diff --git a/Makefile.am b/Makefile.am
index eac2bfd..8f040d3 100644
--- a/Makefile.am
+++ b/Makefile.am
@@ -25,8 +25,8 @@ pcdatadir = $(libdir)/pkgconfig
 pcdata_DATA = lxc.pc
 
 install-data-local:
-	$(MKDIR_P) $(DESTDIR)$(LXCPATH)
-	$(MKDIR_P) $(DESTDIR)$(localstatedir)/cache/lxc
+	$(MKDIR_P) $(out)$(LXCPATH)
+	$(MKDIR_P) $(out)$(localstatedir)/cache/lxc
 
 ChangeLog::
 	@touch ChangeLog