diff --git a/include/swupd.h b/include/swupd.h
index 350bdd85..e19683f8 100644
--- a/include/swupd.h
+++ b/include/swupd.h
@@ -184,7 +184,7 @@ extern struct manifest *load_mom(int version);
 extern struct manifest *load_manifest(int current, int version, struct file *file, struct manifest *mom, bool header_only);
 extern struct list *create_update_list(struct manifest *current, struct manifest *server);
 extern void link_manifests(struct manifest *m1, struct manifest *m2);
-extern void link_submanifests(struct manifest *m1, struct manifest *m2, struct list *subs1, struct list *subs2);
+extern void link_submanifests(struct manifest *m1, struct manifest *m2, struct list *subs1, struct list *subs2, bool server);
 extern void free_manifest(struct manifest *manifest);
 extern void remove_manifest_files(char *filename, int version, char *hash);
 
diff --git a/src/manifest.c b/src/manifest.c
index f4805e26..88ebad75 100644
--- a/src/manifest.c
+++ b/src/manifest.c
@@ -850,7 +850,7 @@ void link_manifests(struct manifest *m1, struct manifest *m2)
 
 /* m1: old manifest
  * m2: new manifest */
-void link_submanifests(struct manifest *m1, struct manifest *m2, struct list *subs1, struct list *subs2)
+void link_submanifests(struct manifest *m1, struct manifest *m2, struct list *subs1, struct list *subs2, bool server)
 {
 	struct list *list1, *list2;
 	struct file *file1, *file2;
@@ -878,14 +878,15 @@ void link_submanifests(struct manifest *m1, struct manifest *m2, struct list *su
 			list1 = list1->next;
 			list2 = list2->next;
 
+			/* server (new) manifests will only bring in new bundles */
 			if (file2->last_change > m1->version && !file2->is_deleted) {
-				if (subbed1 && subbed2) {
+				if (!server && subbed1 && subbed2) {
 					account_changed_bundle();
 				} else if (!subbed1 && subbed2) {
 					account_new_bundle();
 				}
 			}
-			if (file2->last_change > m1->version && file2->is_deleted) {
+			if (!server && (file2->last_change > m1->version && file2->is_deleted)) {
 				if (subbed1) {
 					account_deleted_bundle();
 				}
diff --git a/src/update.c b/src/update.c
index f23e906d..c10f2bd8 100644
--- a/src/update.c
+++ b/src/update.c
@@ -321,21 +321,11 @@ load_server_manifests:
 	retries = 0;
 	timeout = 10;
 
-	// The new subscription is seeded from the list of currently installed bundles
-	latest_subs = list_clone(current_subs);
-	ret = add_included_manifests(server_manifest, &latest_subs);
-	if (ret) {
-		ret = EMANIFEST_LOAD;
-		goto clean_exit;
-	}
-
-	set_subscription_versions(server_manifest, current_manifest, &latest_subs);
-
-	link_submanifests(current_manifest, server_manifest, current_subs, latest_subs);
-
 	/* updating subscribed manifests is done as part of recurse_manifest */
 
-	/* read the current collective of manifests that we are subscribed to */
+	/* Read the current collective of manifests that we are subscribed to.
+	 * First load up the old (current) manifests. Statedir could have been cleared
+	 * or corrupt, so don't assume things are already there. */
 	current_manifest->submanifests = recurse_manifest(current_manifest, current_subs, NULL);
 	if (!current_manifest->submanifests) {
 		if (retries < MAX_TRIES) {
@@ -349,12 +339,26 @@ load_server_manifests:
 	}
 	retries = 0;
 	timeout = 10;
+
 	/* consolidate the current collective manifests down into one in memory */
 	current_manifest->files = files_from_bundles(current_manifest->submanifests);
 
 	current_manifest->files = consolidate_files(current_manifest->files);
 
-	/* read the new collective of manifests that we are subscribed to */
+	latest_subs = list_clone(current_subs);
+	set_subscription_versions(server_manifest, current_manifest, &latest_subs);
+	link_submanifests(current_manifest, server_manifest, current_subs, latest_subs, false);
+	/* The new subscription is seeded from the list of currently installed bundles
+	 * This calls add_subscriptions which recurses for new includes */
+	grabtime_start(&times, "Add Included Manifests");
+	ret = add_included_manifests(server_manifest, current_version, &latest_subs);
+	grabtime_stop(&times);
+	if (ret) {
+		ret = EMANIFEST_LOAD;
+		goto clean_exit;
+	}
+
+	/* read the new collective of manifests that we are subscribed to in the new MoM */
 	server_manifest->submanifests = recurse_manifest(server_manifest, latest_subs, NULL);
 	if (!server_manifest->submanifests) {
 		if (retries < MAX_TRIES) {
@@ -373,6 +377,9 @@ load_server_manifests:
 
 	server_manifest->files = consolidate_files(server_manifest->files);
 
+	set_subscription_versions(server_manifest, current_manifest, &latest_subs);
+	link_submanifests(current_manifest, server_manifest, current_subs, latest_subs, true);
+
 	/* prepare for an update process based on comparing two in memory manifests */
 	link_manifests(current_manifest, server_manifest);
 #if 0