diff --git a/azurelinuxagent/distro/default/extension.py b/azurelinuxagent/distro/default/extension.py
index 245d6e1..46c7bfc 100644
--- a/azurelinuxagent/distro/default/extension.py
+++ b/azurelinuxagent/distro/default/extension.py
@@ -136,7 +136,7 @@ class ExtensionsHandler(object):
                                              message = str(e),
                                              sequenceNumber = ext.getSeqNo())
             status = ext.createHandlerStatus(extStatus)
-            status.status = "NotReady"
+            status.status = "Ready"
         return status
 
 def ParseExtensionDirName(dirName):