diff --git a/.gitignore b/.gitignore
index f88e43151b..47f92a40cb 100644
--- a/.gitignore
+++ b/.gitignore
@@ -292,7 +292,7 @@ tools/xm-test/lib/XmTestLib/config.py
 tools/xm-test/lib/XmTestReport/xmtest.py
 tools/xm-test/tests/*.test
 tools/ocaml-xenstored*
-xen/.banner*
+xen/.banner
 xen/System.map
 xen/arch/arm/asm-offsets.s
 xen/arch/arm/xen.lds
@@ -315,7 +315,6 @@ xen/include/linux
 xen/include/public/public
 xen/include/xen/*.new
 xen/include/xen/acm_policy.h
-xen/include/xen/banner.h
 xen/include/xen/compile.h
 xen/tools/figlet/figlet
 xen/tools/symbols
diff --git a/README b/README
index 8689ce1924..4148a26b8c 100644
--- a/README
+++ b/README
@@ -71,6 +71,7 @@ disabled at compile time:
       includes the alternative ocaml xenstored.
     * cmake (if building vtpm stub domains)
     * markdown
+    * figlet (for generating the traditional Xen start of day banner)
 
 Second, you need to acquire a suitable kernel for use in domain 0. If
 possible you should use a kernel provided by your OS distributor. If
diff --git a/xen/Makefile b/xen/Makefile
index 597972dae7..1ea2717622 100644
--- a/xen/Makefile
+++ b/xen/Makefile
@@ -86,7 +86,7 @@ _clean: delete-unfresh-files
 	$(MAKE) -f $(BASEDIR)/Rules.mk -C arch/$(TARGET_ARCH) clean
 	rm -f include/asm *.o $(TARGET) $(TARGET).gz $(TARGET)-syms *~ core
 	rm -f include/asm-*/asm-offsets.h
-	[ -d tools/figlet ] && rm -f .banner*
+	rm -f .banner
 
 .PHONY: _distclean
 _distclean: clean
@@ -114,10 +114,12 @@ delete-unfresh-files:
 	fi
 
 .banner: Makefile
-	$(MAKE) -C tools
-	@tools/figlet/figlet -d tools/figlet Xen $(XEN_FULLVERSION) 2>$@2 >$@1
-	@cat $@1 $@2 >$@
-	@rm -f $@1 $@2
+	@if which figlet >/dev/null 2>&1 ; then \
+		echo " Xen $(XEN_FULLVERSION)" | figlet -f tools/xen.flf > $@.tmp; \
+	else \
+		echo " Xen $(XEN_FULLVERSION)" > $@.tmp; \
+	fi
+	@mv -f $@.tmp $@
 
 # compile.h contains dynamic build info. Rebuilt on every 'make' invocation.
 include/xen/compile.h: include/xen/compile.h.in .banner
@@ -132,8 +134,8 @@ include/xen/compile.h: include/xen/compile.h.in .banner
 	    -e 's/@@extraversion@@/$(XEN_EXTRAVERSION)/g' \
 	    -e 's!@@changeset@@!$(shell tools/scmversion $(XEN_ROOT) || echo "unavailable")!g' \
 	    < include/xen/compile.h.in > $@.new
-	@grep \" .banner >> $@.new
-	@grep -v \" .banner
+	@cat .banner
+	@$(PYTHON) tools/fig-to-oct.py < .banner >> $@.new
 	@mv -f $@.new $@
 
 include/asm-$(TARGET_ARCH)/asm-offsets.h: arch/$(TARGET_ARCH)/asm-offsets.s
diff --git a/xen/tools/Makefile b/xen/tools/Makefile
index 612e36df18..e940939d61 100644
--- a/xen/tools/Makefile
+++ b/xen/tools/Makefile
@@ -3,12 +3,10 @@ include $(XEN_ROOT)/Config.mk
 
 .PHONY: default
 default:
-	[ -d figlet ] && $(MAKE) -C figlet
 	$(MAKE) symbols
 
 .PHONY: clean
 clean:
-	[ -d figlet ] && $(MAKE) -C figlet clean
 	rm -f *.o symbols
 
 symbols: symbols.c
diff --git a/xen/tools/fig-to-oct.py b/xen/tools/fig-to-oct.py
new file mode 100644
index 0000000000..db4fd32159
--- /dev/null
+++ b/xen/tools/fig-to-oct.py
@@ -0,0 +1,18 @@
+#!/usr/bin/env python
+import sys
+
+chars_per_line = 18
+chars_so_far = 0
+
+sys.stdout.write('"')
+
+for char in sys.stdin.read():
+
+    sys.stdout.write("\\%03o" % ord(char))
+    chars_so_far = chars_so_far + 1
+
+    if chars_so_far == chars_per_line:
+        chars_so_far = 0
+        sys.stdout.write('" \\\n"')
+
+sys.stdout.write('"\n')
diff --git a/xen/tools/figlet/xen.flf b/xen/tools/xen.flf
similarity index 100%
rename from xen/tools/figlet/xen.flf
rename to xen/tools/xen.flf