diff --git a/bin/xbps-bin/install.c b/bin/xbps-bin/install.c
index 661239c4..349c4860 100644
--- a/bin/xbps-bin/install.c
+++ b/bin/xbps-bin/install.c
@@ -341,7 +341,8 @@ static int
 exec_transaction(struct transaction *trans)
 {
 	prop_dictionary_t instpkgd;
-	prop_object_t obj;
+	prop_object_t obj, obj2;
+	prop_object_iterator_t replaces_iter;
 	const char *pkgname, *version, *instver, *filename, *tract;
 	int rv = 0;
 	bool essential, isdep, autoinst;
@@ -384,6 +385,7 @@ exec_transaction(struct transaction *trans)
 		prop_dictionary_get_bool(obj, "essential", &essential);
 		prop_dictionary_get_cstring_nocopy(obj, "filename", &filename);
 		prop_dictionary_get_cstring_nocopy(obj, "trans-action", &tract);
+		replaces_iter = xbps_get_array_iter_from_dict(obj, "replaces");
 
 		if (trans->originpkgname &&
 		    strcmp(trans->originpkgname, pkgname))
@@ -399,6 +401,37 @@ exec_transaction(struct transaction *trans)
 		if (state == XBPS_PKG_STATE_UNPACKED)
 			continue;
 
+		/*
+		 * This package replaces other package(s), so we remove
+		 * them before upgrading or installing new one.
+		 */
+		if (replaces_iter != NULL) {
+			while ((obj2 =
+			    prop_object_iterator_next(replaces_iter))) {
+				printf("Replacing package '%s' with '%s-%s' "
+				    "...\n", prop_string_cstring(obj2),
+				    pkgname, version);
+				rv = xbps_remove_pkg(prop_string_cstring(obj2),
+				    NULL, false);
+				if (rv != 0) {
+					printf("Couldn't remove %s (%s)\n",
+					    prop_string_cstring(obj2),
+					    strerror(rv));
+					return rv;
+				}
+				rv = xbps_purge_pkg(prop_string_cstring(obj2),
+				    false);
+				if (rv != 0) {
+					printf("Couldn't purge %s (%s)\n",
+					    prop_string_cstring(obj2),
+					    strerror(rv));
+					return rv;
+				}
+			}
+			prop_object_iterator_release(replaces_iter);
+			replaces_iter = NULL;
+		}
+
 		if (strcmp(tract, "update") == 0) {
 			instpkgd = xbps_find_pkg_installed_from_plist(pkgname);
 			if (instpkgd == NULL) {
diff --git a/doc/README b/doc/README
index 7e1eb1ed..9b759486 100644
--- a/doc/README
+++ b/doc/README
@@ -47,7 +47,7 @@ and install xbps binary packages:
 	* sudo
 
 Super-user privileges are required as well, because all packages are built
-in a chroot (except the ones that are included in a virtual package to be
+in a chroot (except the ones that are included in a meta package to be
 able to build a minimal system for the chroot).
 
 PLEASE NOTE THAT fakechroot or fakeroot-ng DO NOT WORK.
@@ -65,9 +65,6 @@ Once the xbps distfiles are installed into prefix, you can start building
 packages from source, add local repositories with binary packages, install or
 remove them, etc.
 
-If you are only interested in building/using packages from source, see the
-SRCPKG_INFO file.
-
 For information about binary packages, see the BINPKG_INFO file.
 
 ------------------------------------------------------------------------------
diff --git a/shutils/metadata.sh b/shutils/metadata.sh
index aa7ffbdb..90c40703 100644
--- a/shutils/metadata.sh
+++ b/shutils/metadata.sh
@@ -311,6 +311,16 @@ _EOF
 		echo "</array>" >> $TMPFPROPS
 	fi
 
+	# Replace package(s).
+	if [ -n "$replaces" ]; then
+		echo "<key>replaces</key>" >> $TMPFPROPS
+		echo "<array>" >> $TMPFPROPS
+		for f in ${replaces}; do
+			echo "<string>$f</string>" >> $TMPFPROPS
+		done
+		echo "</array>" >> $TMPFPROPS
+	fi
+
 	# Terminate the property list file.
 	echo "</dict>" >> $TMPFPROPS
 	echo "</plist>" >> $TMPFPROPS
diff --git a/shutils/tmpl_funcs.sh b/shutils/tmpl_funcs.sh
index 5a22559d..56d8a218 100644
--- a/shutils/tmpl_funcs.sh
+++ b/shutils/tmpl_funcs.sh
@@ -76,7 +76,7 @@ reset_tmpl_vars()
 			only_for_archs conf_files keep_libtool_archives \
 			noarch subpackages sourcepkg gtk_iconcache_dirs \
 			abi_depends api_depends triggers openrc_services \
-			XBPS_EXTRACT_DONE XBPS_CONFIGURE_DONE \
+			replaces XBPS_EXTRACT_DONE XBPS_CONFIGURE_DONE \
 			XBPS_BUILD_DONE XBPS_INSTALL_DONE FILESDIR DESTDIR \
 			SRCPKGDESTDIR PATCHESDIR"