diff --git a/CHANGELOG.md b/CHANGELOG.md
index 90d2cbf1..6a9074ed 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -1,5 +1,6 @@
 # Changelog
 
+* 1.0.3 Fixed Formtastic 2.0 + Ruby 1.8.7 compat issue
 * 1.0.2 Fixed issue #93, #94
 * 1.0.1 Formtastic 2.0 compatibility fix
 * 1.0.0 Rails 3.1 asset pipeline support
diff --git a/README.md b/README.md
index 72d5a017..7439c608 100644
--- a/README.md
+++ b/README.md
@@ -50,15 +50,7 @@ And include autocomplete-rails.js on your layouts
 
     javascript_include_tag "autocomplete-rails.js"
 
-### Rails 3.1.x
-
-Just add it to your app/assets/javascripts/application.js file
-
-    //= require jquery
-    //= require jquery_ujs
-    //= require autocomplete-rails
-
-## Upgrading from older versions
+#### Upgrading from older versions
 
 If you are upgrading from a previous version, run the generator after installing to replace the javascript file.
 
@@ -66,13 +58,22 @@ If you are upgrading from a previous version, run the generator after installing
 
 I'd recommend you do this every time you update to make sure you have the latest JS file.
 
-## Uncompressed Javascript file
+#### Uncompressed Javascript file
 
 If you want to make changes to the JS file, you can install the
 uncompressed version by running:
 
     rails generate autocomplete:uncompressed
 
+### Rails 3.1.x
+
+Just add it to your app/assets/javascripts/application.js file
+
+    //= require jquery
+    //= require jquery_ujs
+    //= require jquery_ui
+    //= require autocomplete-rails
+
 ## Usage
 
 ### Model Example
@@ -223,8 +224,8 @@ The previous example would fetch the extra attribute slogan and update jQuery('#
 A javascript event named *railsAutocomplete.select* is fired on the input field when a value is selected from the autocomplete drop down. If you need to do something more complex than update fields with data, you can hook into this event, like so:
 
     $('#my_autocomplete_field').bind('railsAutocomplete.select', function(event, data){
-    	/* Do something here */
-    	alert(data.item.id);
+      /* Do something here */
+      alert(data.item.id);
     });
 
 ## Formtastic
diff --git a/integration/Gemfile b/integration/Gemfile
index 3ebc73f9..5067c238 100644
--- a/integration/Gemfile
+++ b/integration/Gemfile
@@ -5,7 +5,7 @@ gem 'rails', '~> 3.0.10'
 gem 'annotate'
 gem 'capybara'
 gem 'cucumber-rails'
-gem 'formtastic' #, path: '../../formtastic'
+gem 'formtastic'#, :path => '../../formtastic'
 gem 'rspec-rails'
 gem 'steak'
 gem 'database_cleaner'
diff --git a/integration/Gemfile.lock b/integration/Gemfile.lock
index 8a6e71bf..bb0598f0 100644
--- a/integration/Gemfile.lock
+++ b/integration/Gemfile.lock
@@ -1,7 +1,7 @@
 PATH
   remote: ../
   specs:
-    rails3-jquery-autocomplete (1.0.2)
+    rails3-jquery-autocomplete (1.0.3)
       rails (~> 3.0)
 
 GEM
diff --git a/lib/rails3-jquery-autocomplete/formtastic.rb b/lib/rails3-jquery-autocomplete/formtastic.rb
index 7231f89a..4fea6945 100644
--- a/lib/rails3-jquery-autocomplete/formtastic.rb
+++ b/lib/rails3-jquery-autocomplete/formtastic.rb
@@ -1,15 +1,18 @@
 #
 # Load the formtastic plugin if using Formtastic
+#
 begin
   require 'formtastic'
+  begin
+    require "formtastic/version"
+  rescue LoadError
+  end
 
-  if Formtastic.constants.include?(:VERSION)
-
+  if defined?(Formtastic::VERSION)
     #
-    # Formtastic 2.0
+    # Formtastic 2.x
     #
 
-
     module Formtastic
       module Inputs
         class AutocompleteInput
diff --git a/lib/rails3-jquery-autocomplete/version.rb b/lib/rails3-jquery-autocomplete/version.rb
index 05af73fe..79a1867a 100644
--- a/lib/rails3-jquery-autocomplete/version.rb
+++ b/lib/rails3-jquery-autocomplete/version.rb
@@ -1,3 +1,3 @@
 module Rails3JQueryAutocomplete
-  VERSION = '1.0.2'
+  VERSION = '1.0.4'
 end