diff --git a/openstack/common/log.py b/openstack/common/log.py
index 9e0ad7e76..8a368a1aa 100644
--- a/openstack/common/log.py
+++ b/openstack/common/log.py
@@ -66,13 +66,13 @@ log_opts = [
                help='prefix each line of exception output with this format'),
     cfg.ListOpt('default_log_levels',
                 default=[
-                  'amqplib=WARN',
-                  'sqlalchemy=WARN',
-                  'boto=WARN',
-                  'suds=INFO',
-                  'keystone=INFO',
-                  'eventlet.wsgi.server=WARN'
-                  ],
+                    'amqplib=WARN',
+                    'sqlalchemy=WARN',
+                    'boto=WARN',
+                    'suds=INFO',
+                    'keystone=INFO',
+                    'eventlet.wsgi.server=WARN'
+                ],
                 help='list of logger=LEVEL pairs'),
     cfg.BoolOpt('publish_errors',
                 default=False,
@@ -89,7 +89,7 @@ log_opts = [
                default='[instance: %(uuid)s] ',
                help='If an instance UUID is passed with the log message, '
                     'format it like this'),
-    ]
+]
 
 
 generic_log_opts = [
@@ -105,7 +105,7 @@ generic_log_opts = [
     cfg.StrOpt('logfile_mode',
                default='0644',
                help='Default file mode used when creating log files'),
-    ]
+]
 
 
 CONF = cfg.CONF
@@ -208,9 +208,9 @@ class JSONFormatter(logging.Formatter):
     def formatException(self, ei, strip_newlines=True):
         lines = traceback.format_exception(*ei)
         if strip_newlines:
-            lines = [itertools.ifilter(lambda x: x,
-                                      line.rstrip().splitlines())
-                    for line in lines]
+            lines = [itertools.ifilter(
+                lambda x: x,
+                line.rstrip().splitlines()) for line in lines]
             lines = list(itertools.chain(*lines))
         return lines
 
@@ -252,9 +252,9 @@ class PublishErrorsHandler(logging.Handler):
                 CONF.list_notifier_drivers):
                 return
         notifier.api.notify(None, 'error.publisher',
-                                 'error_notification',
-                                 notifier.api.ERROR,
-                                 dict(error=record.msg))
+                            'error_notification',
+                            notifier.api.ERROR,
+                            dict(error=record.msg))
 
 
 def handle_exception(type, value, tb):
diff --git a/openstack/common/notifier/api.py b/openstack/common/notifier/api.py
index f01d11e3d..e699620a5 100644
--- a/openstack/common/notifier/api.py
+++ b/openstack/common/notifier/api.py
@@ -37,7 +37,7 @@ notifier_opts = [
     cfg.StrOpt('default_publisher_id',
                default='$host',
                help='Default publisher_id for outgoing notifications'),
-    ]
+]
 
 CONF = cfg.CONF
 CONF.register_opts(notifier_opts)
@@ -122,21 +122,21 @@ def notify(context, publisher_id, event_type, priority, payload):
     """
     if priority not in log_levels:
         raise BadPriorityException(
-                 _('%s not in valid priorities') % priority)
+            _('%s not in valid priorities') % priority)
 
     # Ensure everything is JSON serializable.
     payload = jsonutils.to_primitive(payload, convert_instances=True)
 
     driver = importutils.import_module(CONF.notification_driver)
     msg = dict(message_id=str(uuid.uuid4()),
-                   publisher_id=publisher_id,
-                   event_type=event_type,
-                   priority=priority,
-                   payload=payload,
-                   timestamp=str(timeutils.utcnow()))
+               publisher_id=publisher_id,
+               event_type=event_type,
+               priority=priority,
+               payload=payload,
+               timestamp=str(timeutils.utcnow()))
     try:
         driver.notify(context, msg)
     except Exception, e:
         LOG.exception(_("Problem '%(e)s' attempting to "
                         "send to notification system. Payload=%(payload)s") %
-                        locals())
+                      locals())
diff --git a/openstack/common/notifier/list_notifier.py b/openstack/common/notifier/list_notifier.py
index 41549df18..15ae470fe 100644
--- a/openstack/common/notifier/list_notifier.py
+++ b/openstack/common/notifier/list_notifier.py
@@ -19,9 +19,10 @@ from openstack.common import importutils
 from openstack.common import log as logging
 
 
-list_notifier_drivers_opt = cfg.MultiStrOpt('list_notifier_drivers',
-        default=['openstack.common.notifier.no_op_notifier'],
-        help='List of drivers to send notifications')
+list_notifier_drivers_opt = cfg.MultiStrOpt(
+    'list_notifier_drivers',
+    default=['openstack.common.notifier.no_op_notifier'],
+    help='List of drivers to send notifications')
 
 CONF = cfg.CONF
 CONF.register_opt(list_notifier_drivers_opt)
diff --git a/openstack/common/notifier/log_notifier.py b/openstack/common/notifier/log_notifier.py
index 9ef311884..b333d7a90 100644
--- a/openstack/common/notifier/log_notifier.py
+++ b/openstack/common/notifier/log_notifier.py
@@ -30,6 +30,6 @@ def notify(_context, message):
                            CONF.default_notification_level)
     priority = priority.lower()
     logger = logging.getLogger(
-            'openstack.common.notification.%s' %
-            message['event_type'])
+        'openstack.common.notification.%s' %
+        message['event_type'])
     getattr(logger, priority)(jsonutils.dumps(message))
diff --git a/openstack/common/notifier/rabbit_notifier.py b/openstack/common/notifier/rabbit_notifier.py
index 69ca8bd1f..3a2ffee1e 100644
--- a/openstack/common/notifier/rabbit_notifier.py
+++ b/openstack/common/notifier/rabbit_notifier.py
@@ -22,9 +22,9 @@ from openstack.common import rpc
 
 LOG = logging.getLogger(__name__)
 
-notification_topic_opt = cfg.ListOpt('notification_topics',
-        default=['notifications', ],
-        help='AMQP topic used for openstack notifications')
+notification_topic_opt = cfg.ListOpt(
+    'notification_topics', default=['notifications', ],
+    help='AMQP topic used for openstack notifications')
 
 CONF = cfg.CONF
 CONF.register_opt(notification_topic_opt)
diff --git a/openstack/common/rpc/impl_zmq.py b/openstack/common/rpc/impl_zmq.py
index ba54cfa3f..44381550b 100644
--- a/openstack/common/rpc/impl_zmq.py
+++ b/openstack/common/rpc/impl_zmq.py
@@ -52,7 +52,7 @@ zmq_opts = [
         default=('openstack.common.rpc.'
                  'matchmaker.MatchMakerLocalhost'),
         help='MatchMaker driver',
-        ),
+    ),
 
     # The following port is unassigned by IANA as of 2012-05-21
     cfg.IntOpt('rpc_zmq_port', default=9501,
diff --git a/openstack/common/version.py b/openstack/common/version.py
index ca350ed9a..86de0c604 100644
--- a/openstack/common/version.py
+++ b/openstack/common/version.py
@@ -107,7 +107,7 @@ class VersionInfo(object):
             versioninfo = "%s/versioninfo" % self.package
             try:
                 raw_version = pkg_resources.resource_string(requirement,
-                                                             versioninfo)
+                                                            versioninfo)
                 self.version = self._newer_version(raw_version.strip())
             except (IOError, pkg_resources.DistributionNotFound):
                 self.version = self._generate_version()
diff --git a/setup.py b/setup.py
index 76161fb10..e6ae7ee53 100644
--- a/setup.py
+++ b/setup.py
@@ -22,32 +22,33 @@ from openstack.common import setup
 requires = setup.parse_requirements()
 depend_links = setup.parse_dependency_links()
 
-setuptools.setup(name='openstack.common',
-      version=setup.get_post_version('openstack'),
-      description="Common components for Openstack",
-      long_description="Common components for Openstack "
-                       "including paster templates.",
-      classifiers=[
-          'Development Status :: 4 - Beta',
-          'License :: OSI Approved :: Apache Software License',
-          'Operating System :: POSIX :: Linux',
-          'Programming Language :: Python :: 2.6',
-          'Environment :: No Input/Output (Daemon)', ],
-      keywords='openstack',
-      author='OpenStack',
-      author_email='openstack@lists.launchpad.net',
-      url='http://www.openstack.org/',
-      license='Apache Software License',
-      packages=setuptools.find_packages(exclude=['ez_setup',
-                                                 'examples', 'tests']),
-      include_package_data=True,
-      cmdclass=setup.get_cmdclass(),
-      zip_safe=True,
-      install_requires=requires,
-      dependency_links=depend_links,
-      setup_requires=['setuptools-git>=0.4'],
-      entry_points="""
+setuptools.setup(
+    name='openstack.common',
+    version=setup.get_post_version('openstack'),
+    description="Common components for Openstack",
+    long_description="Common components for Openstack "
+                     "including paster templates.",
+    classifiers=[
+        'Development Status :: 4 - Beta',
+        'License :: OSI Approved :: Apache Software License',
+        'Operating System :: POSIX :: Linux',
+        'Programming Language :: Python :: 2.6',
+        'Environment :: No Input/Output (Daemon)', ],
+    keywords='openstack',
+    author='OpenStack',
+    author_email='openstack@lists.launchpad.net',
+    url='http://www.openstack.org/',
+    license='Apache Software License',
+    packages=setuptools.find_packages(exclude=['ez_setup',
+                                               'examples', 'tests']),
+    include_package_data=True,
+    cmdclass=setup.get_cmdclass(),
+    zip_safe=True,
+    install_requires=requires,
+    dependency_links=depend_links,
+    setup_requires=['setuptools-git>=0.4'],
+    entry_points="""
       # -*- Entry points: -*-
       """,
-      namespace_packages=['openstack'],
-      )
+    namespace_packages=['openstack'],
+)
diff --git a/tests/unit/notifier/test_list_notifier.py b/tests/unit/notifier/test_list_notifier.py
index 5708a4304..c4410675c 100644
--- a/tests/unit/notifier/test_list_notifier.py
+++ b/tests/unit/notifier/test_list_notifier.py
@@ -42,7 +42,7 @@ class NotifierListTestCase(test_utils.BaseTestCase):
 
         self.exception_count = 0
         list_notifier_log = logging.getLogger(
-                            'openstack.common.notifier.list_notifier')
+            'openstack.common.notifier.list_notifier')
         self.stubs.Set(list_notifier_log, "exception", mock_exception)
         # Mock no_op notifier to add one to notify_count when called.
 
@@ -65,11 +65,11 @@ class NotifierListTestCase(test_utils.BaseTestCase):
     def test_send_notifications_successfully(self):
         self.config(notification_driver='openstack.common.'
                                         'notifier.list_notifier',
-                   list_notifier_drivers=[
-                       'openstack.common.notifier.no_op_notifier',
-                       'openstack.common.notifier.no_op_notifier'])
+                    list_notifier_drivers=[
+                        'openstack.common.notifier.no_op_notifier',
+                        'openstack.common.notifier.no_op_notifier'])
         api.notify('contextarg', 'publisher_id', 'event_type',
-                api.WARN, dict(a=3))
+                   api.WARN, dict(a=3))
         self.assertEqual(self.notify_count, 2)
         self.assertEqual(self.exception_count, 0)
 
@@ -77,23 +77,23 @@ class NotifierListTestCase(test_utils.BaseTestCase):
 
         self.config(notification_driver='openstack.common.'
                                         'notifier.list_notifier',
-                   list_notifier_drivers=[
-                       'openstack.common.notifier.no_op_notifier',
-                       'openstack.common.notifier.log_notifier'])
+                    list_notifier_drivers=[
+                        'openstack.common.notifier.no_op_notifier',
+                        'openstack.common.notifier.log_notifier'])
         api.notify('contextarg', 'publisher_id',
-                'event_type', api.WARN, dict(a=3))
+                   'event_type', api.WARN, dict(a=3))
         self.assertEqual(self.notify_count, 1)
         self.assertEqual(self.exception_count, 1)
 
     def test_when_driver_fails_to_import(self):
         self.config(notification_driver='openstack.common.'
                                         'notifier.list_notifier',
-                   list_notifier_drivers=[
-                       'openstack.common.notifier.no_op_notifier',
-                       'openstack.common.notifier.logo_notifier',
-                       'fdsjgsdfhjkhgsfkj'])
+                    list_notifier_drivers=[
+                        'openstack.common.notifier.no_op_notifier',
+                        'openstack.common.notifier.logo_notifier',
+                        'fdsjgsdfhjkhgsfkj'])
         api.notify('contextarg', 'publisher_id',
-                'event_type', api.WARN, dict(a=3))
+                   'event_type', api.WARN, dict(a=3))
         self.assertEqual(self.exception_count, 2)
         self.assertEqual(self.notify_count, 1)
 
@@ -101,12 +101,12 @@ class NotifierListTestCase(test_utils.BaseTestCase):
         self.notifier_object = SimpleNotifier()
         self.config(notification_driver='openstack.common.'
                                         'notifier.list_notifier',
-                   list_notifier_drivers=[
-                       'openstack.common.notifier.no_op_notifier'])
+                    list_notifier_drivers=[
+                        'openstack.common.notifier.no_op_notifier'])
 
         list_notifier.add_driver(self.notifier_object)
         api.notify(None, 'publisher_id', 'event_type',
-                api.WARN, dict(a=3))
+                   api.WARN, dict(a=3))
         self.assertEqual(self.notify_count, 1)
         self.assertTrue(self.notifier_object.notified)
 
@@ -114,22 +114,22 @@ class NotifierListTestCase(test_utils.BaseTestCase):
         list_notifier.remove_driver(self.notifier_object)
 
         api.notify(None, 'publisher_id', 'event_type',
-                api.WARN, dict(a=3))
+                   api.WARN, dict(a=3))
         self.assertEqual(self.notify_count, 2)
         self.assertFalse(self.notifier_object.notified)
 
     def test_adding_and_removing_notifier_module(self):
         self.config(notification_driver='openstack.common.'
                                         'notifier.list_notifier',
-                   list_notifier_drivers=[])
+                    list_notifier_drivers=[])
 
         list_notifier.add_driver('openstack.common.notifier.no_op_notifier')
         api.notify(None, 'publisher_id', 'event_type',
-                api.WARN, dict(a=3))
+                   api.WARN, dict(a=3))
         self.assertEqual(self.notify_count, 1)
 
         list_notifier.remove_driver('openstack.common.notifier.no_op_notifier')
 
         api.notify(None, 'publisher_id', 'event_type',
-                api.WARN, dict(a=3))
+                   api.WARN, dict(a=3))
         self.assertEqual(self.notify_count, 1)
diff --git a/tests/unit/plugin/test_callback_plugin.py b/tests/unit/plugin/test_callback_plugin.py
index a9503920d..c747ec80a 100644
--- a/tests/unit/plugin/test_callback_plugin.py
+++ b/tests/unit/plugin/test_callback_plugin.py
@@ -59,7 +59,7 @@ class CallbackTestCase(test_utils.BaseTestCase):
             return [MockEntrypoint("fake", "fake", ["fake"])]
 
         self.stubs.Set(pkg_resources, 'iter_entry_points',
-                mock_iter_entry_points)
+                       mock_iter_entry_points)
 
         plugmgr = pluginmanager.PluginManager("testproject", "testservice")
         plugmgr.load_plugins()
diff --git a/tests/unit/test_importutils.py b/tests/unit/test_importutils.py
index c41f13bda..4c9ff73a6 100644
--- a/tests/unit/test_importutils.py
+++ b/tests/unit/test_importutils.py
@@ -65,7 +65,7 @@ class ImportUtilsTest(unittest.TestCase):
 
     def test_import_object_ns_optional_arg_present(self):
         obj = importutils.import_object_ns('tests.unit', 'fake.FakeDriver',
-                                        first_arg=False)
+                                           first_arg=False)
         self.assertTrue(obj.__class__.__name__, 'FakeDriver')
 
     def test_import_object_ns_required_arg_not_present(self):
@@ -75,7 +75,7 @@ class ImportUtilsTest(unittest.TestCase):
 
     def test_import_object_ns_required_arg_present(self):
         obj = importutils.import_object_ns('tests.unit', 'fake.FakeDriver2',
-                                        first_arg=False)
+                                           first_arg=False)
         self.assertTrue(obj.__class__.__name__, 'FakeDriver2')
 
     # namespace tests
diff --git a/tests/unit/test_log.py b/tests/unit/test_log.py
index 8eaffca12..83c318f0d 100644
--- a/tests/unit/test_log.py
+++ b/tests/unit/test_log.py
@@ -59,12 +59,12 @@ class LogHandlerTestCase(test_utils.BaseTestCase):
     def test_log_path_logdir(self):
         self.config(logdir='/some/path', logfile=None)
         self.assertEquals(log._get_log_file_path(binary='foo-bar'),
-                         '/some/path/foo-bar.log')
+                          '/some/path/foo-bar.log')
 
     def test_log_path_logfile(self):
         self.config(logfile='/some/path/foo-bar.log')
         self.assertEquals(log._get_log_file_path(binary='foo-bar'),
-                         '/some/path/foo-bar.log')
+                          '/some/path/foo-bar.log')
 
     def test_log_path_none(self):
         self.config(logdir=None, logfile=None)
@@ -72,9 +72,9 @@ class LogHandlerTestCase(test_utils.BaseTestCase):
 
     def test_log_path_logfile_overrides_logdir(self):
         self.config(logdir='/some/other/path',
-                   logfile='/some/path/foo-bar.log')
+                    logfile='/some/path/foo-bar.log')
         self.assertEquals(log._get_log_file_path(binary='foo-bar'),
-                         '/some/path/foo-bar.log')
+                          '/some/path/foo-bar.log')
 
 
 class PublishErrorsHandlerTestCase(test_utils.BaseTestCase):
@@ -117,7 +117,7 @@ class LoggerTestCase(test_utils.BaseTestCase):
         levels = CONF.default_log_levels
         levels.append("nova-test=AUDIT")
         self.config(default_log_levels=levels,
-                   verbose=True)
+                    verbose=True)
         log.setup('testing')
         self.log = log.getLogger('nova-test')
 
diff --git a/tests/unit/test_notifier.py b/tests/unit/test_notifier.py
index 4e1c8129c..0ffc35c57 100644
--- a/tests/unit/test_notifier.py
+++ b/tests/unit/test_notifier.py
@@ -42,7 +42,7 @@ class NotifierTestCase(test_utils.BaseTestCase):
             self.notify_called = True
 
         self.stubs.Set(no_op_notifier, 'notify',
-                mock_notify)
+                       mock_notify)
 
         notifier_api.notify(ctxt, 'publisher_id', 'event_type',
                             notifier_api.WARN, dict(a=3))
@@ -64,13 +64,13 @@ class NotifierTestCase(test_utils.BaseTestCase):
             self.assertEqual(context, ctxt)
 
         self.stubs.Set(no_op_notifier, 'notify',
-                message_assert)
+                       message_assert)
         notifier_api.notify(ctxt, 'publisher_id', 'event_type',
                             notifier_api.WARN, dict(a=3))
 
     def test_send_rabbit_notification(self):
         self.stubs.Set(cfg.CONF, 'notification_driver',
-                'openstack.common.notifier.rabbit_notifier')
+                       'openstack.common.notifier.rabbit_notifier')
         self.mock_notify = False
 
         def mock_notify(cls, *args):
@@ -84,12 +84,12 @@ class NotifierTestCase(test_utils.BaseTestCase):
 
     def test_invalid_priority(self):
         self.assertRaises(notifier_api.BadPriorityException,
-                notifier_api.notify, ctxt, 'publisher_id',
-                'event_type', 'not a priority', dict(a=3))
+                          notifier_api.notify, ctxt, 'publisher_id',
+                          'event_type', 'not a priority', dict(a=3))
 
     def test_rabbit_priority_queue(self):
         self.stubs.Set(cfg.CONF, 'notification_driver',
-                'openstack.common.notifier.rabbit_notifier')
+                       'openstack.common.notifier.rabbit_notifier')
         self.stubs.Set(cfg.CONF, 'notification_topics',
                        ['testnotify', ])
 
@@ -105,7 +105,7 @@ class NotifierTestCase(test_utils.BaseTestCase):
 
     def test_error_notification(self):
         self.stubs.Set(cfg.CONF, 'notification_driver',
-            'openstack.common.notifier.rabbit_notifier')
+                       'openstack.common.notifier.rabbit_notifier')
         self.stubs.Set(cfg.CONF, 'publish_errors', True)
         LOG = log.getLogger('common')
         log.setup(None)
@@ -129,14 +129,14 @@ class NotifierTestCase(test_utils.BaseTestCase):
             return arg1 + arg2
 
         example_api = notifier_api.notify_decorator(
-                            'example_api',
-                             example_api)
+            'example_api',
+            example_api)
 
         def mock_notify(cls, *args):
             self.notify_called = True
 
         self.stubs.Set(no_op_notifier, 'notify',
-                mock_notify)
+                       mock_notify)
 
         self.assertEqual(3, example_api(1, 2))
         self.assertEqual(self.notify_called, True)
@@ -153,19 +153,19 @@ class NotifierTestCase(test_utils.BaseTestCase):
             return arg1 + arg2
 
         example_api = notifier_api.notify_decorator(
-                            'example_api',
-                             example_api)
+            'example_api',
+            example_api)
 
         example_api2 = notifier_api.notify_decorator(
-                             'example_api2',
-                              example_api2)
+            'example_api2',
+            example_api2)
 
         def mock_notify(context, cls, _type, _priority, _payload):
             self.notify_called = True
             self.context_arg = context
 
         self.stubs.Set(notifier_api, 'notify',
-                mock_notify)
+                       mock_notify)
 
         # Test positional context
         self.assertEqual(3, example_api(1, 2, ctxt))
diff --git a/tests/unit/test_plugin.py b/tests/unit/test_plugin.py
index 01665ba60..31f2e7a7b 100644
--- a/tests/unit/test_plugin.py
+++ b/tests/unit/test_plugin.py
@@ -57,7 +57,7 @@ class NotifyTestCase(test_utils.BaseTestCase):
         # Set up a 'normal' notifier to make sure the plugin logic
         #  doesn't mess anything up.
         self.stubs.Set(cfg.CONF, 'notification_driver',
-                SimplerNotifier())
+                       SimplerNotifier())
         global simpler_notify_called
         simpler_notify_called = False
 
@@ -82,7 +82,7 @@ class NotifyTestCase(test_utils.BaseTestCase):
             return [MockEntrypoint("fake", "fake", ["fake"])]
 
         self.stubs.Set(pkg_resources, 'iter_entry_points',
-                mock_iter_entry_points)
+                       mock_iter_entry_points)
 
         plugmgr = pluginmanager.PluginManager("testproject", "testservice")
         plugmgr.load_plugins()
@@ -141,7 +141,7 @@ class APITestCase(test_utils.BaseTestCase):
             return [MockEntrypoint("fake", "fake", ["fake"])]
 
         self.stubs.Set(pkg_resources, 'iter_entry_points',
-                mock_iter_entry_points)
+                       mock_iter_entry_points)
 
         stubLoaded = False
 
diff --git a/tox.ini b/tox.ini
index 6437a5cdf..8753533f7 100644
--- a/tox.ini
+++ b/tox.ini
@@ -16,7 +16,7 @@ commands = nosetests {posargs}
 
 [testenv:pep8]
 deps = pep8==1.1
-commands = pep8 --repeat --show-source --exclude=.venv,.tox,dist,doc,*.egg .
+commands = pep8 --repeat --show-source --ignore=E125 --exclude=.venv,.tox,dist,doc,*.egg .
 
 [testenv:cover]
 setenv = NOSE_WITH_COVERAGE=1
diff --git a/update.py b/update.py
index 724794fcf..849c183d2 100644
--- a/update.py
+++ b/update.py
@@ -78,7 +78,7 @@ opts = [
     cfg.StrOpt('dest-dir',
                default=None,
                help='Destination project directory'),
-    ]
+]
 
 
 def _parse_args(argv):