diff --git a/ChangeLog b/ChangeLog
index 681b6fd24..482874788 100644
--- a/ChangeLog
+++ b/ChangeLog
@@ -1,3 +1,10 @@
+2010-07-20  Colin Watson  <cjwatson@ubuntu.com>
+
+	* disk/loopback.c (grub_cmd_loopback): Don't leak a grub_file_t
+	handle on failure.
+	(grub_loopback_close): Remove empty function.
+	(grub_loopback_dev): Remove close method.
+
 2010-07-20  Colin Watson  <cjwatson@ubuntu.com>
 
 	Disable EFI cursor when the EFI console becomes inactive.
diff --git a/disk/loopback.c b/disk/loopback.c
index 4990da710..509e9e33f 100644
--- a/disk/loopback.c
+++ b/disk/loopback.c
@@ -76,6 +76,7 @@ grub_cmd_loopback (grub_extcmd_t cmd, int argc, char **args)
   struct grub_arg_list *state = state = cmd->state;
   grub_file_t file;
   struct grub_loopback *newdev;
+  grub_err_t ret;
 
   if (argc < 1)
     return grub_error (GRUB_ERR_BAD_ARGUMENT, "device name required");
@@ -100,7 +101,7 @@ grub_cmd_loopback (grub_extcmd_t cmd, int argc, char **args)
     {
       char *newname = grub_strdup (args[1]);
       if (! newname)
-	return grub_errno;
+	goto fail;
 
       grub_file_close (newdev->file);
       newdev->file = file;
@@ -114,13 +115,13 @@ grub_cmd_loopback (grub_extcmd_t cmd, int argc, char **args)
   /* Unable to replace it, make a new entry.  */
   newdev = grub_malloc (sizeof (struct grub_loopback));
   if (! newdev)
-    return grub_errno;
+    goto fail;
 
   newdev->devname = grub_strdup (args[0]);
   if (! newdev->devname)
     {
       grub_free (newdev);
-      return grub_errno;
+      goto fail;
     }
 
   newdev->file = file;
@@ -133,6 +134,11 @@ grub_cmd_loopback (grub_extcmd_t cmd, int argc, char **args)
   loopback_list = newdev;
 
   return 0;
+
+fail:
+  ret = grub_errno;
+  grub_file_close (file);
+  return ret;
 }
 
 
@@ -171,11 +177,6 @@ grub_loopback_open (const char *name, grub_disk_t disk)
   return 0;
 }
 
-static void
-grub_loopback_close (grub_disk_t disk __attribute__  ((unused)))
-{
-}
-
 static grub_err_t
 grub_loopback_read (grub_disk_t disk, grub_disk_addr_t sector,
 		    grub_size_t size, char *buf)
@@ -217,7 +218,6 @@ static struct grub_disk_dev grub_loopback_dev =
     .id = GRUB_DISK_DEVICE_LOOPBACK_ID,
     .iterate = grub_loopback_iterate,
     .open = grub_loopback_open,
-    .close = grub_loopback_close,
     .read = grub_loopback_read,
     .write = grub_loopback_write,
     .next = 0