diff --git a/DEPS b/DEPS
index 1148bcf696..de477b0c5a 100644
--- a/DEPS
+++ b/DEPS
@@ -8,7 +8,7 @@ use_relative_paths = True
 # See third_party/externals/README
 #
 deps = {
-  "third_party/externals/gyp" : "http://gyp.googlecode.com/svn/trunk@995",
+  "third_party/externals/gyp" : "http://gyp.googlecode.com/svn/trunk@1061",
 }
 
 #hooks = [
diff --git a/gyp/common_conditions.gypi b/gyp/common_conditions.gypi
index 9ea490ee35..e2accd762e 100644
--- a/gyp/common_conditions.gypi
+++ b/gyp/common_conditions.gypi
@@ -64,6 +64,9 @@
                 'GenerateDebugInformation': 'true', # /DEBUG
                 'LinkTimeCodeGeneration': '1',      # useLinkTimeCodeGeneration /LTCG
               },
+              'VCLibrarianTool': {
+                'LinkTimeCodeGeneration': 'true',   # useLinkTimeCodeGeneration /LTCG
+              },
             },
           },
         },