diff -rup rsync-3.0.7/generator.c rsync-3.0.7.new/generator.c
--- rsync-3.0.7/generator.c	2010-12-26 17:39:55.896647045 -0500
+++ rsync-3.0.7.new/generator.c	2010-12-26 17:24:37.351867543 -0500
@@ -1841,7 +1841,7 @@ static void recv_generator(char *fname, 
 		goto notify_others;
 
 	if (read_batch || whole_file) {
-		if (inplace && make_backups > 0 && fnamecmp_type == FNAMECMP_FNAME) {
+		if (inplace && make_backups > 1 && fnamecmp_type == FNAMECMP_FNAME) {
 			if (!(backupptr = get_backup_name(fname)))
 				goto cleanup;
 			if (!(back_file = make_file(fname, NULL, NULL, 0, NO_FILTERS)))
@@ -1877,7 +1877,7 @@ static void recv_generator(char *fname, 
 		goto notify_others;
 	}
 
-	if (inplace && make_backups > 0 && fnamecmp_type == FNAMECMP_FNAME) {
+	if (inplace && make_backups > 1 && fnamecmp_type == FNAMECMP_FNAME) {
 		if (!(backupptr = get_backup_name(fname))) {
 			close(fd);
 			goto cleanup;
diff -rup rsync-3.0.7/hlink.c rsync-3.0.7.new/hlink.c
--- rsync-3.0.7/hlink.c	2009-12-12 20:22:55.000000000 -0500
+++ rsync-3.0.7.new/hlink.c	2010-12-26 17:25:18.683140222 -0500
@@ -222,7 +222,7 @@ static int maybe_hard_link(struct file_s
 			file->flags |= FLAG_HLINK_DONE;
 			return 0;
 		}
-		if (make_backups > 0) {
+		if (make_backups > 1) {
 			if (!make_backup(fname))
 				return -1;
 		} else if (robust_unlink(fname)) {
diff -rup rsync-3.0.7/options.c rsync-3.0.7.new/options.c
--- rsync-3.0.7/options.c	2010-12-26 17:39:55.897647028 -0500
+++ rsync-3.0.7.new/options.c	2010-12-26 17:37:40.917032945 -0500
@@ -324,6 +324,7 @@ void usage(enum logcode F)
   rprintf(F," -R, --relative              use relative path names\n");
   rprintf(F,"     --no-implied-dirs       don't send implied dirs with --relative\n");
   rprintf(F," -b, --backup                make backups (see --suffix & --backup-dir)\n");
+  rprintf(F,"     --backup-deleted        make backups only of deleted files (see --suffix & --backup-dir)\n");
   rprintf(F,"     --backup-dir=DIR        make backups into hierarchy based in DIR\n");
   rprintf(F,"     --suffix=SUFFIX         set backup suffix (default %s w/o --backup-dir)\n",BACKUP_SUFFIX);
   rprintf(F," -u, --update                skip files that are newer on the receiver\n");
@@ -609,7 +610,8 @@ static struct poptOption long_options[] 
   {"no-i",             0,  POPT_ARG_VAL,    &itemize_changes, 0, 0, 0 },
   {"bwlimit",          0,  POPT_ARG_INT,    &bwlimit, 0, 0, 0 },
   {"no-bwlimit",       0,  POPT_ARG_VAL,    &bwlimit, 0, 0, 0 },
-  {"backup",          'b', POPT_ARG_VAL,    &make_backups, 1, 0, 0 },
+  {"backup",          'b', POPT_ARG_VAL,    &make_backups, 2, 0, 0 },
+  {"backup-deleted",   0,  POPT_ARG_VAL,    &make_backups, 1, 0, 0 },
   {"no-backup",        0,  POPT_ARG_VAL,    &make_backups, 0, 0, 0 },
   {"backup-dir",       0,  POPT_ARG_STRING, &backup_dir, 0, 0, 0 },
   {"suffix",           0,  POPT_ARG_STRING, &backup_suffix, 0, 0, 0 },
@@ -1738,8 +1740,11 @@ void server_options(char **args, int *ar
 		argstr[x++] = 'v';
 
 	/* the -q option is intentionally left out */
-	if (make_backups)
+	if (make_backups > 1)
 		argstr[x++] = 'b';
+	else if (make_backups)
+		/* XXX Protocol incompatibility! */
+		args[ac++] = "--backup-deleted";
 	if (update_only)
 		argstr[x++] = 'u';
 	if (!do_xfers) /* Note: NOT "dry_run"! */
diff -rup rsync-3.0.7/receiver.c rsync-3.0.7.new/receiver.c
--- rsync-3.0.7/receiver.c	2009-04-12 15:48:59.000000000 -0400
+++ rsync-3.0.7.new/receiver.c	2010-12-26 17:36:28.464313455 -0500
@@ -330,7 +330,7 @@ static void handle_delayed_updates(char 
 		struct file_struct *file = cur_flist->files[ndx];
 		fname = local_name ? local_name : f_name(file, NULL);
 		if ((partialptr = partial_dir_fname(fname)) != NULL) {
-			if (make_backups > 0 && !make_backup(fname))
+			if (make_backups > 1 && !make_backup(fname))
 				continue;
 			if (verbose > 2) {
 				rprintf(FINFO, "renaming %s to %s\n",
@@ -606,7 +606,7 @@ int recv_files(int f_in, char *local_nam
 		} else {
 			/* Reminder: --inplace && --partial-dir are never
 			 * enabled at the same time. */
-			if (inplace && make_backups > 0) {
+			if (inplace && make_backups > 1) {
 				if (!(fnamecmp = get_backup_name(fname)))
 					fnamecmp = fname;
 				else
diff -rup rsync-3.0.7/rsync.1 rsync-3.0.7.new/rsync.1
--- rsync-3.0.7/rsync.1	2009-12-31 16:18:50.000000000 -0500
+++ rsync-3.0.7.new/rsync.1	2010-12-26 17:44:59.966270941 -0500
@@ -402,6 +402,7 @@ to the detailed description below for a 
  \-R, \-\-relative              use relative path names
      \-\-no\-implied\-dirs       don'\&t send implied dirs with \-\-relative
  \-b, \-\-backup                make backups (see \-\-suffix & \-\-backup\-dir)
+     \-\-backup-deleted        make backups only of deleted files (see \-\-suffix & \-\-backup-dir)
      \-\-backup\-dir=DIR        make backups into hierarchy based in DIR
      \-\-suffix=SUFFIX         backup suffix (default ~ w/o \-\-backup\-dir)
  \-u, \-\-update                skip files that are newer on the receiver
@@ -791,6 +792,11 @@ in the list so that it has a high enough
 your rules specify a trailing inclusion/exclusion of \(cq\&*\(cq\&, the auto-added
 rule would never be reached).
 .IP 
+.IP "\fB\-\-backup\-deleted\fP"
+With this option, deleted destination files are renamed, while
+modified destination files are not. Otherwise, this option behaves the
+same as \fB\-\-backup\fP, described above.
+.IP
 .IP "\fB\-\-backup\-dir=DIR\fP"
 In combination with the \fB\-\-backup\fP option, this
 tells rsync to store all backups in the specified directory on the receiving
diff -rup rsync-3.0.7/rsync.c rsync-3.0.7.new/rsync.c
--- rsync-3.0.7/rsync.c	2010-12-26 17:39:55.897647028 -0500
+++ rsync-3.0.7.new/rsync.c	2010-12-26 17:37:01.211734700 -0500
@@ -565,7 +565,7 @@ int finish_transfer(const char *fname, c
 		goto do_set_file_attrs;
 	}
 
-	if (make_backups > 0 && overwriting_basis) {
+	if (make_backups > 1 && overwriting_basis) {
 		if (!make_backup(fname))
 			return 1;
 		if (fnamecmp == fname)