diff --git a/debian/changelog b/debian/changelog
index 216a7594..817e0429 100644
--- a/debian/changelog
+++ b/debian/changelog
@@ -1,3 +1,10 @@
+livecd-rootfs (2.525) bionic; urgency=medium
+
+  * Don't fail to build CPC images if /lib/modules already exists in the
+    squashfs.
+
+ -- Daniel Watkins <daniel.watkins@canonical.com>  Tue, 24 Apr 2018 13:00:39 -0400
+
 livecd-rootfs (2.524) bionic; urgency=medium
 
   * Ensure MAAS squashfsi are clean of passwords. LP: #1764991.
diff --git a/live-build/ubuntu-cpc/hooks/032-root-squashfs.binary b/live-build/ubuntu-cpc/hooks/032-root-squashfs.binary
index 6c2d6ac8..ec6c1b05 100755
--- a/live-build/ubuntu-cpc/hooks/032-root-squashfs.binary
+++ b/live-build/ubuntu-cpc/hooks/032-root-squashfs.binary
@@ -32,7 +32,7 @@ env DEBIAN_FRONTEND=noninteractive chroot binary/boot/squashfs.dir apt-get --pur
 env DEBIAN_FRONTEND=noninteractive chroot binary/boot/squashfs.dir apt-get --purge remove --assume-yes '^grub-.*'
 env DEBIAN_FRONTEND=noninteractive chroot binary/boot/squashfs.dir apt-get autoremove --purge --assume-yes
 rm -rf binary/boot/squashfs.dir/boot/grub
-chroot binary/boot/squashfs.dir mkdir /lib/modules
+chroot binary/boot/squashfs.dir mkdir -p /lib/modules
 
 chroot binary/boot/squashfs.dir rm /usr/sbin/grub-probe
 chroot binary/boot/squashfs.dir dpkg-divert --remove --local --rename /usr/sbin/grub-probe