diff -U4 -r exim-4.62/src/smtp_in.c exim-4.62+fix-localhost-helo/src/smtp_in.c
--- exim-4.62/src/smtp_in.c	2006-04-28 11:32:23.000000000 +0100
+++ exim-4.62+fix-localhost-helo/src/smtp_in.c	2006-08-18 15:10:44.000000000 +0100
@@ -2492,8 +2492,15 @@
         break;
         }
       }
 
+    if (!Ustrcmp(sender_helo_name, US"[127.0.0.1]"))
+      {
+      DEBUG(D_any) debug_printf("overwriting bogus helo [127.0.0.1] with [%s]\n", sender_host_address);
+      sender_helo_name = string_copy_malloc(string_sprintf("[%s]", sender_host_address));
+      host_build_sender_fullhost();  /* Rebuild */
+      }
+
     /* The EHLO/HELO command is acceptable. Reset the protocol and the state,
     abandoning any previous message. */
 
     received_protocol = (esmtp?