diff -ur Django-1.1.old/django/core/management/base.py Django-1.1/django/core/management/base.py
--- Django-1.1.old/django/core/management/base.py 2009-08-01 19:57:57.326706120 -0400
+++ Django-1.1/django/core/management/base.py 2009-08-01 19:58:19.706707008 -0400
@@ -398,7 +398,7 @@
if subdir.startswith('.'):
del subdirs[i]
for f in files:
- if f.endswith('.pyc'):
+ if f.endswith('.pyc') or f.endswith('.pyo'):
continue
path_old = os.path.join(d, f)
path_new = os.path.join(top_dir, relative_dir, f.replace('%s_name' % app_or_project, name))