I've fixed the issue #143 in distribute, along with some minor other points, and I will release 0.6.14 as soon as we check with Barry that it works fine upstream on Ubuntu/Debian. Other distros will follow.
- Distribute issue: http://bitbucket.org/tarek/distribute/issue/142 - Ubuntu issue: https://bugs.edge.launchpad.net/ubuntu/+source/python-setuptools/+bug/601040
IOW, this removes the founded regression Distribute had with the latest setuptools release.
In the meantime, if you have any other issue you would like to see addressed in this release, let me know.