diff -r a051f8a6a7cc -r a21ccf4412d5 mercurial/localrepo.py
--- a/mercurial/localrepo.py	Wed Sep 07 10:24:26 2011 -0400
+++ b/mercurial/localrepo.py	Wed Sep 14 22:28:27 2011 -0400
@@ -79,7 +79,7 @@
 
         self.sharedpath = self.path
         try:
-            s = os.path.realpath(self.opener.read("sharedpath"))
+            s = os.path.realpath(self.opener.read("sharedpath").rstrip('\n'))
             if not os.path.exists(s):
                 raise error.RepoError(
                     _('.hg/sharedpath points to nonexistent directory %s') % s)