diff --git a/java/idea-ui/src/com/intellij/openapi/roots/ui/configuration/artifacts/LayoutTreeComponent.java b/java/idea-ui/src/com/intellij/openapi/roots/ui/configuration/artifacts/LayoutTreeComponent.java
index 2e6930ece00d..e7941f3069f9 100644
--- a/java/idea-ui/src/com/intellij/openapi/roots/ui/configuration/artifacts/LayoutTreeComponent.java
+++ b/java/idea-ui/src/com/intellij/openapi/roots/ui/configuration/artifacts/LayoutTreeComponent.java
@@ -47,6 +47,7 @@ import com.intellij.ui.treeStructure.SimpleTreeStructure;
 import com.intellij.ui.treeStructure.WeightBasedComparator;
 import com.intellij.util.ArrayUtil;
 import com.intellij.util.containers.ContainerUtil;
+import com.intellij.util.io.URLUtil;
 import com.intellij.util.ui.JBUI;
 import com.intellij.util.ui.tree.TreeUtil;
 import org.jetbrains.annotations.NonNls;
@@ -540,9 +541,15 @@ public class LayoutTreeComponent implements DnDTarget, Disposable {
         for (PackagingSourceItem item : items) {
           final String path = artifactType.getDefaultPathFor(item);
           if (path != null) {
-            final CompositePackagingElement<?> directory = PackagingElementFactory.getInstance().getOrCreateDirectory(rootElement, path);
+            final CompositePackagingElement<?> parent;
+            if (path.endsWith(URLUtil.JAR_SEPARATOR)) {
+              parent = PackagingElementFactory.getInstance().getOrCreateArchive(rootElement, StringUtil.trimEnd(path, URLUtil.JAR_SEPARATOR));
+            }
+            else {
+              parent = PackagingElementFactory.getInstance().getOrCreateDirectory(rootElement, path);
+            }
             final List<? extends PackagingElement<?>> elements = item.createElements(myContext);
-            toSelect.addAll(directory.addOrFindChildren(elements));
+            toSelect.addAll(parent.addOrFindChildren(elements));
           }
         }
       }