diff --git a/README.txt b/README.txt
index a3a55ff..d6e3946 100644
--- a/README.txt
+++ b/README.txt
@@ -48,6 +48,19 @@ To submit bug reports and feature suggestions, or to track changes:
 * Enable the module at Administer >> Site building >> Modules.
 
 
+-- LIBRARIES API --
+
+The jQuery UI module is now able to utilize the Libraries API module
+http://drupal.org/project/libraries which allows you to specify alternate
+locations for external libraries such as the jquery.ui library. By default, the
+module will search for the jquery.ui directory in the jquery_ui module directory
+and in /sites/all/libraries, however when the Libraries API module is enabled,
+it will also allow you to place the library in other locations such as multisite
+directories: /sites/<domain.name>/libraries
+
+For more information, see: http://drupal.org/node/489140
+
+
 -- API --
 
 Developers who wish to use jQuery UI effects in their modules need only make