diff --git a/Authors b/Authors
index 2f38958ad901..a5b7ac22d1a6 100644
--- a/Authors
+++ b/Authors
@@ -34,6 +34,7 @@ Dave Walker <DaveWalker@ubuntu.com>
 David Pravec <David.Pravec@danix.org>
 David Subiros <david.perez5@hp.com>
 Dean Troyer <dtroyer@gmail.com>
+Derek Higgins <higginsd@gmail.com>
 Devendra Modium <dmodium@isi.edu>
 Devin Carlen <devin.carlen@gmail.com>
 Donal Lafferty <donal.lafferty@citrix.com>
diff --git a/nova/tests/test_libvirt.py b/nova/tests/test_libvirt.py
index 28af606bc70b..d0ca361add36 100644
--- a/nova/tests/test_libvirt.py
+++ b/nova/tests/test_libvirt.py
@@ -1063,6 +1063,25 @@ class LibvirtConnTestCase(test.TestCase):
         instance = db.instance_create(self.context, self.test_instance)
         conn.destroy(instance, {})
 
+    @test.skip_if(missing_libvirt(), "Test requires libvirt")
+    def test_destroy_saved(self):
+        """Ensure destroy calls managedSaveRemove for saved instance"""
+        mock = self.mox.CreateMock(libvirt.virDomain)
+        mock.destroy()
+        mock.hasManagedSaveImage(0).AndReturn(1)
+        mock.managedSaveRemove(0)
+        mock.undefine()
+
+        self.mox.ReplayAll()
+
+        def fake_lookup_by_name(instance_name):
+            return mock
+
+        conn = connection.LibvirtConnection(False)
+        self.stubs.Set(conn, '_lookup_by_name', fake_lookup_by_name)
+        instance = {"name": "instancename", "id": "instanceid"}
+        conn.destroy(instance, [])
+
 
 class HostStateTestCase(test.TestCase):
 
diff --git a/nova/virt/libvirt/connection.py b/nova/virt/libvirt/connection.py
index c2a13f6a79aa..53a059052fe1 100644
--- a/nova/virt/libvirt/connection.py
+++ b/nova/virt/libvirt/connection.py
@@ -310,6 +310,17 @@ class LibvirtConnection(driver.ComputeDriver):
                                 locals())
                     raise
 
+            try:
+                # NOTE(derekh): we can switch to undefineFlags and
+                # VIR_DOMAIN_UNDEFINE_MANAGED_SAVE once we require 0.9.4
+                if virt_dom.hasManagedSaveImage(0):
+                    virt_dom.managedSaveRemove(0)
+            except libvirt.libvirtError as e:
+                errcode = e.get_error_code()
+                LOG.warning(_("Error from libvirt during saved instance "
+                              "removal %(instance_name)s. Code=%(errcode)s"
+                              " Error=%(e)s") % locals())
+
             try:
                 # NOTE(justinsb): We remove the domain definition. We probably
                 # would do better to keep it if cleanup=False (e.g. volumes?)