diff --git a/Makefile.am b/Makefile.am
index 21ca61e..0c52720 100644
--- a/Makefile.am
+++ b/Makefile.am
@@ -31,7 +31,8 @@ libkmscon_core_la_SOURCES = \
 	src/input_xkb.c src/input_xkb.h \
 	external/imKStoUCS.c external\imKStoUCS.h \
 	src/vte.c src/vte.h \
-	src/terminal.c src/terminal.h
+	src/terminal.c src/terminal.h \
+	src/pty.c src/pty.h
 
 if USE_PANGO
 libkmscon_core_la_SOURCES += \
diff --git a/src/pty.c b/src/pty.c
new file mode 100644
index 0000000..4f53170
--- /dev/null
+++ b/src/pty.c
@@ -0,0 +1,421 @@
+/*
+ * kmscon - Pseudo Terminal Handling
+ *
+ * Copyright (c) 2012 Ran Benita <ran234@gmail.com>
+ *
+ * Permission is hereby granted, free of charge, to any person obtaining
+ * a copy of this software and associated documentation files
+ * (the "Software"), to deal in the Software without restriction, including
+ * without limitation the rights to use, copy, modify, merge, publish,
+ * distribute, sublicense, and/or sell copies of the Software, and to
+ * permit persons to whom the Software is furnished to do so, subject to
+ * the following conditions:
+ *
+ * The above copyright notice and this permission notice shall be included
+ * in all copies or substantial portions of the Software.
+ *
+ * THE SOFTWARE IS PROVIDED "AS IS", WITHOUT WARRANTY OF ANY KIND, EXPRESS
+ * OR IMPLIED, INCLUDING BUT NOT LIMITED TO THE WARRANTIES OF
+ * MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE AND NONINFRINGEMENT.
+ * IN NO EVENT SHALL THE AUTHORS OR COPYRIGHT HOLDERS BE LIABLE FOR ANY
+ * CLAIM, DAMAGES OR OTHER LIABILITY, WHETHER IN AN ACTION OF CONTRACT,
+ * TORT OR OTHERWISE, ARISING FROM, OUT OF OR IN CONNECTION WITH THE
+ * SOFTWARE OR THE USE OR OTHER DEALINGS IN THE SOFTWARE.
+ */
+
+/* for pty functions */
+#define _XOPEN_SOURCE 700
+
+#include <errno.h>
+#include <fcntl.h>
+#include <paths.h>
+#include <pty.h>
+#include <stdlib.h>
+#include <string.h>
+#include <sys/ioctl.h>
+#include <termios.h>
+#include <unistd.h>
+
+#include "log.h"
+#include "pty.h"
+
+struct kmscon_pty {
+	unsigned long ref;
+	struct kmscon_eloop *eloop;
+
+	int fd;
+	struct kmscon_fd *efd;
+
+	kmscon_pty_output_cb output_cb;
+	void *output_data;
+
+	kmscon_pty_closed_cb closed_cb;
+	void *closed_data;
+};
+
+int kmscon_pty_new(struct kmscon_pty **out,
+				kmscon_pty_output_cb output_cb, void *data)
+{
+	struct kmscon_pty *pty;
+
+	if (!out)
+		return -EINVAL;
+
+	log_debug("pty: new pty object\n");
+
+	pty = malloc(sizeof(*pty));
+	if (!pty)
+		return -ENOMEM;
+
+	memset(pty, 0, sizeof(*pty));
+	pty->fd = -1;
+	pty->ref = 1;
+
+	pty->output_cb = output_cb;
+	pty->output_data = data;
+	*out = pty;
+	return 0;
+}
+
+void kmscon_pty_ref(struct kmscon_pty *pty)
+{
+	if (!pty)
+		return;
+
+	pty->ref++;
+}
+
+void kmscon_pty_unref(struct kmscon_pty *pty)
+{
+	if (!pty || !pty->ref)
+		return;
+
+	if (--pty->ref)
+		return;
+
+	kmscon_pty_close(pty);
+	free(pty);
+	log_debug("pty: destroying pty object\n");
+}
+
+/*
+ * TODO:
+ *   - Decide which terminal we're emulating and set TERM accordingly.
+ *   - Decide what to exec here: login, some getty equivalent, a shell...
+ *   - Might also need to update some details in utmp wtmp and friends.
+ */
+static void __attribute__((noreturn))
+exec_child(int pty_master)
+{
+	const char *sh;
+
+	setenv("TERM", "linux", 1);
+
+	sh = getenv("SHELL") ?: _PATH_BSHELL;
+	execlp(sh, sh, "-i", NULL);
+
+	log_err("pty: failed to exec child: %m\n");
+
+	_exit(EXIT_FAILURE);
+}
+
+static int fork_pty_child(int master, struct winsize *ws)
+{
+	int ret, saved_errno;
+	pid_t pid;
+	const char *slave_name;
+	int slave = -1;
+
+	/* This doesn't actually do anything on linux. */
+	ret = grantpt(master);
+	if (ret < 0) {
+		log_err("pty: grantpt failed: %m");
+		goto err_out;
+	}
+
+	ret = unlockpt(master);
+	if (ret < 0) {
+		log_err("pty: cannot unlock pty: %m");
+		goto err_out;
+	}
+
+	slave_name = ptsname(master);
+	if (!slave_name) {
+		log_err("pty: cannot find slave name: %m");
+		goto err_out;
+	}
+
+	/* This also loses our controlling tty. */
+	pid = setsid();
+	if (pid < 0) {
+		log_err("pty: cannot start a new session: %m");
+		goto err_out;
+	}
+
+	/* And the slave pty becomes our controlling tty. */
+	slave = open(slave_name, O_RDWR | O_CLOEXEC);
+	if (slave < 0) {
+		log_err("pty: cannot open slave: %m");
+		goto err_out;
+	}
+
+	if (ws) {
+		ret = ioctl(slave, TIOCSWINSZ, ws);
+		if (ret)
+			log_warning("pty: cannot set slave window size: %m");
+	}
+
+	if (dup2(slave, STDIN_FILENO) != STDIN_FILENO ||
+			dup2(slave, STDOUT_FILENO) != STDOUT_FILENO ||
+			dup2(slave, STDERR_FILENO) != STDERR_FILENO) {
+		log_err("pty: cannot duplicate slave: %m");
+		goto err_out;
+	}
+
+	close(master);
+	close(slave);
+	return 0;
+
+err_out:
+	saved_errno = errno;
+	if (slave > 0)
+		close(slave);
+	close(master);
+	return -saved_errno;
+}
+
+/*
+ * This is functionally equivalent to forkpty(3). We do it manually to obtain
+ * a little bit more control of the process, and as a bonus avoid linking to
+ * the libutil library in glibc.
+ */
+static pid_t fork_pty(int *pty_out, struct winsize *ws)
+{
+	int ret;
+	pid_t pid;
+	int master;
+
+	master = posix_openpt(O_RDWR | O_NOCTTY | O_CLOEXEC | O_NONBLOCK);
+	if (master < 0) {
+		ret = -errno;
+		log_err("pty: cannot open master: %m");
+		goto err_out;
+	}
+
+	pid = fork();
+	switch (pid) {
+	case -1:
+		log_err("pty: cannot fork: %m");
+		ret = -errno;
+		goto err_master;
+	case 0:
+		ret = fork_pty_child(master, ws);
+		if (ret)
+			goto err_master;
+		*pty_out = -1;
+		return 0;
+	default:
+		*pty_out = master;
+		return pid;
+	}
+
+err_master:
+	close(master);
+err_out:
+	*pty_out = -1;
+	errno = -ret;
+	return -1;
+}
+
+static int pty_spawn(struct kmscon_pty *pty,
+			unsigned short width, unsigned short height)
+{
+	struct winsize ws;
+	pid_t pid;
+
+	if (pty->fd >= 0)
+		return -EALREADY;
+
+	memset(&ws, 0, sizeof(ws));
+	ws.ws_col = width;
+	ws.ws_row = height;
+
+	pid = fork_pty(&pty->fd, &ws);
+	switch (pid) {
+	case -1:
+		log_err("pty: cannot fork or open pty pair: %m");
+		return -errno;
+	case 0:
+		exec_child(pty->fd);
+	default:
+		break;
+	}
+
+	return 0;
+}
+
+static void pty_output(struct kmscon_fd *fd, int mask, void *data)
+{
+	int ret, nread;
+	ssize_t len;
+	struct kmscon_pty *pty = data;
+
+	if (!pty || pty->fd < 0)
+		return;
+
+	/*
+	 * If we get a hangup or an error, but the pty is still readable, we
+	 * read what's left and deal with the rest on the next dispatch.
+	 */
+	if (!(mask & KMSCON_READABLE)) {
+		if (mask & KMSCON_ERR)
+			log_warning("pty: error condition happened on pty\n");
+		kmscon_pty_close(pty);
+		return;
+	}
+
+	ret = ioctl(pty->fd, FIONREAD, &nread);
+	if (ret) {
+		log_warning("pty: cannot peek into pty input buffer: %m");
+		return;
+	} else if (nread <= 0) {
+		return;
+	}
+
+	char u8[nread];
+	len = read(pty->fd, u8, nread);
+	if (len == -1) {
+		if (errno == EWOULDBLOCK)
+			return;
+		/* EIO is hangup, although we should have caught it above. */
+		if (errno != EIO)
+			log_err("pty: cannot read from pty: %m");
+		kmscon_pty_close(pty);
+		return;
+	} else if (len == 0) {
+		kmscon_pty_close(pty);
+		return;
+	}
+
+	if (pty->output_cb)
+		pty->output_cb(pty, u8, len, pty->output_data);
+}
+
+static int connect_eloop(struct kmscon_pty *pty, struct kmscon_eloop *eloop)
+{
+	int ret;
+
+	if (pty->eloop)
+		return -EALREADY;
+
+	ret = kmscon_eloop_new_fd(eloop, &pty->efd, pty->fd,
+					KMSCON_READABLE, pty_output, pty);
+	if (ret)
+		return ret;
+
+	kmscon_eloop_ref(eloop);
+	pty->eloop = eloop;
+	return 0;
+}
+
+static void disconnect_eloop(struct kmscon_pty *pty)
+{
+	kmscon_eloop_rm_fd(pty->efd);
+	kmscon_eloop_unref(pty->eloop);
+	pty->efd = NULL;
+	pty->eloop = NULL;
+}
+
+int kmscon_pty_open(struct kmscon_pty *pty, struct kmscon_eloop *eloop,
+				unsigned short width, unsigned short height,
+				kmscon_pty_closed_cb closed_cb, void *data)
+{
+	int ret;
+
+	if (!pty || !eloop)
+		return -EINVAL;
+
+	if (pty->fd >= 0)
+		return -EALREADY;
+
+	ret = pty_spawn(pty, width, height);
+	if (ret)
+		return ret;
+
+	ret = connect_eloop(pty, eloop);
+	if (ret == -EALREADY) {
+		disconnect_eloop(pty);
+		ret = connect_eloop(pty, eloop);
+	}
+	if (ret) {
+		close(pty->fd);
+		pty->fd = -1;
+		return ret;
+	}
+
+	pty->closed_cb = closed_cb;
+	pty->closed_data = data;
+	return 0;
+}
+
+void kmscon_pty_close(struct kmscon_pty *pty)
+{
+	kmscon_pty_closed_cb cb;
+	void *data;
+
+	if (!pty || pty->fd < 0)
+		return;
+
+	disconnect_eloop(pty);
+
+	close(pty->fd);
+	pty->fd = -1;
+
+	cb = pty->closed_cb;
+	data = pty->closed_data;
+	pty->closed_cb = NULL;
+	pty->closed_data = NULL;
+
+	if (cb)
+		cb(pty, data);
+}
+
+void kmscon_pty_input(struct kmscon_pty *pty, const char *u8, size_t len)
+{
+	if (!pty || pty->fd < 0)
+		return;
+
+	/* FIXME: In EWOULDBLOCK we would lose input! Need to buffer. */
+	len = write(pty->fd, u8, len);
+	if (len <= 0) {
+		if (errno != EWOULDBLOCK)
+			kmscon_pty_close(pty);
+		return;
+	}
+}
+
+void kmscon_pty_resize(struct kmscon_pty *pty,
+			unsigned short width, unsigned short height)
+{
+	int ret;
+	struct winsize ws;
+
+	if (!pty || pty->fd < 0)
+		return;
+
+	memset(&ws, 0, sizeof(ws));
+	ws.ws_col = width;
+	ws.ws_row = height;
+
+	/*
+	 * This will send SIGWINCH to the pty slave foreground process group.
+	 * We will also get one, but we don't need it.
+	 */
+	ret = ioctl(pty->fd, TIOCSWINSZ, &ws);
+	if (ret) {
+		log_warning("pty: cannot set window size\n");
+		return;
+	}
+
+	log_debug("pty: window size set to %hdx%hd\n", ws.ws_col, ws.ws_row);
+}
diff --git a/src/pty.h b/src/pty.h
new file mode 100644
index 0000000..6cb0877
--- /dev/null
+++ b/src/pty.h
@@ -0,0 +1,72 @@
+/*
+ * kmscon - Pseudo Terminal Handling
+ *
+ * Copyright (c) 2012 Ran Benita <ran234@gmail.com>
+ *
+ * Permission is hereby granted, free of charge, to any person obtaining
+ * a copy of this software and associated documentation files
+ * (the "Software"), to deal in the Software without restriction, including
+ * without limitation the rights to use, copy, modify, merge, publish,
+ * distribute, sublicense, and/or sell copies of the Software, and to
+ * permit persons to whom the Software is furnished to do so, subject to
+ * the following conditions:
+ *
+ * The above copyright notice and this permission notice shall be included
+ * in all copies or substantial portions of the Software.
+ *
+ * THE SOFTWARE IS PROVIDED "AS IS", WITHOUT WARRANTY OF ANY KIND, EXPRESS
+ * OR IMPLIED, INCLUDING BUT NOT LIMITED TO THE WARRANTIES OF
+ * MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE AND NONINFRINGEMENT.
+ * IN NO EVENT SHALL THE AUTHORS OR COPYRIGHT HOLDERS BE LIABLE FOR ANY
+ * CLAIM, DAMAGES OR OTHER LIABILITY, WHETHER IN AN ACTION OF CONTRACT,
+ * TORT OR OTHERWISE, ARISING FROM, OUT OF OR IN CONNECTION WITH THE
+ * SOFTWARE OR THE USE OR OTHER DEALINGS IN THE SOFTWARE.
+ */
+
+/*
+ * The pty object provides an interface for communicating with a child process
+ * over a pseudo terminal. The child is the host, we act as the TTY terminal,
+ * and the kernel is the driver.
+ *
+ * To use this, create a new pty object and open it. You will start receiving
+ * output notifications through the output_cb callback. To communicate with
+ * the other end of the terminal, use the kmscon_pty_input method. All
+ * communication is done using byte streams (presumably UTF-8).
+ *
+ * The pty can be closed voluntarily using the kmson_pty_close method. The
+ * child process can also exit at will; this will be communicated through the
+ * closed_cb callback. The pty object does not wait on the child processes it
+ * spawns; this is the responsibility of the object's user.
+ */
+
+#ifndef KMSCON_PTY_H
+#define KMSCON_PTY_H
+
+#include "eloop.h"
+
+struct kmscon_pty;
+
+typedef void (*kmscon_pty_output_cb)
+		(struct kmscon_pty *pty, char *u8, size_t len, void *data);
+typedef void (*kmscon_pty_closed_cb) (struct kmscon_pty *pty, void *data);
+
+int kmscon_pty_new(struct kmscon_pty **out,
+				kmscon_pty_output_cb output_cb, void *data);
+void kmscon_pty_ref(struct kmscon_pty *pty);
+void kmscon_pty_unref(struct kmscon_pty *pty);
+
+int kmscon_pty_open(struct kmscon_pty *pty, struct kmscon_eloop *eloop,
+				unsigned short width, unsigned short height,
+				kmscon_pty_closed_cb closed_cb, void *data);
+void kmscon_pty_close(struct kmscon_pty *pty);
+
+void kmscon_pty_input(struct kmscon_pty *pty, const char *u8, size_t len);
+
+/*
+ * Call this whenever the size of the screen (rows or columns) changes. The
+ * kernel and child process need to be notified.
+ */
+void kmscon_pty_resize(struct kmscon_pty *pty,
+			unsigned short width, unsigned short height);
+
+#endif /* KMSCON_PTY_H */
diff --git a/src/terminal.c b/src/terminal.c
index ec61bfd..5dfbbcb 100644
--- a/src/terminal.c
+++ b/src/terminal.c
@@ -39,7 +39,9 @@
 #include "console.h"
 #include "eloop.h"
 #include "font.h"
+#include "input.h"
 #include "log.h"
+#include "pty.h"
 #include "terminal.h"
 #include "unicode.h"
 #include "vte.h"
@@ -59,6 +61,10 @@ struct kmscon_terminal {
 	struct kmscon_console *console;
 	struct kmscon_idle *redraw;
 	struct kmscon_vte *vte;
+	struct kmscon_pty *pty;
+
+	kmscon_terminal_closed_cb closed_cb;
+	void *closed_data;
 };
 
 static void draw_all(struct kmscon_idle *idle, void *data)
@@ -101,20 +107,17 @@ static void schedule_redraw(struct kmscon_terminal *term)
 		log_warning("terminal: cannot schedule redraw\n");
 }
 
-static const char help_text[] =
-"terminal subsystem - KMS based console test\n"
-"This is some default text to test the drawing operations.\n\n";
-
-static void print_help(struct kmscon_terminal *term)
+static void pty_output(struct kmscon_pty *pty, char *u8, size_t len, void *data)
 {
-	unsigned int i, len;
-	kmscon_symbol_t ch;
+	size_t i;
+	struct kmscon_terminal *term = data;
 
-	len = sizeof(help_text) - 1;
-	for (i = 0; i < len; ++i) {
-		ch = kmscon_symbol_make(help_text[i]);
-		kmscon_terminal_input(term, ch);
-	}
+	/* FIXME: UTF-8. */
+	for (i=0; i < len; i++)
+		if (u8[i] < 128)
+			kmscon_vte_input(term->vte, u8[i]);
+
+	schedule_redraw(term);
 }
 
 int kmscon_terminal_new(struct kmscon_terminal **out,
@@ -147,11 +150,16 @@ int kmscon_terminal_new(struct kmscon_terminal **out,
 	if (ret)
 		goto err_con;
 	kmscon_vte_bind(term->vte, term->console);
-	print_help(term);
+
+	ret = kmscon_pty_new(&term->pty, pty_output, term);
+	if (ret)
+		goto err_vte;
 
 	*out = term;
 	return 0;
 
+err_vte:
+	kmscon_vte_unref(term->vte);
 err_con:
 	kmscon_console_unref(term->console);
 err_idle:
@@ -177,16 +185,17 @@ void kmscon_terminal_unref(struct kmscon_terminal *term)
 	if (--term->ref)
 		return;
 
+	term->closed_cb = NULL;
+	kmscon_terminal_close(term);
 	kmscon_terminal_rm_all_outputs(term);
+	kmscon_pty_unref(term->pty);
 	kmscon_vte_unref(term->vte);
 	kmscon_console_unref(term->console);
-	kmscon_terminal_disconnect_eloop(term);
 	free(term);
 	log_debug("terminal: destroying terminal object\n");
 }
 
-int kmscon_terminal_connect_eloop(struct kmscon_terminal *term,
-						struct kmscon_eloop *eloop)
+int connect_eloop(struct kmscon_terminal *term, struct kmscon_eloop *eloop)
 {
 	if (!term || !eloop)
 		return -EINVAL;
@@ -200,7 +209,7 @@ int kmscon_terminal_connect_eloop(struct kmscon_terminal *term,
 	return 0;
 }
 
-void kmscon_terminal_disconnect_eloop(struct kmscon_terminal *term)
+void disconnect_eloop(struct kmscon_terminal *term)
 {
 	if (!term)
 		return;
@@ -209,6 +218,63 @@ void kmscon_terminal_disconnect_eloop(struct kmscon_terminal *term)
 	term->eloop = NULL;
 }
 
+static void pty_closed(struct kmscon_pty *pty, void *data)
+{
+	struct kmscon_terminal *term = data;
+	kmscon_terminal_close(term);
+}
+
+int kmscon_terminal_open(struct kmscon_terminal *term,
+				struct kmscon_eloop *eloop,
+				kmscon_terminal_closed_cb closed_cb, void *data)
+{
+	int ret;
+	unsigned short width, height;
+
+	if (!term)
+		return -EINVAL;
+
+	ret = connect_eloop(term, eloop);
+	if (ret == -EALREADY) {
+		disconnect_eloop(term);
+		ret = connect_eloop(term, eloop);
+	}
+	if (ret)
+		return ret;
+
+	width = kmscon_console_get_width(term->console);
+	height = kmscon_console_get_height(term->console);
+	ret = kmscon_pty_open(term->pty, eloop, width, height, pty_closed, term);
+	if (ret) {
+		disconnect_eloop(term);
+		return ret;
+	}
+
+	term->closed_cb = closed_cb;
+	term->closed_data = data;
+	return 0;
+}
+
+void kmscon_terminal_close(struct kmscon_terminal *term)
+{
+	kmscon_terminal_closed_cb cb;
+	void *data;
+
+	if (!term)
+		return;
+
+	cb = term->closed_cb;
+	data = term->closed_data;
+	term->closed_data = NULL;
+	term->closed_cb = NULL;
+
+	disconnect_eloop(term);
+	kmscon_pty_close(term->pty);
+
+	if (cb)
+		cb(term, data);
+}
+
 int kmscon_terminal_add_output(struct kmscon_terminal *term,
 						struct kmscon_output *output)
 {
@@ -263,6 +329,7 @@ void kmscon_terminal_rm_all_outputs(struct kmscon_terminal *term)
 
 void kmscon_terminal_input(struct kmscon_terminal *term, kmscon_symbol_t ch)
 {
-	kmscon_vte_input(term->vte, ch);
-	schedule_redraw(term);
+	/* FIXME: UTF-8. */
+	if (ch < 128)
+		kmscon_pty_input(term->pty, (char *)&ch, 1);
 }
diff --git a/src/terminal.h b/src/terminal.h
index 0168b5f..70c7e12 100644
--- a/src/terminal.h
+++ b/src/terminal.h
@@ -41,14 +41,18 @@
 
 struct kmscon_terminal;
 
+typedef void (*kmscon_terminal_closed_cb) (struct kmscon_terminal *term,
+								void *data);
+
 int kmscon_terminal_new(struct kmscon_terminal **out,
 					struct kmscon_font_factory *ff);
 void kmscon_terminal_ref(struct kmscon_terminal *term);
 void kmscon_terminal_unref(struct kmscon_terminal *term);
 
-int kmscon_terminal_connect_eloop(struct kmscon_terminal *term,
-						struct kmscon_eloop *eloop);
-void kmscon_terminal_disconnect_eloop(struct kmscon_terminal *term);
+int kmscon_terminal_open(struct kmscon_terminal *term,
+				struct kmscon_eloop *eloop,
+				kmscon_terminal_closed_cb closed_cb, void *data);
+void kmscon_terminal_close(struct kmscon_terminal *term);
 
 int kmscon_terminal_add_output(struct kmscon_terminal *term,
 						struct kmscon_output *output);
diff --git a/tests/test_terminal.c b/tests/test_terminal.c
index 48d30ba..b30c8e1 100644
--- a/tests/test_terminal.c
+++ b/tests/test_terminal.c
@@ -36,6 +36,7 @@
 #include <stdbool.h>
 #include <stdlib.h>
 #include <string.h>
+#include <sys/wait.h>
 
 #include "eloop.h"
 #include "input.h"
@@ -48,6 +49,7 @@ struct app {
 	struct kmscon_eloop *eloop;
 	struct kmscon_signal *sig_term;
 	struct kmscon_signal *sig_int;
+	struct kmscon_signal *sig_chld;
 	struct kmscon_symbol_table *st;
 	struct kmscon_font_factory *ff;
 	struct kmscon_compositor *comp;
@@ -63,6 +65,63 @@ static void sig_term(struct kmscon_signal *sig, int signum, void *data)
 	terminate = 1;
 }
 
+static void sig_chld(struct kmscon_signal *sig, int signum, void *data)
+{
+	pid_t pid;
+	int status;
+
+	/*
+	 * If multiple children exit at the same time, signalfd would put them
+	 * all in one event. So we reap in a loop.
+	 */
+	while (1) {
+		pid = waitpid(-1, &status, WNOHANG);
+		if (pid == -1) {
+			if (errno != ECHILD)
+				log_warning("test: cannot wait on child: %m\n");
+			break;
+		} else if (pid == 0) {
+			break;
+		} else if (WIFEXITED(status)) {
+			if (WEXITSTATUS(status) != 0)
+				log_info("test: child %d exited with status "
+					"%d\n", pid, WEXITSTATUS(status));
+			else
+				log_debug("test: child %d exited "
+						"successfully\n", pid);
+		} else if (WIFSIGNALED(status)) {
+			log_debug("test: child %d exited by signal %d\n", pid,
+					WTERMSIG(status));
+		}
+	}
+}
+
+static void terminal_closed(struct kmscon_terminal *term, void *data)
+{
+#if 0
+	/*
+	 * Alternativly, we could spwan a new login/shell here, like what
+	 * happens when the user exits the shell in a linux console:
+	 */
+
+	int ret;
+	struct app *app = data;
+
+	if (!app)
+		goto err_out;
+
+	ret = kmscon_terminal_open(app->term, app->eloop,
+                                                terminal_closed, app);
+	if (ret)
+		goto err_out;
+
+	return;
+
+err_out:
+#endif
+	terminate = 1;
+}
+
 static void read_input(struct kmscon_input *input,
 				struct kmscon_input_event *ev, void *data)
 {
@@ -131,6 +190,7 @@ static void destroy_app(struct app *app)
 	kmscon_compositor_unref(app->comp);
 	kmscon_font_factory_unref(app->ff);
 	kmscon_symbol_table_unref(app->st);
+	kmscon_eloop_rm_signal(app->sig_chld);
 	kmscon_eloop_rm_signal(app->sig_int);
 	kmscon_eloop_rm_signal(app->sig_term);
 	kmscon_eloop_unref(app->eloop);
@@ -154,6 +214,11 @@ static int setup_app(struct app *app)
 	if (ret)
 		goto err_loop;
 
+	ret = kmscon_eloop_new_signal(app->eloop, &app->sig_chld, SIGCHLD,
+							sig_chld, NULL);
+	if (ret)
+		goto err_loop;
+
 	ret = kmscon_symbol_table_new(&app->st);
 	if (ret)
 		goto err_loop;
@@ -186,7 +251,8 @@ static int setup_app(struct app *app)
 	if (ret)
 		goto err_loop;
 
-	ret = kmscon_terminal_connect_eloop(app->term, app->eloop);
+	ret = kmscon_terminal_open(app->term, app->eloop,
+                                                terminal_closed, app);
 	if (ret)
 		goto err_loop;