diff --git a/build_library/build_image_util.sh b/build_library/build_image_util.sh
index 055c138e80..be145d4e87 100755
--- a/build_library/build_image_util.sh
+++ b/build_library/build_image_util.sh
@@ -201,9 +201,12 @@ start_image() {
 }
 
 finish_image() {
-  local disk_layout="$1"
-  local root_fs_dir="$2"
-  local image_contents="$3"
+  local image_name="$1"
+  local disk_layout="$2"
+  local root_fs_dir="$3"
+  local image_contents="$4"
+
+  local disk_img="${BUILD_DIR}/${image_name}"
 
   # Record directories installed to the state partition.
   # Explicitly ignore entries covered by existing configs.
@@ -217,12 +220,13 @@ finish_image() {
       ${tmp_ignore} "${root_fs_dir}/etc"
 
   # Only configure bootloaders if there is a boot partition
-  if mountpoint -q "${root_fs_dir}"/boot/efi; then
+  if mountpoint -q "${root_fs_dir}"/boot; then
     ${BUILD_LIBRARY_DIR}/configure_bootloaders.sh \
       --arch=${ARCH} \
       --disk_layout="${disk_layout}" \
+      --disk_image="${disk_img}" \
       --boot_dir="${root_fs_dir}"/usr/boot \
-      --esp_dir="${root_fs_dir}"/boot/efi \
+      --esp_dir="${root_fs_dir}"/boot \
       --boot_args="${FLAGS_boot_args}"
   fi
 
diff --git a/build_library/configure_bootloaders.sh b/build_library/configure_bootloaders.sh
index 77d5b05758..7458838646 100755
--- a/build_library/configure_bootloaders.sh
+++ b/build_library/configure_bootloaders.sh
@@ -24,6 +24,7 @@ DEFINE_string boot_args "" \
   "Additional boot arguments to pass to the commandline (Default: '')"
 DEFINE_string disk_layout "base" \
   "The disk layout type to use for this image."
+DEFINE_string disk_image "" "The disk image."
 
 # Parse flags
 FLAGS "$@" || exit 1
@@ -50,7 +51,7 @@ GRUB_DIR="${FLAGS_boot_dir}/grub"
 SYSLINUX_DIR="${FLAGS_boot_dir}/syslinux"
 
 # Build configuration files for pygrub/pvgrub
-configure_grub() {
+configure_pvgrub() {
   sudo mkdir -p "${GRUB_DIR}"
 
   # Add hvc0 for hypervisors
@@ -176,12 +177,28 @@ copy_to_esp() {
   done
 }
 
+# Install GRUB2 to the disk image
+install_grub() {
+  # Install under boot/coreos/grub instead of boot/grub to prevent
+  # more recent versions of pygrub that attempt to read grub2 configs
+  # from finding it, pygrub and pvgrub must stick with using menu.lst
+  sudo mkdir -p "${FLAGS_esp_dir}/coreos/grub"
+  sudo grub-install \
+      --target=i386-pc \
+      --modules=part_gpt \
+      --boot-directory="${FLAGS_esp_dir}/coreos" \
+      "${FLAGS_disk_image}"
+  sudo cp "${BUILD_LIBRARY_DIR}/grub.cfg" \
+      "${FLAGS_esp_dir}/coreos/grub/grub.cfg"
+}
+
+[[ -d "${FLAGS_esp_dir}" ]] || die_notrace "--esp_dir is required"
+[[ -f "${FLAGS_disk_image}" ]] || die_notrace "--disk_image is required"
+
 if [[ "${FLAGS_arch}" = "x86" || "${FLAGS_arch}" = "amd64"  ]]; then
-  configure_grub
+  configure_pvgrub
   configure_syslinux
-  if [[ -n "${FLAGS_esp_dir}" ]]; then
-    copy_to_esp
-  fi
+  copy_to_esp
 else
   error "No bootloader configuration for ${FLAGS_arch}"
 fi
diff --git a/build_library/dev_image_util.sh b/build_library/dev_image_util.sh
index 84fd5e6b0a..daf2b4a0fc 100755
--- a/build_library/dev_image_util.sh
+++ b/build_library/dev_image_util.sh
@@ -112,7 +112,7 @@ EOF
   # The remount services are provided by coreos-base/coreos-init
   systemd_enable "${root_fs_dir}" "multi-user.target" "remount-usr.service"
 
-  finish_image "${disk_layout}" "${root_fs_dir}" "${image_contents}"
+  finish_image "${image_name}" "${disk_layout}" "${root_fs_dir}" "${image_contents}"
   upload_image -d "${BUILD_DIR}/${image_name}.bz2.DIGESTS" \
       "${BUILD_DIR}/${image_contents}" \
       "${BUILD_DIR}/${image_packages}" \
diff --git a/build_library/disk_layout.json b/build_library/disk_layout.json
index c30e9619a8..de27813a09 100644
--- a/build_library/disk_layout.json
+++ b/build_library/disk_layout.json
@@ -12,13 +12,13 @@
         "type":"efi",
         "blocks":"262144",
         "fs_type":"vfat",
-        "mount":"/boot/efi",
+        "mount":"/boot",
         "features": ["syslinux"]
       },
       "2":{
-        "label":"BOOT-B",
-        "type":"coreos-reserved",
-        "blocks":"131072"
+        "label":"BIOS-BOOT",
+        "type":"bios",
+        "blocks":"4096"
       },
       "3":{
         "label":"USR-A",
diff --git a/build_library/disk_util b/build_library/disk_util
index b59710e43d..995e3fd67a 100755
--- a/build_library/disk_util
+++ b/build_library/disk_util
@@ -162,6 +162,7 @@ def LoadPartitionConfig(options):
     # metadata. Kinda odd but the best place I've got with this data structure.
     if layout_name == options.disk_layout:
       metadata['blocks'] = disk_block_count
+      metadata['bytes'] = disk_block_count * metadata['block_size']
 
 
   # Verify 'base' before other layouts because it is inherited by the others
@@ -267,15 +268,21 @@ def WritePartitionTable(options, config=None, partitions=None):
   if not (config and partitions):
     config, partitions = LoadPartitionConfig(options)
 
-  # If we are not creating a fresh image all partitions must be compatible.
-  if not options.create:
+  if options.create:
+    Cgpt('create', '-c', '-s', config['metadata']['blocks'], options.disk_image)
+  else:
+    # If we are not creating a fresh image all partitions must be compatible.
     GetPartitionTableFromImage(options, config, partitions)
     if not all(p['image_compat'] for p in partitions.itervalues()):
       raise InvalidLayout("New disk layout is incompatible existing image")
 
-  Cgpt('create', '-c', '-s', config['metadata']['blocks'], options.disk_image)
+    # Extend the disk image size as needed
+    with open(options.disk_image, 'r+') as image_fd:
+      image_fd.truncate(config['metadata']['bytes'])
+    Cgpt('repair', options.disk_image)
 
-  syslinux = None
+  syslinux = False
+  hybrid = None
   for partition in partitions.itervalues():
     if partition['type'] != 'blank':
       Cgpt('add', '-i', partition['num'],
@@ -287,13 +294,16 @@ def WritePartitionTable(options, config=None, partitions=None):
                   options.disk_image)
 
       features = partition.get('features', [])
-      if not syslinux and 'syslinux' in features:
-        syslinux = partition['num']
+      if not hybrid and ('syslinux' in features or 'hybrid' in features):
+        hybrid = partition['num']
+      if 'syslinux' in features:
+        syslinux = True
+
+  if hybrid:
+    # Enable legacy boot flag and generate a hybrid MBR partition table
+    Cgpt('add', '-i', hybrid, '-B1', options.disk_image)
 
   if syslinux and options.mbr_boot_code:
-    # Enable legacy boot flag and generate a hybrid MBR partition table
-    Cgpt('add', '-i', syslinux, '-B1', options.disk_image)
-
     try:
       with open(options.mbr_boot_code, 'r') as mbr_fd:
         mbr_code = mbr_fd.read()
diff --git a/build_library/grub.cfg b/build_library/grub.cfg
new file mode 100644
index 0000000000..69bf7d0a36
--- /dev/null
+++ b/build_library/grub.cfg
@@ -0,0 +1,9 @@
+# Use both default console and ttyS0
+serial --unit=0 --speed=115200 --word=8 --parity=no --stop=1
+terminal_input console serial
+terminal_output console serial
+
+# Re-use the existing syslinux configuration
+echo "Loading SYSLINUX configuration..."
+insmod syslinuxcfg
+syslinux_configfile -s /syslinux/syslinux.cfg
diff --git a/build_library/prod_image_util.sh b/build_library/prod_image_util.sh
index 590f456501..edbfa12619 100755
--- a/build_library/prod_image_util.sh
+++ b/build_library/prod_image_util.sh
@@ -81,7 +81,7 @@ EOF
     disable_read_write=${FLAGS_FALSE}
   fi
 
-  finish_image "${disk_layout}" "${root_fs_dir}" "${image_contents}"
+  finish_image "${image_name}" "${disk_layout}" "${root_fs_dir}" "${image_contents}"
 
   # Make the filesystem un-mountable as read-write.
   if [[ ${disable_read_write} -eq ${FLAGS_TRUE} ]]; then
diff --git a/build_library/vm_image_util.sh b/build_library/vm_image_util.sh
index d343bd87ce..f443440f36 100644
--- a/build_library/vm_image_util.sh
+++ b/build_library/vm_image_util.sh
@@ -276,7 +276,7 @@ setup_disk_image() {
     "${BUILD_LIBRARY_DIR}/disk_util" --disk_layout="${disk_layout}" \
         mount "${VM_TMP_IMG}" "${VM_TMP_ROOT}"
 
-    local SYSLINUX_DIR="${VM_TMP_ROOT}/boot/efi/syslinux"
+    local SYSLINUX_DIR="${VM_TMP_ROOT}/boot/syslinux"
     if [[ $(_get_vm_opt BOOT_KERNEL) -eq 0 ]]; then
         sudo mv "${SYSLINUX_DIR}/default.cfg.A" "${SYSLINUX_DIR}/default.cfg"
     fi
@@ -336,9 +336,9 @@ _run_onmetal_fs_hook() {
     local arg='8250.nr_uarts=5 console=ttyS4,115200n8 modprobe.blacklist=mei_me'
     local timeout=150  # 15 seconds
     local totaltimeout=3000  # 5 minutes
-    sudo sed -i "${VM_TMP_ROOT}/boot/efi/syslinux/boot_kernel.cfg" \
+    sudo sed -i "${VM_TMP_ROOT}/boot/syslinux/boot_kernel.cfg" \
         -e 's/console=[^ ]*//g' -e "s/\\(append.*$\\)/\\1 ${arg}/"
-    sudo sed -i "${VM_TMP_ROOT}/boot/efi/syslinux/syslinux.cfg" \
+    sudo sed -i "${VM_TMP_ROOT}/boot/syslinux/syslinux.cfg" \
         -e "s/^TIMEOUT [0-9]*/TIMEOUT ${timeout}/g" \
         -e "s/^TOTALTIMEOUT [0-9]*/TOTALTIMEOUT ${totaltimeout}/g"
 }
@@ -346,7 +346,7 @@ _run_onmetal_fs_hook() {
 _run_gce_fs_hook() {
     # HACKITY HACK until OEMs can customize bootloader configs
     local arg='console=ttyS0,115200n8'
-    sudo sed -i "${VM_TMP_ROOT}/boot/efi/syslinux/boot_kernel.cfg" \
+    sudo sed -i "${VM_TMP_ROOT}/boot/syslinux/boot_kernel.cfg" \
         -e 's/console=[^ ]*//g' -e "s/\\(append.*$\\)/\\1 ${arg}/"
 }