diff --git a/examples/example-vfs/example-vfs.iml b/examples/example-vfs/example-vfs.iml
index 37bed8abc1d..7aa1084e983 100644
--- a/examples/example-vfs/example-vfs.iml
+++ b/examples/example-vfs/example-vfs.iml
@@ -4,8 +4,9 @@
     <exclude-output />
     <content url="file://$MODULE_DIR$">
       <sourceFolder url="file://$MODULE_DIR$/src" isTestSource="false" />
+      <excludeFolder url="file://$MODULE_DIR$/out" />
     </content>
-    <orderEntry type="jdk" jdkName="1.6" jdkType="JavaSDK" />
+    <orderEntry type="inheritedJdk" />
     <orderEntry type="sourceFolder" forTests="false" />
     <orderEntry type="module" module-name="stdlib" />
   </component>