diff --git a/src/actions/xcode/xcode_pbxproj.lua b/src/actions/xcode/xcode_pbxproj.lua
index 51bce437..684b22e8 100644
--- a/src/actions/xcode/xcode_pbxproj.lua
+++ b/src/actions/xcode/xcode_pbxproj.lua
@@ -589,8 +589,8 @@
 
 	function premake.xcode.pbxproj(sln)
 		tr = xcode.buildtree(sln)
-		xcode.Header(tr)
-		xcode.PBXBuildFile(tr)
+		xcode.Header(tr)  -- done
+		xcode.PBXBuildFile(tr)  -- done
 		xcode.PBXFileReference(tr)
 		xcode.PBXFrameworksBuildPhase(tr)
 		xcode.PBXGroup(tr)
@@ -601,5 +601,5 @@
 		xcode.PBXVariantGroup(tr)
 		xcode.XCBuildConfiguration(tr)
 		xcode.XCBuildConfigurationList(tr)
-		xcode.Footer(tr)
+		xcode.Footer(tr)  -- done
 	end
diff --git a/src/actions/xcode/xcode_project.lua b/src/actions/xcode/xcode_project.lua
index 0e9938ab..39d9ff3b 100644
--- a/src/actions/xcode/xcode_project.lua
+++ b/src/actions/xcode/xcode_project.lua
@@ -20,6 +20,32 @@
 	function xcode.buildprjtree(prj)
 		local tr = premake.project.buildsourcetree(prj)
 
+		-- convert localized resources from their filesystem layout (English.lproj/MainMenu.xib)
+		-- to Xcode's display layout (MainMenu.xib/English).
+		tree.traverse(tr, {
+			onbranch = function(node)
+				if path.getextension(node.name) == ".lproj" then
+					local lang = path.getbasename(node.name)  -- "English", "French", etc.
+					
+					-- create a new language group for each file it contains
+					for _, filenode in ipairs(node.children) do
+						local grpnode = node.parent.children[filenode.name]
+						if not grpnode then
+							grpnode = tree.insert(node.parent, tree.new(filenode.name))
+							grpnode.kind = "vgroup"
+						end
+						
+						-- convert the file node to a language node and add to the group
+						filenode.name = path.getbasename(lang)
+						tree.insert(grpnode, filenode)
+					end
+					
+					-- remove this directory from the tree
+					tree.remove(node)
+				end
+			end
+		})
+
 		-- Final setup
 		tree.traverse(tr, {
 			onnode = function(node)
diff --git a/tests/actions/test_xcode.lua b/tests/actions/test_xcode.lua
index 853efc6b..46f9ef2a 100644
--- a/tests/actions/test_xcode.lua
+++ b/tests/actions/test_xcode.lua
@@ -27,23 +27,6 @@
 	end
 
 
----------------------------------------------------------------------------
--- PBXBuildFile tests
----------------------------------------------------------------------------
-
-
-	function T.xcode3.PBXBuildFile_ListsResourceFilesOnlyOnceWithGroupID()
-		files { "English.lproj/MainMenu.xib", "French.lproj/MainMenu.xib" }
-		prepare()
-		xcode.PBXBuildFile(tr)
-		test.capture [[
-/* Begin PBXBuildFile section */
-		[MainMenu.xib:build] /* MainMenu.xib in Resources */ = {isa = PBXBuildFile; fileRef = [MainMenu.xib] /* MainMenu.xib */; };
-/* End PBXBuildFile section */
-		]]
-	end
-
-
 ---------------------------------------------------------------------------
 -- PBXFileReference tests
 ---------------------------------------------------------------------------
diff --git a/tests/actions/xcode/test_xcode_project.lua b/tests/actions/xcode/test_xcode_project.lua
index a379ce71..b2c3543a 100644
--- a/tests/actions/xcode/test_xcode_project.lua
+++ b/tests/actions/xcode/test_xcode_project.lua
@@ -44,3 +44,15 @@
 /* End PBXBuildFile section */
 		]]
 	end
+
+
+	function suite.PBXBuildFile_ListsResourceFilesOnlyOnceWithGroupID()
+		files { "English.lproj/MainMenu.xib", "French.lproj/MainMenu.xib" }
+		prepare()
+		xcode.PBXBuildFile(tr)
+		test.capture [[
+/* Begin PBXBuildFile section */
+		[MainMenu.xib:build] /* MainMenu.xib in Resources */ = {isa = PBXBuildFile; fileRef = [MainMenu.xib] /* MainMenu.xib */; };
+/* End PBXBuildFile section */
+		]]
+	end