diff --git a/hadoop-yarn-project/CHANGES.txt b/hadoop-yarn-project/CHANGES.txt
index 50780b3cd4..18f0381cca 100644
--- a/hadoop-yarn-project/CHANGES.txt
+++ b/hadoop-yarn-project/CHANGES.txt
@@ -47,6 +47,9 @@ Release 2.0.4-beta - UNRELEASED
     YARN-406. Fix TestRackResolver to function in networks where "host1"
     resolves to a valid host. (Hitesh Shah via sseth)
 
+    YARN-376. Fixes a bug which would prevent the NM knowing about completed
+    containers and applications. (Jason Lowe via sseth)
+
 Release 2.0.3-alpha - 2013-02-06 
 
   INCOMPATIBLE CHANGES
diff --git a/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-resourcemanager/src/main/java/org/apache/hadoop/yarn/server/resourcemanager/ResourceTrackerService.java b/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-resourcemanager/src/main/java/org/apache/hadoop/yarn/server/resourcemanager/ResourceTrackerService.java
index de5fcc68ce..7aaa066845 100644
--- a/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-resourcemanager/src/main/java/org/apache/hadoop/yarn/server/resourcemanager/ResourceTrackerService.java
+++ b/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-resourcemanager/src/main/java/org/apache/hadoop/yarn/server/resourcemanager/ResourceTrackerService.java
@@ -262,8 +262,7 @@ public NodeHeartbeatResponse nodeHeartbeat(NodeHeartbeatRequest request)
     HeartbeatResponse latestResponse = recordFactory
         .newRecordInstance(HeartbeatResponse.class);
     latestResponse.setResponseId(lastHeartbeatResponse.getResponseId() + 1);
-    latestResponse.addAllContainersToCleanup(rmNode.getContainersToCleanUp());
-    latestResponse.addAllApplicationsToCleanup(rmNode.getAppsToCleanup());
+    rmNode.updateHeartbeatResponseForCleanup(latestResponse);
     latestResponse.setNodeAction(NodeAction.NORMAL);
 
     // Check if node's masterKey needs to be updated and if the currentKey has
diff --git a/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-resourcemanager/src/main/java/org/apache/hadoop/yarn/server/resourcemanager/rmnode/RMNode.java b/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-resourcemanager/src/main/java/org/apache/hadoop/yarn/server/resourcemanager/rmnode/RMNode.java
index 4b1f8f9e6a..dc7295af08 100644
--- a/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-resourcemanager/src/main/java/org/apache/hadoop/yarn/server/resourcemanager/rmnode/RMNode.java
+++ b/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-resourcemanager/src/main/java/org/apache/hadoop/yarn/server/resourcemanager/rmnode/RMNode.java
@@ -105,6 +105,13 @@ public interface RMNode {
 
   public List<ApplicationId> getAppsToCleanup();
 
+  /**
+   * Update a {@link HeartbeatResponse} with the list of containers and
+   * applications to clean up for this node.
+   * @param response the {@link HeartbeatResponse} to update
+   */
+  public void updateHeartbeatResponseForCleanup(HeartbeatResponse response);
+
   public HeartbeatResponse getLastHeartBeatResponse();
   
   /**
diff --git a/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-resourcemanager/src/main/java/org/apache/hadoop/yarn/server/resourcemanager/rmnode/RMNodeImpl.java b/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-resourcemanager/src/main/java/org/apache/hadoop/yarn/server/resourcemanager/rmnode/RMNodeImpl.java
index 3799526590..23a4599139 100644
--- a/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-resourcemanager/src/main/java/org/apache/hadoop/yarn/server/resourcemanager/rmnode/RMNodeImpl.java
+++ b/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-resourcemanager/src/main/java/org/apache/hadoop/yarn/server/resourcemanager/rmnode/RMNodeImpl.java
@@ -303,6 +303,21 @@ public List<ContainerId> getContainersToCleanUp() {
     }
   };
 
+  @Override
+  public void updateHeartbeatResponseForCleanup(HeartbeatResponse response) {
+    this.writeLock.lock();
+
+    try {
+      response.addAllContainersToCleanup(
+          new ArrayList<ContainerId>(this.containersToClean));
+      response.addAllApplicationsToCleanup(this.finishedApplications);
+      this.containersToClean.clear();
+      this.finishedApplications.clear();
+    } finally {
+      this.writeLock.unlock();
+    }
+  };
+
   @Override
   public HeartbeatResponse getLastHeartBeatResponse() {
 
@@ -564,12 +579,6 @@ public NodeState transition(RMNodeImpl rmNode, RMNodeEvent event) {
       rmNode.context.getDelegationTokenRenewer().updateKeepAliveApplications(
           statusEvent.getKeepAliveAppIds());
 
-      // HeartBeat processing from our end is done, as node pulls the following
-      // lists before sending status-updates. Clear data-structures
-      // TODO: These lists could go to the NM multiple times, or never.
-      rmNode.containersToClean.clear();
-      rmNode.finishedApplications.clear();
-
       return NodeState.RUNNING;
     }
   }
diff --git a/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-resourcemanager/src/test/java/org/apache/hadoop/yarn/server/resourcemanager/MockNodes.java b/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-resourcemanager/src/test/java/org/apache/hadoop/yarn/server/resourcemanager/MockNodes.java
index 37e1017038..2c0fb6cf1d 100644
--- a/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-resourcemanager/src/test/java/org/apache/hadoop/yarn/server/resourcemanager/MockNodes.java
+++ b/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-resourcemanager/src/test/java/org/apache/hadoop/yarn/server/resourcemanager/MockNodes.java
@@ -186,6 +186,10 @@ public List<ApplicationId> getAppsToCleanup() {
       return null;
     }
 
+    @Override
+    public void updateHeartbeatResponseForCleanup(HeartbeatResponse response) {
+    }
+
     @Override
     public HeartbeatResponse getLastHeartBeatResponse() {
       return null;
diff --git a/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-resourcemanager/src/test/java/org/apache/hadoop/yarn/server/resourcemanager/TestRMNodeTransitions.java b/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-resourcemanager/src/test/java/org/apache/hadoop/yarn/server/resourcemanager/TestRMNodeTransitions.java
index 982d2af506..e165e417cd 100644
--- a/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-resourcemanager/src/test/java/org/apache/hadoop/yarn/server/resourcemanager/TestRMNodeTransitions.java
+++ b/hadoop-yarn-project/hadoop-yarn/hadoop-yarn-server/hadoop-yarn-server-resourcemanager/src/test/java/org/apache/hadoop/yarn/server/resourcemanager/TestRMNodeTransitions.java
@@ -30,6 +30,7 @@
 
 import junit.framework.Assert;
 
+import org.apache.hadoop.yarn.api.records.ApplicationId;
 import org.apache.hadoop.yarn.api.records.ContainerId;
 import org.apache.hadoop.yarn.api.records.ContainerStatus;
 import org.apache.hadoop.yarn.api.records.NodeHealthStatus;
@@ -38,6 +39,7 @@
 import org.apache.hadoop.yarn.event.EventHandler;
 import org.apache.hadoop.yarn.event.InlineDispatcher;
 import org.apache.hadoop.yarn.server.api.records.HeartbeatResponse;
+import org.apache.hadoop.yarn.server.resourcemanager.rmnode.RMNodeCleanAppEvent;
 import org.apache.hadoop.yarn.server.resourcemanager.rmnode.RMNodeCleanContainerEvent;
 import org.apache.hadoop.yarn.server.resourcemanager.rmnode.RMNodeEvent;
 import org.apache.hadoop.yarn.server.resourcemanager.rmnode.RMNodeEventType;
@@ -51,6 +53,7 @@
 import org.apache.hadoop.yarn.server.resourcemanager.scheduler.event.SchedulerEventType;
 import org.apache.hadoop.yarn.server.resourcemanager.security.DelegationTokenRenewer;
 import org.apache.hadoop.yarn.util.BuilderUtils;
+import org.apache.hadoop.yarn.util.Records;
 import org.junit.After;
 import org.junit.Before;
 import org.junit.Test;
@@ -299,6 +302,39 @@ public void testUnhealthyRebooting() {
     Assert.assertEquals(NodeState.REBOOTED, node.getState());
   }
 
+  @Test(timeout=20000)
+  public void testUpdateHeartbeatResponseForCleanup() {
+    RMNodeImpl node = getRunningNode();
+    NodeId nodeId = node.getNodeID();
+
+    // Expire a container
+		ContainerId completedContainerId = BuilderUtils.newContainerId(
+				BuilderUtils.newApplicationAttemptId(
+						BuilderUtils.newApplicationId(0, 0), 0), 0);
+    node.handle(new RMNodeCleanContainerEvent(nodeId, completedContainerId));
+    Assert.assertEquals(1, node.getContainersToCleanUp().size());
+
+    // Finish an application
+    ApplicationId finishedAppId = BuilderUtils.newApplicationId(0, 1);
+    node.handle(new RMNodeCleanAppEvent(nodeId, finishedAppId));
+    Assert.assertEquals(1, node.getAppsToCleanup().size());
+
+    // Verify status update does not clear containers/apps to cleanup
+    // but updating heartbeat response for cleanup does
+    RMNodeStatusEvent statusEvent = getMockRMNodeStatusEvent();
+    node.handle(statusEvent);
+    Assert.assertEquals(1, node.getContainersToCleanUp().size());
+    Assert.assertEquals(1, node.getAppsToCleanup().size());
+    HeartbeatResponse hbrsp = Records.newRecord(HeartbeatResponse.class);
+    node.updateHeartbeatResponseForCleanup(hbrsp);
+    Assert.assertEquals(0, node.getContainersToCleanUp().size());
+    Assert.assertEquals(0, node.getAppsToCleanup().size());
+    Assert.assertEquals(1, hbrsp.getContainersToCleanupCount());
+    Assert.assertEquals(completedContainerId, hbrsp.getContainerToCleanup(0));
+    Assert.assertEquals(1, hbrsp.getApplicationsToCleanupCount());
+    Assert.assertEquals(finishedAppId, hbrsp.getApplicationsToCleanup(0));
+  }
+
   private RMNodeImpl getRunningNode() {
     NodeId nodeId = BuilderUtils.newNodeId("localhost", 0);
     RMNodeImpl node = new RMNodeImpl(nodeId, rmContext,null, 0, 0,