diff --git a/bitbake/lib/bb/ui/crumbs/builder.py b/bitbake/lib/bb/ui/crumbs/builder.py
index 899d0e0c16..bcce41dbb6 100755
--- a/bitbake/lib/bb/ui/crumbs/builder.py
+++ b/bitbake/lib/bb/ui/crumbs/builder.py
@@ -40,6 +40,8 @@ from bb.ui.crumbs.hig import CrumbsMessageDialog, ImageSelectionDialog, \
 from bb.ui.crumbs.persistenttooltip import PersistentTooltip
 import bb.ui.crumbs.utils
 
+hobVer = 20120530
+
 class Configuration:
     '''Represents the data structure of configuration.'''
 
@@ -222,6 +224,7 @@ class Configuration:
         self.split_proxy("cvs", template.getVar("CVS_PROXY_HOST") + ":" + template.getVar("CVS_PROXY_PORT"))
 
     def save(self, template, defaults=False):
+        template.setVar("VERSION", "%s" % hobVer)
         # bblayers.conf
         template.setVar("BBLAYERS", " ".join(self.layers))
         # local.conf
@@ -468,7 +471,7 @@ class Builder(gtk.Window):
 
     def initiate_new_build_async(self):
         self.switch_page(self.MACHINE_SELECTION)
-        if self.load_template(TemplateMgr.convert_to_template_pathfilename("default", ".hob/")) == None:
+        if self.load_template(TemplateMgr.convert_to_template_pathfilename("default", ".hob/")) == False:
             self.handler.init_cooker()
             self.handler.set_extra_inherit("image_types")
             self.handler.generate_configuration()
@@ -537,9 +540,16 @@ class Builder(gtk.Window):
 
     def load_template(self, path):
         if not os.path.isfile(path):
-            return None
+            return False
 
         self.template = TemplateMgr()
+        # check compatibility
+        tempVer = self.template.getVersion(path)
+        if not tempVer or int(tempVer) < hobVer:
+            self.template.destroy()
+            self.template = None
+            return False
+
         try:
             self.template.load(path)
             self.configuration.load(self.template)
diff --git a/bitbake/lib/bb/ui/crumbs/template.py b/bitbake/lib/bb/ui/crumbs/template.py
index cbed2708de..7309bb6467 100644
--- a/bitbake/lib/bb/ui/crumbs/template.py
+++ b/bitbake/lib/bb/ui/crumbs/template.py
@@ -101,7 +101,19 @@ class HobTemplateFile(ConfigFile):
             return self.dictionary[var]
         else:
             return ""
- 
+
+    def getVersion(self):
+        contents = ConfigFile.readFile(self)
+
+        pattern = "^\s*(\S+)\s*=\s*(\".*?\")"
+
+        for line in contents:
+            match = re.search(pattern, line)
+            if match:
+                if match.group(1) == "VERSION":
+                    return match.group(2).strip('"')
+        return None
+
     def load(self):
         contents = ConfigFile.readFile(self)
         self.dictionary.clear()
@@ -174,6 +186,9 @@ class TemplateMgr(gobject.GObject):
         self.image_bb.save()
         self.template_hob.save()
 
+    def getVersion(self, path):
+        return HobTemplateFile(path).getVersion()
+
     def load(self, path):
         self.template_hob = HobTemplateFile(path)
         self.dictionary = self.template_hob.load()