diff --git a/eclipse/README.txt b/eclipse/README.txt
index d42fc42..b62581e 100644
--- a/eclipse/README.txt
+++ b/eclipse/README.txt
@@ -3,10 +3,12 @@
 ---------- Required GWT variables ---------
 
 Window->Preferences->General->Workspace->Linked Resources
-Create a variable named "GWT_ROOT" pointing to your"trunk" folder.
+Create a variable named "GWT_ROOT" pointing to your "trunk" folder.
 
 Window->Preferences->Java->Build Path->Classpath Variables
-Create a variable named "GWT_TOOLS" pointing to your"tools" folder.
+Create a variable named "GWT_TOOLS" pointing to your "tools" folder.
+Create a variable named "JDK_HOME" pointing to the root of your JDK install
+  (for example, C:\Program Files\jdk1.5.0_05 or /usr/lib/j2sdk1.5-sun)
 
 ---------------- Spelling -----------------