diff --git a/eventlet/hubs/hub.py b/eventlet/hubs/hub.py
index 90a1ad7..c1d2eb3 100644
--- a/eventlet/hubs/hub.py
+++ b/eventlet/hubs/hub.py
@@ -102,6 +102,7 @@ class BaseHub(object):
                 switch_out()
             except:
                 self.squelch_generic_exception(sys.exc_info())
+                sys.exc_clear()
         if self.greenlet.dead:
             self.greenlet = greenlet.greenlet(self.run)
         try:
@@ -251,6 +252,7 @@ class BaseHub(object):
                     raise
                 except:
                     self.squelch_timer_exception(timer, sys.exc_info())
+                    sys.exc_clear()
             finally:
                 self.timer_finished(timer)
 
diff --git a/tests/greenio_test.py b/tests/greenio_test.py
index f71e40c..174bdb9 100644
--- a/tests/greenio_test.py
+++ b/tests/greenio_test.py
@@ -153,30 +153,27 @@ class TestGreenIo(LimitedTestCase):
         gt.wait()
 
     def test_send_timeout(self):
-        listener = greenio.GreenSocket(socket.socket())
-        listener.bind(('', 0))
-        listener.listen(50)
+        listener = bufsized(eventlet.listen(('', 0)))
 
         def server():
             # accept the connection in another greenlet
             sock, addr = listener.accept()
-
+            sock = bufsized(sock)
             eventlet.sleep(.5)
 
         gt = eventlet.spawn(server)
 
         addr = listener.getsockname()
 
-        client = greenio.GreenSocket(socket.socket())
-        client.settimeout(0.1)
-
+        client = bufsized(greenio.GreenSocket(socket.socket()))
         client.connect(addr)
-
         try:
-            msg = "A"*8192*1024
+            client.settimeout(0.00001)
+            msg = "A"*(100000)  # large enough number to overwhelm most buffers
 
             total_sent = 0
-            # want to exceed the size of the OS buffer so it'll block
+            # want to exceed the size of the OS buffer so it'll block in a
+            # single send
             for x in range(10):
                 total_sent += client.send(msg)
             self.fail("socket.timeout not raised")
@@ -473,6 +470,7 @@ class TestGreenIo(LimitedTestCase):
 
         gt.wait()
 
+
 class TestGreenIoLong(LimitedTestCase):
     TEST_TIMEOUT=10  # the test here might take a while depending on the OS
     @skip_with_pyevent