--- a/Plugins/VcsPlugins/vcsMercurial/HgStatusDialog.py	Wed Sep 14 19:46:52 2011 +0200
+++ b/Plugins/VcsPlugins/vcsMercurial/HgStatusDialog.py	Thu Sep 15 18:35:49 2011 +0200
@@ -174,7 +174,7 @@
         repodir = self.dname
         while not os.path.isdir(os.path.join(repodir, self.vcs.adminDir)):
             repodir = os.path.dirname(repodir)
-            if repodir == os.sep:
+            if os.path.splitdrive(repodir)[1] == os.sep:
                 return
         
         self.process.setWorkingDirectory(repodir)