diff --git a/xbps-src/libexec/chroot-helper.sh.in b/xbps-src/libexec/chroot-helper.sh.in
index 510dc10bf5..93476ddee9 100644
--- a/xbps-src/libexec/chroot-helper.sh.in
+++ b/xbps-src/libexec/chroot-helper.sh.in
@@ -26,16 +26,6 @@
 
 HANDLER="$1"
 
-. @@XBPS_INSTALL_ETCDIR@@/xbps-src.conf
-
-if [ -n "${MASTERDIR}" ]; then
-	export XBPS_MASTERDIR="${MASTERDIR}"
-fi
-if [ -n "${HOSTDIR}" ]; then
-	export XBPS_HOSTDIR="${HOSTDIR}"
-fi
-
-
 REQFS="sys proc dev xbps host"
 
 mount_chroot_fs()
@@ -43,42 +33,42 @@ mount_chroot_fs()
 	local cnt f blah dowrite
 
 	for f in ${REQFS}; do
-		if [ ! -f ${XBPS_MASTERDIR}/.${f}_mount_bind_done ]; then
+		if [ ! -f ${MASTERDIR}/.${f}_mount_bind_done ]; then
 			unset dowrite
 			echo -n "=> Mounting /${f} in chroot... "
-			if [ ! -d ${XBPS_MASTERDIR}/${f} ]; then
-				mkdir -p ${XBPS_MASTERDIR}/${f}
+			if [ ! -d ${MASTERDIR}/${f} ]; then
+				mkdir -p ${MASTERDIR}/${f}
 			fi
 			case ${f} in
 				xbps)
-					blah=${XBPS_DISTRIBUTIONDIR}
+					blah=${DISTRIBUTIONDIR}
 					dowrite="-w"
 					;;
 				host)
-					blah=${XBPS_HOSTDIR}
+					blah=${HOSTDIR}
 					dowrite="-w"
 					;;
 				*) blah=/${f};;
 			esac
-			if [ -z "$XBPS_HOSTDIR" -a "$f" = "host" ]; then
+			if [ -z "$HOSTDIR" -a "$f" = "host" ]; then
 				echo "unset, ignoring."
 				continue
 			fi
 			[ ! -d ${blah} ] && echo "failed." && continue
 			@@XBPS_INSTALL_LIBEXECDIR@@/capmount \
-				${dowrite} ${blah} ${XBPS_MASTERDIR}/${f} \
+				${dowrite} ${blah} ${MASTERDIR}/${f} \
 				2>/dev/null
 			if [ $? -eq 0 ]; then
-				echo 1 > ${XBPS_MASTERDIR}/.${f}_mount_bind_done
+				echo 1 > ${MASTERDIR}/.${f}_mount_bind_done
 				echo "done."
 			else
 				echo "FAILED!"
 				exit 1
 			fi
 		else
-			cnt=$(cat ${XBPS_MASTERDIR}/.${f}_mount_bind_done)
+			cnt=$(cat ${MASTERDIR}/.${f}_mount_bind_done)
 			cnt=$((${cnt} + 1))
-			echo ${cnt} > ${XBPS_MASTERDIR}/.${f}_mount_bind_done
+			echo ${cnt} > ${MASTERDIR}/.${f}_mount_bind_done
 		fi
 	done
 }
@@ -88,17 +78,17 @@ umount_chroot_fs()
 	local fs dir cnt
 
 	for fs in ${REQFS}; do
-		[ ! -f ${XBPS_MASTERDIR}/.${fs}_mount_bind_done ] && continue
-		cnt=$(cat ${XBPS_MASTERDIR}/.${fs}_mount_bind_done)
+		[ ! -f ${MASTERDIR}/.${fs}_mount_bind_done ] && continue
+		cnt=$(cat ${MASTERDIR}/.${fs}_mount_bind_done)
 		if [ ${cnt} -gt 1 ]; then
 			cnt=$((${cnt} - 1))
-			echo ${cnt} > ${XBPS_MASTERDIR}/.${fs}_mount_bind_done
+			echo ${cnt} > ${MASTERDIR}/.${fs}_mount_bind_done
 		else
 			echo -n "=> Unmounting ${fs} from chroot... "
 			@@XBPS_INSTALL_LIBEXECDIR@@/capumount \
-				${XBPS_MASTERDIR} ${fs} 2>/dev/null
+				${MASTERDIR} ${fs} 2>/dev/null
 			if [ $? -eq 0 ]; then
-				rm -f ${XBPS_MASTERDIR}/.${fs}_mount_bind_done
+				rm -f ${MASTERDIR}/.${fs}_mount_bind_done
 				echo "done."
 			else
 				echo "FAILED!!!"
@@ -113,6 +103,11 @@ if [ $# -ne 1 ]; then
 	exit 1
 fi
 
+if [ -z "$MASTERDIR" -o -z "$DISTRIBUTIONDIR" ]; then
+	echo "$0: MASTERDIR or DISTRIBUTIONDIR unset, can't continue."
+	exit 1
+fi
+
 case "${HANDLER}" in
 	mount) mount_chroot_fs;;
 	umount) umount_chroot_fs;;
diff --git a/xbps-src/shutils/chroot.sh.in b/xbps-src/shutils/chroot.sh.in
index df98074f91..8250d2117b 100644
--- a/xbps-src/shutils/chroot.sh.in
+++ b/xbps-src/shutils/chroot.sh.in
@@ -25,14 +25,16 @@
 
 _mount()
 {
-	MASTERDIR="${XBPS_MASTERDIR}" HOSTDIR="${XBPS_HOSTDIR}" ${sudo_cmd} \
+	MASTERDIR="${XBPS_MASTERDIR}" DISTRIBUTIONDIR="${XBPS_DISTRIBUTIONDIR}" \
+		HOSTDIR="${XBPS_HOSTDIR}" ${sudo_cmd} \
 		@@XBPS_INSTALL_LIBEXECDIR@@/chroot-helper mount
 	return $?
 }
 
 _umount()
 {
-	MASTERDIR="${XBPS_MASTERDIR}" HOSTDIR="${XBPS_HOSTDIR}" ${sudo_cmd} \
+	MASTERDIR="${XBPS_MASTERDIR}" DISTRIBUTIONDIR="${XBPS_DISTRIBUTIONDIR}" \
+		HOSTDIR="${XBPS_HOSTDIR}" ${sudo_cmd} \
 		@@XBPS_INSTALL_LIBEXECDIR@@/chroot-helper umount
 	return $?
 }
@@ -231,8 +233,7 @@ create_busybox_links()
 	cd ${lbindir} || return 1
 
 	for f in $(${XBPS_MASTERDIR}/bin/busybox --list); do
-		if [ "$f" = "tar" -o "$f" = "xz" -o \
-		     "$f" = "bzip2" -o "$f" = "gzip" -o "$f" = "sh" ]; then
+		if [ "$f" = "tar" -o "$f" = "sh" -o "$f" = "xz" ]; then
 			continue
 		fi
 		ln -s ../../../bin/busybox $f
@@ -313,12 +314,13 @@ xbps_chroot_handler()
 		[ -n "$KEEP_WRKSRC" ] && arg="$arg -C"
 		[ -n "$KEEP_AUTODEPS" ] && arg="$arg -K"
 		[ -n "$DESTDIR_ONLY_INSTALL" ] && arg="$arg -D"
+		[ -n "$BUILD_BINPKG" ] && arg="$arg -B"
 
 		action="$arg $action"
 		env in_chroot=1 IN_CHROOT=1 LANG=C _ORIGINPKG="$pkg" \
 			PATH=$PATH:/usr/local/bin \
 			${chroot_cmd} $XBPS_MASTERDIR sh -c \
-			"cd /xbps/srcpkgs/$pkg && xbps-src $action" || rv=$?
+			"xbps-src $action $pkg" || rv=$?
 	fi
 
 	msg_normal "Exiting from the chroot on $XBPS_MASTERDIR.\n"
diff --git a/xbps-src/shutils/make-binpkg.sh b/xbps-src/shutils/make-binpkg.sh
index 3719858a4e..f196904088 100644
--- a/xbps-src/shutils/make-binpkg.sh
+++ b/xbps-src/shutils/make-binpkg.sh
@@ -1,5 +1,5 @@
 #-
-# Copyright (c) 2008-2010 Juan Romero Pardines.
+# Copyright (c) 2008-2011 Juan Romero Pardines.
 # All rights reserved.
 #
 # Redistribution and use in source and binary forms, with or without
@@ -47,6 +47,7 @@ binpkg_cleanup()
 {
 	local pkgdir="$1" binpkg="$2"
 
+	[ -z "$pkgdir" -o -z "$binpkg" ] && return 1
 	msg_red "\nInterrupted! removing $binpkg file!\n"
 	rm -f $pkgdir/$binpkg
 	exit 1
@@ -106,7 +107,6 @@ xbps_make_binpkg_real()
 	done
 
 	[ -n "$XBPS_COMPRESS_LEVEL" ] && clevel="-$XBPS_COMPRESS_LEVEL"
-
 	[ ! -d $pkgdir ] && mkdir -p $pkgdir
 
 	# Remove binpkg if interrupted...
@@ -117,12 +117,13 @@ xbps_make_binpkg_real()
 		tar --exclude "var/db/xbps/metadata/*/flist"	\
 		-cpf - ${mfiles} ${dirs} |			\
 		$XBPS_COMPRESS_CMD ${clevel} -qf > $pkgdir/$binpkg
-	if [ $? -eq 0 ]; then
+	rval=$?
+	if [ $rval -eq 0 ]; then
 		msg_normal_append "done.\n"
 	else
 		rm -f $pkgdir/$binpkg
 		msg_normal_append "failed!\n"
 	fi
 
-	return $?
+	return $rval
 }
diff --git a/xbps-src/shutils/pkgtarget_funcs.sh.in b/xbps-src/shutils/pkgtarget_funcs.sh.in
index 433b33aa2b..6738b6f5c2 100644
--- a/xbps-src/shutils/pkgtarget_funcs.sh.in
+++ b/xbps-src/shutils/pkgtarget_funcs.sh.in
@@ -123,6 +123,15 @@ install_pkg()
 			remove_tmpl_wrksrc $wrksrc
 		fi
 		autoremove_pkg_dependencies $KEEP_AUTODEPS
+		# Build binary package and update local repo index if
+		# -B is set.
+		if [ -n "$BUILD_BINPKG" ]; then
+			xbps_make_binpkg
+			[ $? -ne 0 ] && return $?
+			msg_normal "Updating pkg-index for local repository at:\n"
+			msg_normal " $XBPS_PACKAGESDIR\n"
+			${XBPS_REPO_CMD} genindex ${XBPS_PACKAGESDIR} 2>/dev/null
+		fi
 		return 0
 	fi
 
@@ -161,7 +170,17 @@ install_pkg()
 	# Autoremove packages installed as dependencies if
 	# XBPS_PREFER_BINPKG_DEPS is set.
 	#
-	autoremove_pkg_dependencies $KEEP_AUTODEPS
+	autoremove_pkg_dependencies $KEEP_AUTODEPS || return $?
+
+	# Build binary package and update local repo index if
+	# -B is set.
+	if [ -n "$BUILD_BINPKG" ]; then
+		xbps_make_binpkg
+		[ $? -ne 0 ] && return $?
+		msg_normal "Updating pkg-index for local repository at:\n"
+		msg_normal " $XBPS_PACKAGESDIR\n"
+		${XBPS_REPO_CMD} genindex ${XBPS_PACKAGESDIR} 2>/dev/null
+	fi
 
 	return $?
 }
diff --git a/xbps-src/xbps-src.sh.in b/xbps-src/xbps-src.sh.in
index 4a78244d30..cb07f8a75d 100644
--- a/xbps-src/xbps-src.sh.in
+++ b/xbps-src/xbps-src.sh.in
@@ -436,14 +436,6 @@ install)
 		setup_tmpl ${_ORIGINPKG}
 		install_pkg $pkgname || exit $?
 	fi
-	if [ -z "$IN_CHROOT" -a -n "$BUILD_BINPKG" ]; then
-		setup_tmpl ${_ORIGINPKG}
-		xbps_make_binpkg
-		[ -n "${_PACKAGEDIR}" ] && XBPS_PACKAGESDIR="${_PACKAGEDIR}"
-		msg_normal "Updating pkg-index for local repository at:\n"
-		msg_normal " $XBPS_PACKAGESDIR\n"
-		${XBPS_REPO_CMD} genindex ${XBPS_PACKAGESDIR} 2>/dev/null
-	fi
 	;;
 list)
 	$XBPS_BIN_CMD list