diff --git a/CHANGELOG.md b/CHANGELOG.md
index 955e2fe..5703ff0 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -10,9 +10,9 @@ This project tries to adhere to [Semantic Versioning](http://semver.org/).
   work tree status.  This adds a bit if parsing complexity, but should be the
   absolute most robust long term way to read things, and should enhance cross
   platform support in the future.
-- TODO: Use `TAB` as IFS character for file-list instead of `|`. This should
-  still be understandable by most shells but significantly less likely to appear
-  in a filename.
+- Use `TAB` as IFS character for file-list instead of `|`. This should still be
+  understandable by most shells but significantly less likely to appear in a
+  filename.
 
 ## 0.0.1 - 2014-03-04
 First "ready for daily usage" internal alpha version.
diff --git a/commands/inits/data/status_shortcuts.sh b/commands/inits/data/status_shortcuts.sh
index 5c7d2d3..d22f6e9 100644
--- a/commands/inits/data/status_shortcuts.sh
+++ b/commands/inits/data/status_shortcuts.sh
@@ -21,7 +21,7 @@ scmpuff_status() {
 
   # Export numbered env variables for each file
   scmpuff_clear_vars
-  IFS="|"
+  IFS=$'\t'
   local e=1
   for file in $files; do
     export $scmpuff_env_char$e="$file"
diff --git a/commands/status/statuslist.go b/commands/status/statuslist.go
index f73f92f..e45989c 100644
--- a/commands/status/statuslist.go
+++ b/commands/status/statuslist.go
@@ -141,17 +141,17 @@ func (sl StatusList) printStatus(includeParseData, includeStatusOutput bool) {
 	b.Flush()
 }
 
-// - machine readable string for env var parsing of file list
-// - same format that smb_breeze uses (but without preceding @@FILES thing that
-//   creates extra shell parsing mess)
-// - needs to be returned in same order that file lists are outputted to screen,
-//   otherwise env vars won't match UI.
+// Machine readable string for environment variable parsing of file list in
+// the scmpuff_status() shell script.
+//
+// Needs to be returned in same order that file lists are outputted to screen,
+// otherwise env vars won't match UI.
 func (sl StatusList) dataForParsing() string {
 	items := make([]string, sl.numItems())
 	for i, si := range sl.orderedItems() {
 		items[i] = si.fileAbsPath
 	}
-	return strings.Join(items, "|")
+	return strings.Join(items, "\t")
 }
 
 // Returns the banner string to be used for printing.
diff --git a/features/command_expand.feature b/features/command_expand.feature
index 9832eb6..47d2df3 100644
--- a/features/command_expand.feature
+++ b/features/command_expand.feature
@@ -53,10 +53,6 @@ Feature: command expansion at command line
       | hi mom.txt     | hi\ mom.txt      |
       | "x.txt         | \"x.txt          |
 
-  @wip
-  Scenario: Don't get screwed up if filename contains a | symbol
-    Given PENDING
-
   Scenario: Allow user to specify --relative paths
     Given a directory named "foo"
       And a directory named "foo/bar"
diff --git a/features/shell_functions.feature b/features/shell_functions.feature
index ce3a841..fb71e8f 100644
--- a/features/shell_functions.feature
+++ b/features/shell_functions.feature
@@ -61,6 +61,25 @@ Feature: scmpuff_status function
       | bash  |
       | zsh   |
 
+  Scenario Outline: Sets proper environment variables in shell with weird filenames
+    Given I am in a git repository
+      And an empty file named "aa bb"
+      And an empty file named "bb|cc"
+      And an empty file named "cc*dd"
+    When I run `<shell>` interactively
+      And I type `eval "$(scmpuff init -s)"`
+      And I type "scmpuff_status"
+      And I type `echo -e "e1:$e1\ne2:$e2\ne3:$e3\ne4:$e4\n"`
+      And I type "exit"
+    Then the output should match /^e1:.*aa bb$/
+      And the output should match /^e2:.*bb\|cc$/
+      And the output should match /^e3:.*cc\*dd$/
+      And the output should match /^e4:$/
+    Examples:
+      | shell |
+      | bash  |
+      | zsh   |
+
   Scenario Outline: Clears extra environment variables from before
     Given I am in a complex working tree status matching scm_breeze tests
       And the scmpuff environment variables have been cleared