diff --git a/Makefile b/Makefile
index e201775f9f7..6240d8a6c4f 100644
--- a/Makefile
+++ b/Makefile
@@ -1,8 +1,8 @@
 VERSION_MAJOR 	   = 1
-VERSION_MINOR 	   = 4
+VERSION_MINOR 	   = 5
 PATCHLEVEL 	   = 0
 VERSION_RESERVED   = 0
-EXTRAVERSION       =
+EXTRAVERSION       = -rc4
 NAME 		   = Zephyr Kernel
 
 export SOURCE_DIR PROJECT MDEF_FILE