diff --git a/patchlevel.h b/patchlevel.h

--- a/patchlevel.h

+++ b/patchlevel.h

@@ -25,6 +25,6 @@

    regexp `^#define[ 	]*PATCHLEVEL', since that's what support/mkversion.sh

    looks for to find the patch level (for the sccs version string). */

-#define PATCHLEVEL 2

+#define PATCHLEVEL 3

 #endif /* _PATCHLEVEL_H_ */

diff --git a/subst.c b/subst.c

--- a/subst.c

+++ b/subst.c

@@ -6356,8 +6356,10 @@ command_substitute (string, quoted, flags)

 #if defined (JOB_CONTROL)

   old_pipeline_pgrp = pipeline_pgrp;

-  /* Don't reset the pipeline pgrp if we're already a subshell in a pipeline. */

-  if ((subshell_environment & SUBSHELL_PIPE) == 0)

+  /* Don't reset the pipeline pgrp if we're already a subshell in a pipeline or

+     we've already forked to run a disk command (and are expanding redirections,

+     for example). */

+  if ((subshell_environment & (SUBSHELL_FORK|SUBSHELL_PIPE)) == 0)

     pipeline_pgrp = shell_pgrp;

   cleanup_the_pipeline ();

 #endif /* JOB_CONTROL */