diff --git a/defaults/initrd.scripts b/defaults/initrd.scripts
index 1f67740..941ed41 100644
--- a/defaults/initrd.scripts
+++ b/defaults/initrd.scripts
@@ -219,6 +219,11 @@ is_nfs() {
 	return 1
 }
 
+is_aufs() {
+	[ "${USE_AUFS}" = "1" ] && return 0
+	return 1
+}
+
 setup_real_root() {
 	if ! is_livecd
 	then
@@ -1611,6 +1616,227 @@ livecd_init() {
 	fi
 }
 
+livecd_mount() {
+	# Let Init scripts know that we booted from CD
+	export CDBOOT
+	CDBOOT=1
+
+	good_msg 'Determining looptype ...'
+	cd "${NEW_ROOT}"
+
+	# Find loop and looptype
+	[ -z "${LOOP}" ] && find_loop
+	[ -z "${LOOPTYPE}" ] && find_looptype
+
+	cache_cd_contents
+
+	# If encrypted, find key and mount, otherwise mount as usual
+	if [ -n "${CRYPT_ROOT}" ]
+	then
+		CRYPT_ROOT_KEY="$(head -n 1 "${CDROOT_PATH}"/${CDROOT_MARKER})"
+		CRYPT_ROOT='/dev/loop0'
+		good_msg 'You booted an encrypted livecd' "${CRYPT_SILENT}"
+
+		losetup /dev/loop0 "${CDROOT_PATH}/${LOOPEXT}${LOOP}"
+		test_success 'Preparing loop filesystem'
+
+		start_luks
+
+		case ${LOOPTYPE} in
+			normal)
+				MOUNTTYPE="ext2"
+				;;
+			*)
+				MOUNTTYPE="${LOOPTYPE}"
+				;;
+		esac
+		mount -t "${MOUNTTYPE}" -o ro /dev/mapper/root \
+			"${NEW_ROOT}/mnt/livecd"
+		test_success 'Mount filesystem'
+		FS_LOCATION='mnt/livecd'
+	else
+		# Setup the loopback mounts, if unencrypted
+		if [ "${LOOPTYPE}" = 'normal' ]; then
+			_livecd_mount_normal
+			FS_LOCATION='mnt/livecd'
+		elif [ "${LOOPTYPE}" = 'squashfs' ]; then
+			_livecd_mount_squashfs
+			FS_LOCATION='mnt/livecd'
+		elif [ "${LOOPTYPE}" = 'gcloop' ]; then
+			_livecd_mount_gcloop
+			FS_LOCATION='mnt/livecd'
+		elif [ "${LOOPTYPE}" = 'zisofs' ]; then
+			FS_LOCATION="${CDROOT_PATH/\/}/${LOOPEXT}${LOOP}"
+		elif [ "${LOOPTYPE}" = 'noloop' ]; then
+			FS_LOCATION="${CDROOT_PATH/\/}"
+		elif [ "${LOOPTYPE}" = 'sgimips' ]; then
+			_livecd_mount_sgimips
+			FS_LOCATION='mnt/livecd'
+		fi
+	fi
+
+	is_nfs && _livecd_mount_unpack_nfs
+
+	# Manually copy livecd content to tmpfs if aufs is disabled
+	is_aufs || _livecd_mount_copy_content
+}
+
+# Unpack additional packages from NFS mount
+# This is useful for adding kernel modules to /lib
+# We do this now, so that additional packages can add whereever
+# they want.
+_livecd_mount_unpack_nfs() {
+	if [ -e "${CDROOT_PATH}/add" ]; then
+		for targz in $(ls ${CDROOT_PATH}/add/*.tar.gz); do
+			tarname=$(basename ${targz})
+			good_msg "Adding additional package ${tarname}"
+			(cd ${NEW_ROOT} ; /bin/tar -xzf ${targz})
+		done
+	fi
+}
+
+_livecd_mount_sgimips() {
+	# getdvhoff finds the starting offset (in bytes) of the squashfs
+	# partition on the cdrom and returns this offset for losetup
+	#
+	# All currently supported SGI Systems use SCSI CD-ROMs, so
+	# so we know that the CD-ROM is usually going to be /dev/sr0.
+	#
+	# We use the value given to losetup to set /dev/loop0 to point
+	# to the liveCD root partition, and then mount /dev/loop0 as
+	# the LiveCD rootfs
+	good_msg 'Locating the SGI LiveCD Root Partition'
+	echo ' ' | \
+		losetup -o $(getdvhoff "${NEW_ROOT}${REAL_ROOT}" 0) \
+			"${NEW_ROOT}${CDROOT_DEV}" \
+			"${NEW_ROOT}${REAL_ROOT}"
+	test_success 'losetup /dev/sr0 /dev/loop0'
+
+	good_msg 'Mounting the Root Partition'
+	mount -t squashfs -o ro "${NEW_ROOT}${CDROOT_DEV}" \
+		"${NEW_ROOT}/mnt/livecd"
+	test_success 'mount /dev/loop0 /'
+}
+
+_livecd_mount_gcloop() {
+	good_msg 'Mounting gcloop filesystem'
+	echo ' ' | losetup -E 19 -e ucl-0 -p0 \
+		"${NEW_ROOT}/dev/loop0" \
+		"${CDROOT_PATH}/${LOOPEXT}${LOOP}"
+	test_success 'losetup the loop device'
+
+	mount -t ext2 -o ro "${NEW_ROOT}/dev/loop0" "${NEW_ROOT}/mnt/livecd"
+	test_success 'Mount the losetup loop device'
+}
+
+_livecd_mount_normal() {
+	good_msg 'Mounting loop filesystem'
+	mount -t ext2 -o loop,ro \
+		"${CDROOT_PATH}/${LOOPEXT}${LOOP}" \
+		"${NEW_ROOT}/mnt/livecd"
+	test_success 'Mount filesystem'
+}
+
+_livecd_mount_squashfs() {
+	# if AUFS, redirect to the squashfs+aufs setup function
+	if is_aufs; then
+		good_msg 'Mounting squashfs & aufs filesystems'
+		setup_squashfs_aufs
+		test_success 'Mount filesystem'
+		return  # preserve old behaviour
+	fi
+
+	good_msg 'Mounting squashfs filesystem'
+	local cached_squashfs_path="${NEW_ROOT}/mnt/${LOOP}"
+	local squashfs_path="${CDROOT_PATH}/${LOOPEXT}${LOOP}"
+
+	# Upgrade to cached version if possible
+	if [ -n "${DO_cache}" ] && [ -f "${cached_squashfs_path}" ]; then
+		squashfs_path="${cached_squashfs_path}"
+	fi
+
+	mount -t squashfs -o loop,ro "${squashfs_path}" \
+		"${NEW_ROOT}/mnt/livecd" || {
+		bad_msg "squashfs filesystem could not be mounted."
+		do_rundebugshell
+	}
+}
+
+# Manually copy livecd read-only content into the final livecd root
+# filesystem directory, which has been mounted as tmpfs.
+_livecd_mount_copy_content() {
+	local fs_loc="${NEW_ROOT}/${FS_LOCATION}"
+
+	good_msg "Copying read-write image contents to tmpfs"
+	# Copy over stuff that should be writable
+	(
+		cd "${fs_loc}" && cp -a ${ROOT_TREES} "${NEW_ROOT}"
+	) || {
+		bad_msg "Copy failed, dropping into a shell."
+		do_rundebugshell
+	}
+
+	# Now we do the links.
+	for x in ${ROOT_LINKS}; do
+
+		if [ -L "${fs_loc}/${x}" ]; then
+			ln -s "$(readlink ${fs_loc}/${x})" "${x}" 2>/dev/null
+			continue
+		fi
+
+		# List all subdirectories of x
+		find "${fs_loc}/${x}" -type d 2>/dev/null | \
+			while read directory; do
+
+			# Strip the prefix of the FS_LOCATION
+			directory="${directory#${fs_loc}/}"
+
+			# Skip this directory if we already linked a parent
+			# directory
+			if [ "${current_parent}" != "" ]; then
+				var=$(echo "${directory}" | \
+					grep "^${current_parent}")
+				if [ "${var}" != "" ]; then
+					continue
+				fi
+			fi
+
+			local root_d="${NEW_ROOT}/${directory}"
+			local fsloc_d="${FS_LOCATION}/${directory}"
+
+			# Test if the directory exists already
+			if [ ! -e "/${root_d}" ]; then
+				# It does not exist, make a link to the livecd
+				ln -s "/${FS_LOCATION}/${directory}" \
+					"${directory}" 2>/dev/null
+				current_parent="${directory}"
+				continue
+			fi
+
+			# It does exist, link all the individual files
+			local fs_d="/${fs_loc}/${directory}"
+
+			for file in $(ls "${fs_d}"); do
+				[ -d "${fs_d}/${file}" ] && continue
+				[ -e "${root_d}/${file}" ] && continue
+
+				ln -s "/${fsloc_d}/${file}" \
+					"${directory}/${file}" 2> /dev/null
+			done
+
+		done
+
+	done
+
+	mkdir initramfs proc tmp sys run 2>/dev/null
+	chmod 1777 tmp
+
+	# have handy /mnt/cdrom (CDROOT_PATH) as well
+	_new_cdroot="${NEW_ROOT}${CDROOT_PATH}"
+	[ ! -d "${_new_cdroot}" ] && mkdir -p "${_new_cdroot}"
+	mount --bind "${CDROOT_PATH}" "${_new_cdroot}"
+}
+
 get_mounts_list() {
 	awk '
 		/^[[:blank:]]*#/ { next }
diff --git a/defaults/linuxrc b/defaults/linuxrc
index de37c80..7d7bb8c 100644
--- a/defaults/linuxrc
+++ b/defaults/linuxrc
@@ -237,7 +237,7 @@ do
 			keymap=${x#*=}
 		;;
 		aufs)
-			USE_AUFS_NORMAL=1
+			USE_AUFS=1
 		;;
 	esac
 done
@@ -299,193 +299,7 @@ is_livecd && livecd_init
 rootdev_init
 
 # If CD root is set determine the looptype to boot
-if is_livecd
-then
-	good_msg 'Determining looptype ...'
-	cd "${NEW_ROOT}"
-
-	# Find loop and looptype
-	[ -z "${LOOP}" ] && find_loop
-	[ -z "${LOOPTYPE}" ] && find_looptype
-
-	cache_cd_contents
-
-	# If encrypted, find key and mount, otherwise mount as usual
-	if [ -n "${CRYPT_ROOT}" ]
-	then
-		CRYPT_ROOT_KEY="$(head -n 1 "${CDROOT_PATH}"/${CDROOT_MARKER})"
-		CRYPT_ROOT='/dev/loop0'
-		good_msg 'You booted an encrypted livecd' "${CRYPT_SILENT}"
-
-		losetup /dev/loop0 "${CDROOT_PATH}/${LOOPEXT}${LOOP}"
-		test_success 'Preparing loop filesystem'
-
-		start_luks
-
-		case ${LOOPTYPE} in
-			normal)
-				MOUNTTYPE="ext2"
-				;;
-			*)
-				MOUNTTYPE="${LOOPTYPE}"
-				;;
-		esac
-		mount -t "${MOUNTTYPE}" -o ro /dev/mapper/root "${NEW_ROOT}/mnt/livecd"
-		test_success 'Mount filesystem'
-		FS_LOCATION='mnt/livecd'
-	# Setup the loopback mounts, if unencrypted
-	else
-		if [ "${LOOPTYPE}" = 'normal' ]
-		then
-			good_msg 'Mounting loop filesystem'
-			mount -t ext2 -o loop,ro "${CDROOT_PATH}/${LOOPEXT}${LOOP}" "${NEW_ROOT}/mnt/livecd"
-			test_success 'Mount filesystem'
-			FS_LOCATION='mnt/livecd'
-		elif [ "${LOOPTYPE}" = 'squashfs' ]
-		then
-			if [ "${USE_AUFS_NORMAL}" != '1' ]; then
-				good_msg 'Mounting squashfs filesystem'
-				_CACHED_SQUASHFS_PATH="${NEW_ROOT}/mnt/${LOOP}"
-				_squashfs_path="${CDROOT_PATH}/${LOOPEXT}${LOOP}"  # Default to uncached
-				# Upgrade to cached version if possible
-				[ "${DO_cache}" -a -f "${_CACHED_SQUASHFS_PATH}" ] \
-						&& _squashfs_path=${_CACHED_SQUASHFS_PATH}
-				mount -t squashfs -o loop,ro "${_squashfs_path}" "${NEW_ROOT}/mnt/livecd" || {
-					bad_msg "Squashfs filesystem could not be mounted, dropping into shell."
-					if [ -e /proc/filesystems ]; then
-						fgrep -q squashfs /proc/filesystems || \
-							bad_msg "HINT: Your kernel does not know filesystem \"squashfs\"."
-					fi
-					do_rundebugshell
-				}
-			else
-				good_msg 'Mounting squashfs & aufs filesystems'
-				setup_squashfs_aufs
-				test_success 'Mount filesystem'
-			fi
-			FS_LOCATION='mnt/livecd'
-		elif [ "${LOOPTYPE}" = 'gcloop' ]
-		then
-			good_msg 'Mounting gcloop filesystem'
-			echo ' ' | losetup -E 19 -e ucl-0 -p0 "${NEW_ROOT}/dev/loop0" "${CDROOT_PATH}/${LOOPEXT}${LOOP}"
-			test_success 'losetup the loop device'
-
-			mount -t ext2 -o ro "${NEW_ROOT}/dev/loop0" "${NEW_ROOT}/mnt/livecd"
-			test_success 'Mount the losetup loop device'
-			FS_LOCATION='mnt/livecd'
-		elif [ "${LOOPTYPE}" = 'zisofs' ]
-		then
-			FS_LOCATION="${CDROOT_PATH/\/}/${LOOPEXT}${LOOP}"
-		elif [ "${LOOPTYPE}" = 'noloop' ]
-		then
-			FS_LOCATION="${CDROOT_PATH/\/}"
-		elif [ "${LOOPTYPE}" = 'sgimips' ]
-		then
-			# getdvhoff finds the starting offset (in bytes) of the squashfs
-			# partition on the cdrom and returns this offset for losetup
-			#
-			# All currently supported SGI Systems use SCSI CD-ROMs, so
-			# so we know that the CD-ROM is usually going to be /dev/sr0.
-			#
-			# We use the value given to losetup to set /dev/loop0 to point
-			# to the liveCD root partition, and then mount /dev/loop0 as
-			# the LiveCD rootfs
-			good_msg 'Locating the SGI LiveCD Root Partition'
-			echo ' ' | \
-				losetup -o $(getdvhoff "${NEW_ROOT}${REAL_ROOT}" 0) \
-					"${NEW_ROOT}${CDROOT_DEV}" \
-					"${NEW_ROOT}${REAL_ROOT}"
-			test_success 'losetup /dev/sr0 /dev/loop0'
-
-			good_msg 'Mounting the Root Partition'
-			mount -t squashfs -o ro "${NEW_ROOT}${CDROOT_DEV}" "${NEW_ROOT}/mnt/livecd"
-			test_success 'mount /dev/loop0 /'
-			FS_LOCATION='mnt/livecd'
-		fi
-	fi
-
-
-
-	# Unpacking additional packages from NFS mount
-	# This is useful for adding kernel modules to /lib
-	# We do this now, so that additional packages can add whereever
-	# they want.
-	if is_nfs
-	then
-		if [ -e "${CDROOT_PATH}/add" ]
-		then
-				for targz in $(ls ${CDROOT_PATH}/add/*.tar.gz)
-				do
-					tarname=$(basename ${targz})
-					good_msg "Adding additional package ${tarname}"
-					(cd ${NEW_ROOT} ; /bin/tar -xzf ${targz})
-				done
-		fi
-	fi
-
-
-	if [ "${USE_AUFS_NORMAL}" != '1' ]; then
-
-	good_msg "Copying read-write image contents to tmpfs"
-	# Copy over stuff that should be writable
-	(cd "${NEW_ROOT}/${FS_LOCATION}"; cp -a ${ROOT_TREES} "${NEW_ROOT}") || {
-		bad_msg "Copying failed, dropping into a shell."
-		do_rundebugshell
-	}
-
-	# Now we do the links.
-	for x in ${ROOT_LINKS}
-	do
-		if [ -L "${NEW_ROOT}/${FS_LOCATION}/${x}" ]
-		then
-			ln -s "$(readlink ${NEW_ROOT}/${FS_LOCATION}/${x})" "${x}" 2>/dev/null
-		else
-			# List all subdirectories of x
-			find "${NEW_ROOT}/${FS_LOCATION}/${x}" -type d 2>/dev/null | while read directory
-			do
-				# Strip the prefix of the FS_LOCATION
-				directory="${directory#${NEW_ROOT}/${FS_LOCATION}/}"
-
-				# Skip this directory if we already linked a parent directory
-				if [ "${current_parent}" != '' ]; then
-					var=$(echo "${directory}" | grep "^${current_parent}")
-					if [ "${var}" != '' ]; then
-						continue
-					fi
-				fi
-				# Test if the directory exists already
-				if [ -e "/${NEW_ROOT}/${directory}" ]
-				then
-					# It does exist, link all the individual files
-					for file in $(ls /${NEW_ROOT}/${FS_LOCATION}/${directory})
-					do
-					if [ ! -d "/${NEW_ROOT}/${FS_LOCATION}/${directory}/${file}" ] && [ ! -e "${NEW_ROOT}/${directory}/${file}" ]; then
-							ln -s "/${FS_LOCATION}/${directory}/${file}" "${directory}/${file}" 2> /dev/null
-						fi
-					done
-				else
-					# It does not exist, make a link to the livecd
-					ln -s "/${FS_LOCATION}/${directory}" "${directory}" 2>/dev/null
-					current_parent="${directory}"
-				fi
-			done
-		fi
-	done
-
-	mkdir initramfs proc tmp sys run 2>/dev/null
-	chmod 1777 tmp
-
-	# have handy /mnt/cdrom (CDROOT_PATH) as well
-	_new_cdroot="${NEW_ROOT}${CDROOT_PATH}"
-	[ ! -d "${_new_cdroot}" ] && mkdir -p "${_new_cdroot}"
-	mount --bind "${CDROOT_PATH}" "${_new_cdroot}"
-
-	fi
-
-	# Let Init scripts know that we booted from CD
-	export CDBOOT
-	CDBOOT=1
-fi
+is_livecd && livecd_mount
 
 # Re-run this here, which makes sure that it at least had a chance
 # to be called.