diff --git a/cros_generate_stateful_update_payload b/cros_generate_stateful_update_payload
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+cros_generate_stateful_update_payload.py
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diff --git a/cros_generate_stateful_update_payload.py b/cros_generate_stateful_update_payload.py
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+#!/usr/bin/python2.6
+
+# Copyright (c) 2010 The Chromium OS Authors. All rights reserved.
+# Use of this source code is governed by a BSD-style license that can be
+# found in the LICENSE file.
+
+"""This module is responsible for generate a stateful update payload."""
+
+import logging
+import optparse
+import os
+import subprocess
+import tempfile
+
+STATEFUL_FILE = 'stateful.tgz'
+
+
+def GenerateStatefulPayload(image_path, output_directory, logger):
+    """Generates a stateful update payload given a full path to an image.
+
+    Args:
+      image_path: Full path to the image.
+      output_directory: Path to the directory to leave the resulting output.
+      logger: logging instance.
+    """
+    logger.info('Generating stateful update file.')
+    from_dir = os.path.dirname(image_path)
+    image = os.path.basename(image_path)
+    output_gz = os.path.join(output_directory, STATEFUL_FILE)
+    crosutils_dir = os.path.dirname(__file__)
+
+    # Temporary directories for this function.
+    rootfs_dir = tempfile.mkdtemp(suffix='rootfs', prefix='tmp')
+    stateful_dir = tempfile.mkdtemp(suffix='stateful', prefix='tmp')
+
+    # Mount the image to pull out the important directories.
+    try:
+      # Only need stateful partition, but this saves us having to manage our
+      # own loopback device.
+      subprocess.check_call(['%s/mount_gpt_image.sh' % crosutils_dir,
+                             '--from=%s' % from_dir,
+                             '--image=%s' % image,
+                             '--read_only',
+                             '--rootfs_mountpt=%s' % rootfs_dir,
+                             '--stateful_mountpt=%s' % stateful_dir,
+                            ])
+      logger.info('Tarring up /usr/local and /var!')
+      subprocess.check_call(['sudo',
+                             'tar',
+                             '-czf',
+                             output_gz,
+                             '--directory=%s' % stateful_dir,
+                             '--transform=s,^dev_image,dev_image_new,',
+                             '--transform=s,^var,var_new,',
+                             'dev_image',
+                             'var',
+                            ])
+    except:
+      logger.error('Failed to create stateful update file')
+      raise
+    finally:
+      # Unmount best effort regardless.
+      subprocess.call(['%s/mount_gpt_image.sh' % crosutils_dir,
+                       '--unmount',
+                       '--rootfs_mountpt=%s' % rootfs_dir,
+                       '--stateful_mountpt=%s' % stateful_dir,
+                      ])
+      # Clean up our directories.
+      os.rmdir(rootfs_dir)
+      os.rmdir(stateful_dir)
+
+    logger.info('Successfully generated %s' % output_gz)
+
+
+def main():
+  logging.basicConfig(level=logging.INFO)
+  logger = logging.getLogger(os.path.basename(__file__))
+  parser = optparse.OptionParser()
+  parser.add_option('-i', '--image_path',
+      help='The image to generate the stateful update for.')
+  parser.add_option('-o', '--output_dir',
+      help='The path to the directory to output the update file.')
+  options, unused_args = parser.parse_args()
+  if not options.image_path:
+    parser.error('Missing image for stateful payload generator')
+  if not options.output_dir:
+    parser.error('Missing output directory for the payload generator')
+
+  GenerateStatefulPayload(os.path.abspath(options.image_path),
+                          options.output_dir, logger)
+
+
+if __name__ == '__main__':
+  main()