diff --git a/admin/settings/frontpage.php b/admin/settings/frontpage.php
index 052611b24b4..ac19592ffbb 100644
--- a/admin/settings/frontpage.php
+++ b/admin/settings/frontpage.php
@@ -80,6 +80,8 @@ if (!during_initial_install()) { //do not use during installation
                 'moodle/question:moveall');
         $ADMIN->add('frontpage', new admin_externalpage('frontpagequestions', get_string('frontpagequestions', 'admin'), $CFG->wwwroot.'/question/edit.php?courseid='.SITEID, $questioncapabilites, false, $frontpagecontext));
 
-        $ADMIN->add('frontpage', new admin_externalpage('sitefiles', get_string('sitefiles'), $CFG->wwwroot . '/files/index.php?id=' . SITEID, 'moodle/course:managefiles', false, $frontpagecontext));
+        if (!empty($SITE->legacyfiles) and $SITE->legacyfiles === 2) {
+            $ADMIN->add('frontpage', new admin_externalpage('sitefiles', get_string('sitelegacyfiles'), $CFG->wwwroot . '/files/index.php?id=' . SITEID, 'moodle/course:managefiles', false, $frontpagecontext));
+        }
     }
 }
diff --git a/lang/en/moodle.php b/lang/en/moodle.php
index e67234ee59e..81db826b92d 100644
--- a/lang/en/moodle.php
+++ b/lang/en/moodle.php
@@ -1508,6 +1508,7 @@ $string['siteerrors'] = 'Site errors';
 $string['sitefiles'] = 'Site files';
 $string['sitefilesused'] = 'Site files used in this course';
 $string['sitehome'] = 'Site home';
+$string['sitelegacyfiles'] = 'Legacy site files';
 $string['sitelogs'] = 'Site logs';
 $string['sitenews'] = 'Site news';
 $string['sitepages'] = 'Site pages';
diff --git a/lib/navigationlib.php b/lib/navigationlib.php
index 972be5c95cf..2f4cd1f3281 100644
--- a/lib/navigationlib.php
+++ b/lib/navigationlib.php
@@ -1625,7 +1625,7 @@ class global_navigation extends navigation_node {
 
             $userscourses = enrol_get_users_courses($user->id);
             $userscoursesnode = $usernode->add(get_string('courses'));
-            
+
             foreach ($userscourses as $usercourse) {
                 $usercoursecontext = get_context_instance(CONTEXT_COURSE, $usercourse->id);
                 $usercoursenode = $userscoursesnode->add($usercourse->shortname, new moodle_url('/user/view.php', array('id'=>$user->id, 'course'=>$usercourse->id)), self::TYPE_CONTAINER);
@@ -2790,8 +2790,9 @@ class settings_navigation extends navigation_node {
 
         // Manage files
         if ($course->legacyfiles == 2 and has_capability('moodle/course:managefiles', $coursecontext)) {
+            // hidden in new courses and courses where legacy files were turned off
             $url = new moodle_url('/files/index.php', array('contextid'=>$coursecontext->id, 'itemid'=>0, 'component' => 'course', 'filearea'=>'legacy'));
-            $coursenode->add(get_string('files'), $url, self::TYPE_SETTING, null, 'coursefiles', new pix_icon('i/files', ''));
+            $coursenode->add(get_string('courselegacyfiles'), $url, self::TYPE_SETTING, null, 'coursefiles', new pix_icon('i/files', ''));
         }
 
         // Switch roles
@@ -3445,10 +3446,10 @@ class settings_navigation extends navigation_node {
         }
 
         // Manage files
-        if (has_capability('moodle/course:managefiles', $this->context)) {
-            //TODO: hide in new installs
+        if ($course->legacyfiles == 2 and has_capability('moodle/course:managefiles', $this->context)) {
+            //hiden in new installs
             $url = new moodle_url('/files/index.php', array('contextid'=>$coursecontext->id, 'itemid'=>0, 'component' => 'course', 'filearea'=>'legacy'));
-            $frontpage->add(get_string('files'), $url, self::TYPE_SETTING, null, null, new pix_icon('i/files', ''));
+            $frontpage->add(get_string('sitelegacyfiles'), $url, self::TYPE_SETTING, null, null, new pix_icon('i/files', ''));
         }
         return $frontpage;
     }
diff --git a/version.php b/version.php
index 86508e7e6cd..a8aed59e3bc 100644
--- a/version.php
+++ b/version.php
@@ -6,7 +6,7 @@
 // This is compared against the values stored in the database to determine
 // whether upgrades should be performed (see lib/db/*.php)
 
-    $version = 2010072800;  // YYYYMMDD   = date of the last version bump
+    $version = 2010080200;  // YYYYMMDD   = date of the last version bump
                             //         XX = daily increments
 
     $release = '2.0 Preview 4+ (Build: 20100802)';  // Human-friendly version name