diff --git a/docs/changelog.rst b/docs/changelog.rst
index 8948fe6e..c75bbb27 100644
--- a/docs/changelog.rst
+++ b/docs/changelog.rst
@@ -26,6 +26,10 @@ Bug fix release.
 - Logging: Fix that some loggers would be disabled if
   :confval:`logging/config_file` was set. (Fixes: :issue:`740`)
 
+- Core: Return exit status 1 when exiting because of initialization error.
+
+- Configuration: :option:`mopidy --config` now supports directories.
+
 
 v0.19.3 (2014-08-03)
 ====================
diff --git a/docs/command.rst b/docs/command.rst
index 79ca3ed0..881fb513 100644
--- a/docs/command.rst
+++ b/docs/command.rst
@@ -50,11 +50,12 @@ Options
     Save debug log to the file specified in the :confval:`logging/debug_file`
     config value, typically ``./mopidy.log``.
 
-.. cmdoption:: --config <file>
+.. cmdoption:: --config <file|directory>
 
-    Specify config file to use. To use multiple config files, separate them
-    with a colon. The later files override the earlier ones if there's a
-    conflict.
+    Specify config files and directories to use. To use multiple config files
+    or directories, separate them with a colon. The later files override the
+    earlier ones if there's a conflict. When specifying a directory, all files
+    ending in .conf in the directory are used.
 
 .. cmdoption:: --option <option>, -o <option>
 
diff --git a/mopidy/commands.py b/mopidy/commands.py
index f7c71d4e..db012208 100644
--- a/mopidy/commands.py
+++ b/mopidy/commands.py
@@ -276,8 +276,10 @@ class RootCommand(Command):
                 exceptions.FrontendError,
                 exceptions.MixerError):
             logger.info('Initialization error. Exiting...')
+            exit_status_code = 1
         except KeyboardInterrupt:
             logger.info('Interrupted. Exiting...')
+            exit_status_code = 0
         finally:
             loop.quit()
             self.stop_frontends(frontend_classes)
@@ -286,6 +288,7 @@ class RootCommand(Command):
             self.stop_audio()
             self.stop_mixer(mixer_class)
             process.stop_remaining_actors()
+            return exit_status_code
 
     def get_mixer_class(self, config, mixer_classes):
         logger.debug(
diff --git a/mopidy/config/__init__.py b/mopidy/config/__init__.py
index ed8446dd..61971875 100644
--- a/mopidy/config/__init__.py
+++ b/mopidy/config/__init__.py
@@ -114,27 +114,14 @@ def _load(files, defaults, overrides):
 
     # Load config from a series of config files
     files = [path.expand_path(f) for f in files]
-    for filename in files:
-        if not os.path.exists(filename):
-            logger.debug(
-                'Loading config from %s failed; it does not exist', filename)
-            continue
-
-        try:
-            logger.info('Loading config from %s', filename)
-            with io.open(filename, 'rb') as filehandle:
-                parser.readfp(filehandle)
-        except configparser.MissingSectionHeaderError as e:
-            logger.warning('%s does not have a config section, not loaded.',
-                           filename)
-        except configparser.ParsingError as e:
-            linenos = ', '.join(str(lineno) for lineno, line in e.errors)
-            logger.warning(
-                '%s has errors, line %s has been ignored.', filename, linenos)
-        except IOError:
-            # TODO: if this is the initial load of logging config we might not
-            # have a logger at this point, we might want to handle this better.
-            logger.debug('Config file %s not found; skipping', filename)
+    for name in files:
+        if os.path.isdir(name):
+            for filename in os.listdir(name):
+                filename = os.path.join(name, filename)
+                if os.path.isfile(filename) and filename.endswith('.conf'):
+                    _load_file(parser, filename)
+        else:
+            _load_file(parser, name)
 
     # If there have been parse errors there is a python bug that causes the
     # values to be lists, this little trick coerces these into strings.
@@ -151,6 +138,29 @@ def _load(files, defaults, overrides):
     return raw_config
 
 
+def _load_file(parser, filename):
+    if not os.path.exists(filename):
+        logger.debug(
+            'Loading config from %s failed; it does not exist', filename)
+        return
+
+    try:
+        logger.info('Loading config from %s', filename)
+        with io.open(filename, 'rb') as filehandle:
+            parser.readfp(filehandle)
+    except configparser.MissingSectionHeaderError as e:
+        logger.warning('%s does not have a config section, not loaded.',
+                       filename)
+    except configparser.ParsingError as e:
+        linenos = ', '.join(str(lineno) for lineno, line in e.errors)
+        logger.warning(
+            '%s has errors, line %s has been ignored.', filename, linenos)
+    except IOError:
+        # TODO: if this is the initial load of logging config we might not
+        # have a logger at this point, we might want to handle this better.
+        logger.debug('Config file %s not found; skipping', filename)
+
+
 def _validate(raw_config, schemas):
     # Get validated config
     config = {}
diff --git a/tests/config/test_config.py b/tests/config/test_config.py
index 52035825..da0e5192 100644
--- a/tests/config/test_config.py
+++ b/tests/config/test_config.py
@@ -60,6 +60,18 @@ class LoadConfigTest(unittest.TestCase):
         result = config._load([file1, file2], [], [])
         self.assertEqual(expected, result)
 
+    def test_load_directory(self):
+        directory = path_to_data_dir('conf1.d')
+        expected = {'foo': {'bar': 'baz'}, 'foo2': {'bar': 'baz'}}
+        result = config._load([directory], [], [])
+        self.assertEqual(expected, result)
+
+    def test_load_directory_only_conf_files(self):
+        directory = path_to_data_dir('conf2.d')
+        expected = {'foo': {'bar': 'baz'}}
+        result = config._load([directory], [], [])
+        self.assertEqual(expected, result)
+
     def test_load_file_with_utf8(self):
         expected = {'foo': {'bar': 'æøå'.encode('utf-8')}}
         result = config._load([path_to_data_dir('file3.conf')], [], [])
diff --git a/tests/data/conf1.d/file1.conf b/tests/data/conf1.d/file1.conf
new file mode 100644
index 00000000..e6396bff
--- /dev/null
+++ b/tests/data/conf1.d/file1.conf
@@ -0,0 +1,2 @@
+[foo]
+bar = baz
diff --git a/tests/data/conf1.d/file2.conf b/tests/data/conf1.d/file2.conf
new file mode 100644
index 00000000..ef189703
--- /dev/null
+++ b/tests/data/conf1.d/file2.conf
@@ -0,0 +1,2 @@
+[foo2]
+bar = baz
diff --git a/tests/data/conf2.d/file1.conf b/tests/data/conf2.d/file1.conf
new file mode 100644
index 00000000..e6396bff
--- /dev/null
+++ b/tests/data/conf2.d/file1.conf
@@ -0,0 +1,2 @@
+[foo]
+bar = baz
diff --git a/tests/data/conf2.d/file2.conf.disabled b/tests/data/conf2.d/file2.conf.disabled
new file mode 100644
index 00000000..ef189703
--- /dev/null
+++ b/tests/data/conf2.d/file2.conf.disabled
@@ -0,0 +1,2 @@
+[foo2]
+bar = baz