Index: urllib.py
===================================================================
--- urllib.py	(revision 53602)
+++ urllib.py	(working copy)
@@ -1414,25 +1414,21 @@
         # '<local>' string by the localhost entry and the corresponding
         # canonical entry.
         proxyOverride = proxyOverride.split(';')
-        i = 0
-        while i < len(proxyOverride):
-            if proxyOverride[i] == '<local>':
-                proxyOverride[i:i+1] = ['localhost',
-                                        '127.0.0.1',
-                                        socket.gethostname(),
-                                        socket.gethostbyname(
-                                            socket.gethostname())]
-            i += 1
         # print proxyOverride
         # now check if we match one of the registry values.
         for test in proxyOverride:
-            test = test.replace(".", r"\.")     # mask dots
-            test = test.replace("*", r".*")     # change glob sequence
-            test = test.replace("?", r".")      # change glob char
-            for val in host:
-                # print "%s <--> %s" %( test, val )
-                if re.match(test, val, re.I):
+            test = test.strip()
+            if test == '<local>':
+                if "." not in rawHost:
                     return 1
+            else:
+                test = test.replace(".", r"\.")     # mask dots
+                test = test.replace("*", r".*")     # change glob sequence
+                test = test.replace("?", r".")      # change glob char
+                for val in host:
+                    # print "%s <--> %s" %( test, val )
+                    if re.match(test, val, re.I):
+                        return 1
         return 0
 
 else: