ;
+	local packagesChecksumFile
+		= [ on $(repository)
+			return $(HAIKU_REPOSITORY_PACKAGES_CHECKSUM_FILE) ] ;
 
-	return $(baseUrl)/$(fileName) ;
+	local downloadedFile = [ DownloadFile $(fileName)
+		: "$(baseUrl)/`cat $source`/packages/$(fileName)"
+		: $(packagesChecksumFile) ] ;
+	NoUpdate $(downloadedFile) ;
+		# Don't download the file again when something in the repository
+		# changes. It is (supposed to be) still the same file.
+	return $(downloadedFile) ;
 }
diff --git a/build/jam/repositories/HaikuPorts/x86_gcc2 b/build/jam/repositories/HaikuPorts/x86_gcc2
index 0249ff6114..df28168473 100644
--- a/build/jam/repositories/HaikuPorts/x86_gcc2
+++ b/build/jam/repositories/HaikuPorts/x86_gcc2
@@ -1,7 +1,6 @@
 PackageRepository HaikuPorts
 	: x86_gcc2
 	: http://haiku-files.org/files/repo
-	: http://haiku-files.org/files/hpkg
 	:
 	# architecture "any" packages
 	be_book-2008_10_26-1
diff --git a/headers/os/package/RepositoryConfig.h b/headers/os/package/RepositoryConfig.h
index 9f35d1b40d..b9d08906aa 100644
--- a/headers/os/package/RepositoryConfig.h
+++ b/headers/os/package/RepositoryConfig.h
@@ -33,6 +33,8 @@ public:
 
 			const BEntry&		Entry() const;
 
+			BString				PackagesURL() const;
+
 			void				SetName(const BString& name);
 			void				SetBaseURL(const BString& url);
 			void				SetPriority(uint8 priority);
diff --git a/src/bin/pkgman/PackageManager.cpp b/src/bin/pkgman/PackageManager.cpp
index 833d6ce56d..f7c4df991a 100644
--- a/src/bin/pkgman/PackageManager.cpp
+++ b/src/bin/pkgman/PackageManager.cpp
@@ -398,7 +398,7 @@ PackageManager::_ApplyPackageChanges()
 		// get package URL and target entry
 		Repository* repository
 			= static_cast<Repository*>(package->Repository());
-		BString url = repository->Config().BaseURL();
+		BString url = repository->Config().PackagesURL();
 		BString fileName(package->Info().CanonicalFileName());
 		if (fileName.IsEmpty())
 			DIE(B_NO_MEMORY, "failed to allocate file name");
diff --git a/src/kits/package/RepositoryConfig.cpp b/src/kits/package/RepositoryConfig.cpp
index e3708dc9e6..a5eeb49447 100644
--- a/src/kits/package/RepositoryConfig.cpp
+++ b/src/kits/package/RepositoryConfig.cpp
@@ -160,6 +160,15 @@ BRepositoryConfig::Entry() const
 }
 
 
+BString
+BRepositoryConfig::PackagesURL() const
+{
+	if (fBaseURL.IsEmpty())
+		return BString();
+	return BString().SetToFormat("%s/packages", fBaseURL.String());
+}
+
+
 void
 BRepositoryConfig::SetName(const BString& name)
 {
diff --git a/src/tools/get_package_dependencies/get_package_dependencies.cpp b/src/tools/get_package_dependencies/get_package_dependencies.cpp
index ecbf4deec0..189a8c7afb 100644
--- a/src/tools/get_package_dependencies/get_package_dependencies.cpp
+++ b/src/tools/get_package_dependencies/get_package_dependencies.cpp
@@ -143,7 +143,7 @@ main(int argc, const char* const* argv)
 					const BRepositoryInfo& info
 						= repositoryInfos[package->Repository()];
 					BString url = info.OriginalBaseURL();
-					url << '/' << package->Info().CanonicalFileName();
+					url << "/packages/" << package->Info().CanonicalFileName();
 					printf("%s\n", url.String());
 				}
 				break;