Index: llvm/trunk/lib/Transforms/Scalar/LoopSimplifyCFG.cpp
===================================================================
--- llvm/trunk/lib/Transforms/Scalar/LoopSimplifyCFG.cpp
+++ llvm/trunk/lib/Transforms/Scalar/LoopSimplifyCFG.cpp
@@ -207,12 +207,13 @@
       // folding. Only handle blocks from current loop: branches in child loops
       // are skipped because if they can be folded, they should be folded during
       // the processing of child loops.
-      if (TheOnlySucc && LI.getLoopFor(BB) == &L)
+      bool TakeFoldCandidate = TheOnlySucc && LI.getLoopFor(BB) == &L;
+      if (TakeFoldCandidate)
         FoldCandidates.push_back(BB);
 
       // Handle successors.
       for (BasicBlock *Succ : successors(BB))
-        if (!TheOnlySucc || TheOnlySucc == Succ) {
+        if (!TakeFoldCandidate || TheOnlySucc == Succ) {
           if (L.contains(Succ))
             LiveLoopBlocks.insert(Succ);
           else
Index: llvm/trunk/test/Transforms/LoopSimplifyCFG/live_block_marking.ll
===================================================================
--- llvm/trunk/test/Transforms/LoopSimplifyCFG/live_block_marking.ll
+++ llvm/trunk/test/Transforms/LoopSimplifyCFG/live_block_marking.ll
@@ -1,4 +1,4 @@
-; XFAIL: *
+; NOTE: Assertions have been autogenerated by utils/update_test_checks.py
 ; REQUIRES: asserts
 ; RUN: opt -S -enable-loop-simplifycfg-term-folding=true -indvars -loop-simplifycfg -debug-only=loop-simplifycfg -verify-loop-info -verify-dom-info -verify-loop-lcssa 2>&1 < %s | FileCheck %s
 ; RUN: opt -S -enable-loop-simplifycfg-term-folding=true -passes='require<domtree>,loop(indvars,simplify-cfg)' -debug-only=loop-simplifycfg -verify-loop-info -verify-dom-info -verify-loop-lcssa 2>&1 < %s | FileCheck %s
@@ -7,8 +7,28 @@
 ; This test demonstrates a bug in live blocks markup that is only catchable in
 ; inter-pass interaction.
 define void @test(i1 %c) {
-
 ; CHECK-LABEL: @test(
+; CHECK-NEXT:  entry:
+; CHECK-NEXT:    br label [[OUTER:%.*]]
+; CHECK:       outer:
+; CHECK-NEXT:    br i1 [[C:%.*]], label [[TO_FOLD:%.*]], label [[LATCH:%.*]]
+; CHECK:       to_fold:
+; CHECK-NEXT:    br i1 [[C]], label [[LATCH]], label [[INNER_PREHEADER:%.*]]
+; CHECK:       inner.preheader:
+; CHECK-NEXT:    br label [[INNER:%.*]]
+; CHECK:       inner:
+; CHECK-NEXT:    br i1 false, label [[INNER_LATCH:%.*]], label [[UNDEAD:%.*]]
+; CHECK:       inner_latch:
+; CHECK-NEXT:    br i1 true, label [[INNER]], label [[LATCH_LOOPEXIT:%.*]]
+; CHECK:       undead:
+; CHECK-NEXT:    br label [[LATCH]]
+; CHECK:       latch.loopexit:
+; CHECK-NEXT:    br label [[LATCH]]
+; CHECK:       latch:
+; CHECK-NEXT:    br i1 true, label [[OUTER]], label [[DEAD_EXIT:%.*]]
+; CHECK:       dead_exit:
+; CHECK-NEXT:    ret void
+;
 
 entry:
   br label %outer