diff --git a/src/exchange/taler-exchange-httpd.c b/src/exchange/taler-exchange-httpd.c
index c0e91250d..666cec0c1 100644
--- a/src/exchange/taler-exchange-httpd.c
+++ b/src/exchange/taler-exchange-httpd.c
@@ -983,7 +983,7 @@ main (int argc,
   char *cfgfile = NULL;
   char *loglev = NULL;
   char *logfile = NULL;
-  int connection_close;
+  int connection_close = GNUNET_NO;
   const struct GNUNET_GETOPT_CommandLineOption options[] = {
     GNUNET_GETOPT_option_flag ('C',
                                "connection-close",
@@ -1084,31 +1084,32 @@ main (int argc,
   }
 
   /* initialize #internal_key_state with an RC of 1 */
-  TEH_KS_init ();
-
-  /* consider unix path */
-  if ( (-1 == fh) &&
-       (NULL != serve_unixpath) )
+  if (GNUNET_OK ==
+      TEH_KS_init ())
   {
-    fh = TALER_MHD_open_unix_path (serve_unixpath,
-                                   unixpath_mode);
-    if (-1 == fh)
-      return 1;
-  }
 #if HAVE_DEVELOPER
-  if (NULL != input_filename)
-  {
-    if (-1 != fh)
-      GNUNET_break (0 == close (fh));
-    ret = run_single_request ();
-  }
-  else
+    if (NULL != input_filename)
+    {
+      ret = run_single_request ();
+    }
+    else
 #endif
-  ret = run_main_loop (fh,
-                       argv);
-
-  /* release #internal_key_state */
-  TEH_KS_free ();
+    {
+      /* consider unix path */
+      if ( (-1 == fh) &&
+           (NULL != serve_unixpath) )
+      {
+        fh = TALER_MHD_open_unix_path (serve_unixpath,
+                                       unixpath_mode);
+        if (-1 == fh)
+          return 1;
+      }
+      ret = run_main_loop (fh,
+                           argv);
+    }
+    /* release #internal_key_state */
+    TEH_KS_free ();
+  }
   TALER_EXCHANGEDB_plugin_unload (TEH_plugin);
   TEH_VALIDATION_done ();
   return (GNUNET_SYSERR == ret) ? 1 : 0;
diff --git a/src/exchange/taler-exchange-httpd_keystate.c b/src/exchange/taler-exchange-httpd_keystate.c
index d70c0e7fc..27f22925d 100644
--- a/src/exchange/taler-exchange-httpd_keystate.c
+++ b/src/exchange/taler-exchange-httpd_keystate.c
@@ -2170,30 +2170,8 @@ handle_sigchld ()
 int
 TEH_KS_loop (void)
 {
-  struct GNUNET_SIGNAL_Context *sigusr1;
-  struct GNUNET_SIGNAL_Context *sigterm;
-  struct GNUNET_SIGNAL_Context *sigint;
-  struct GNUNET_SIGNAL_Context *sighup;
-  struct GNUNET_SIGNAL_Context *sigchld;
   int ret;
 
-  if (0 != pipe (reload_pipe))
-  {
-    GNUNET_log_strerror (GNUNET_ERROR_TYPE_ERROR,
-                         "pipe");
-    return GNUNET_SYSERR;
-  }
-  sigusr1 = GNUNET_SIGNAL_handler_install (SIGUSR1,
-                                           &handle_sigusr1);
-  sigterm = GNUNET_SIGNAL_handler_install (SIGTERM,
-                                           &handle_sigterm);
-  sigint = GNUNET_SIGNAL_handler_install (SIGINT,
-                                          &handle_sigint);
-  sighup = GNUNET_SIGNAL_handler_install (SIGHUP,
-                                          &handle_sighup);
-  sigchld = GNUNET_SIGNAL_handler_install (SIGCHLD,
-                                           &handle_sigchld);
-
   ret = 2;
   while (2 == ret)
   {
@@ -2267,32 +2245,48 @@ TEH_KS_loop (void)
       break;
     }
   }
-  GNUNET_SIGNAL_handler_uninstall (sigusr1);
-  GNUNET_SIGNAL_handler_uninstall (sigterm);
-  GNUNET_SIGNAL_handler_uninstall (sigint);
-  GNUNET_SIGNAL_handler_uninstall (sighup);
-  GNUNET_SIGNAL_handler_uninstall (sigchld);
-  GNUNET_break (0 == close (reload_pipe[0]));
-  GNUNET_break (0 == close (reload_pipe[1]));
   return ret;
 }
 
 
+static struct GNUNET_SIGNAL_Context *sigusr1;
+static struct GNUNET_SIGNAL_Context *sigterm;
+static struct GNUNET_SIGNAL_Context *sigint;
+static struct GNUNET_SIGNAL_Context *sighup;
+static struct GNUNET_SIGNAL_Context *sigchld;
+
 /**
  * Setup initial #internal_key_state.
  */
-void
+int
 TEH_KS_init (void)
 {
+  if (0 != pipe (reload_pipe))
+  {
+    GNUNET_log_strerror (GNUNET_ERROR_TYPE_ERROR,
+                         "pipe");
+    return GNUNET_SYSERR;
+  }
+  sigusr1 = GNUNET_SIGNAL_handler_install (SIGUSR1,
+                                           &handle_sigusr1);
+  sigterm = GNUNET_SIGNAL_handler_install (SIGTERM,
+                                           &handle_sigterm);
+  sigint = GNUNET_SIGNAL_handler_install (SIGINT,
+                                          &handle_sigint);
+  sighup = GNUNET_SIGNAL_handler_install (SIGHUP,
+                                          &handle_sighup);
+  sigchld = GNUNET_SIGNAL_handler_install (SIGCHLD,
+                                           &handle_sigchld);
   /* no need to lock here, as we are still single-threaded */
   internal_key_state = make_fresh_key_state (GNUNET_TIME_absolute_get ());
   if (NULL == internal_key_state)
   {
     GNUNET_log (GNUNET_ERROR_TYPE_ERROR,
                 "Failed to setup initial key state. This exchange cannot work.\n");
-    return;
+    return GNUNET_SYSERR;
   }
   internal_key_state->refcnt = 1;
+  return GNUNET_OK;
 }
 
 
@@ -2312,6 +2306,13 @@ TEH_KS_free ()
   GNUNET_assert (1 == ks->refcnt);
   ks->refcnt--;
   ks_free (ks);
+  GNUNET_SIGNAL_handler_uninstall (sigusr1);
+  GNUNET_SIGNAL_handler_uninstall (sigterm);
+  GNUNET_SIGNAL_handler_uninstall (sigint);
+  GNUNET_SIGNAL_handler_uninstall (sighup);
+  GNUNET_SIGNAL_handler_uninstall (sigchld);
+  GNUNET_break (0 == close (reload_pipe[0]));
+  GNUNET_break (0 == close (reload_pipe[1]));
 }
 
 
diff --git a/src/exchange/taler-exchange-httpd_keystate.h b/src/exchange/taler-exchange-httpd_keystate.h
index a7deb94f8..ebcefa08a 100644
--- a/src/exchange/taler-exchange-httpd_keystate.h
+++ b/src/exchange/taler-exchange-httpd_keystate.h
@@ -84,8 +84,10 @@ TEH_KS_release_ (const char *location,
 
 /**
  * Setup initial #internal_key_state.
+ *
+ * @return #GNUNET_OK on success
  */
-void
+int
 TEH_KS_init (void);
 
 
diff --git a/src/exchange/test_taler_exchange_httpd.sh b/src/exchange/test_taler_exchange_httpd.sh
index 6840fa9d4..2ff5830d2 100755
--- a/src/exchange/test_taler_exchange_httpd.sh
+++ b/src/exchange/test_taler_exchange_httpd.sh
@@ -27,7 +27,7 @@ unset XDG_CONFIG_HOME
 echo -n "Launching exchange ..."
 PREFIX=
 # Uncomment this line to run with valgrind...
-#PREFIX="valgrind --leak-check=yes --track-fds=yes --error-exitcode=1 --log-file=valgrind.%p"
+# PREFIX="valgrind --leak-check=yes --track-fds=yes --error-exitcode=1 --log-file=valgrind.%p"
 
 # Setup keys.
 taler-exchange-keyup -c test_taler_exchange_httpd.conf || exit 1
@@ -38,7 +38,7 @@ $PREFIX taler-exchange-httpd -c test_taler_exchange_httpd.conf -i 2> test-exchan
 
 # Give HTTP time to start
 
-for n in `seq 1 20`
+for n in `seq 1 100`
 do
     echo -n "."
     sleep 0.1
@@ -49,6 +49,9 @@ done
 if [ 1 != $OK ]
 then
     echo "Failed to launch exchange"
+    kill -TERM $!
+    wait $!
+    echo Process status: $?
     exit 77
 fi
 echo " DONE"
diff --git a/src/exchangedb/plugin_exchangedb_postgres.c b/src/exchangedb/plugin_exchangedb_postgres.c
index 9ccf96b54..4d0b1bb6a 100644
--- a/src/exchangedb/plugin_exchangedb_postgres.c
+++ b/src/exchangedb/plugin_exchangedb_postgres.c
@@ -7405,8 +7405,7 @@ libtaler_plugin_exchangedb_postgres_done (void *cls)
 
   /* If we launched a session for the main thread,
      kill it here before we unload */
-  if (NULL != pg->main_session)
-    db_conn_destroy (pg->main_session);
+  db_conn_destroy (pg->main_session);
   GNUNET_free (pg->connection_cfg_str);
   GNUNET_free (pg->sql_dir);
   GNUNET_free (pg->currency);
diff --git a/src/mhd/mhd_legal.c b/src/mhd/mhd_legal.c
index fac974127..5af946d8f 100644
--- a/src/mhd/mhd_legal.c
+++ b/src/mhd/mhd_legal.c
@@ -485,7 +485,10 @@ load_language (struct TALER_MHD_Legal *legal,
                    lang);
   d = opendir (dname);
   if (NULL == d)
+  {
+    GNUNET_free (dname);
     return;
+  }
   for (struct dirent *de = readdir (d);
        NULL != de;
        de = readdir (d))
@@ -497,7 +500,7 @@ load_language (struct TALER_MHD_Legal *legal,
     load_terms (legal, path, lang, fn);
   }
   closedir (d);
-  free (dname);
+  GNUNET_free (dname);
 }