Index: maven-release-manager/src/main/java/org/apache/maven/shared/release/phase/RunPerformGoalsPhase.java
===================================================================
--- maven-release-manager/src/main/java/org/apache/maven/shared/release/phase/RunPerformGoalsPhase.java	(revision 1243262)
+++ maven-release-manager/src/main/java/org/apache/maven/shared/release/phase/RunPerformGoalsPhase.java	(working copy)
@@ -89,7 +89,8 @@
             if ( matchingPom != null )
             {
                 getLogger().info( "Invoking perform goals in directory " + matchingPom.getParent() );
-                releaseDescriptor.setCheckoutDirectory( matchingPom.getParent() );
+                // the directory of the POM in a flat project layout is not the same directory as the SCM checkout directory! 
+                // releaseDescriptor.setCheckoutDirectory( matchingPom.getParent() );
             }
 
         }