diff --git a/reactos/subsys/system/expand/expand.xml b/reactos/subsys/system/expand/expand.xml
new file mode 100644
index 00000000000..a988f9c704a
--- /dev/null
+++ b/reactos/subsys/system/expand/expand.xml
@@ -0,0 +1,10 @@
+<module name="expand" type="win32cui" installbase="system32" installname="expand.exe" usewrc="false">
+	<include base="ReactOS">include/wine</include>
+	<include base="cmd">.</include>
+	<define name="__USE_W32API" />
+	<define name="ANONYMOUSUNIONS" />
+	<define name="_WIN32_WINNT">0x0501</define>
+	<library>lz32</library>
+      <file>expand.c</file>	
+      <file>expand.rc</file> 
+</module>
diff --git a/reactos/subsys/system/expand/makefile b/reactos/subsys/system/expand/makefile
deleted file mode 100644
index 76a59118506..00000000000
--- a/reactos/subsys/system/expand/makefile
+++ /dev/null
@@ -1,23 +0,0 @@
-# 
-
-PATH_TO_TOP = ../../..
-
-TARGET_TYPE = program
-
-TARGET_APPTYPE = console
-
-TARGET_NAME = expand
-
-TARGET_INSTALLDIR = system32
-
-TARGET_CFLAGS = -D__USE_W32API 
-
-TARGET_SDKLIBS = lz32.a
-
-TARGET_OBJECTS = $(TARGET_NAME).o
-
-include $(PATH_TO_TOP)/rules.mak
-
-include $(TOOLS_PATH)/helper.mk
-
-# EOF