diff --git a/parser.c b/parser.c
index cb1f72cf..9e4518f7 100644
--- a/parser.c
+++ b/parser.c
@@ -7271,46 +7271,40 @@ xmlParseReference(xmlParserCtxtPtr ctxt) {
 	}
 
 	if ((ret == XML_ERR_OK) && (list != NULL)) {
-	    if ((ent->etype == XML_INTERNAL_GENERAL_ENTITY) ||
-	        (ent->etype == XML_EXTERNAL_GENERAL_PARSED_ENTITY)) {
-		ent->children = list;
-                /*
-                 * Prune it directly in the generated document
-                 * except for single text nodes.
-                 */
-                if ((ctxt->replaceEntities == 0) ||
-                    (ctxt->parseMode == XML_PARSE_READER) ||
-                    ((list->type == XML_TEXT_NODE) &&
-                     (list->next == NULL))) {
-                    ent->owner = 1;
-                    while (list != NULL) {
-                        list->parent = (xmlNodePtr) ent;
-                        if (list->doc != ent->doc)
-                            xmlSetTreeDoc(list, ent->doc);
-                        if (list->next == NULL)
-                            ent->last = list;
-                        list = list->next;
-                    }
-                    list = NULL;
-                } else {
-                    ent->owner = 0;
-                    while (list != NULL) {
-                        list->parent = (xmlNodePtr) ctxt->node;
-                        list->doc = ctxt->myDoc;
-                        if (list->next == NULL)
-                            ent->last = list;
-                        list = list->next;
-                    }
-                    list = ent->children;
-#ifdef LIBXML_LEGACY_ENABLED
-                    if (ent->etype == XML_EXTERNAL_GENERAL_PARSED_ENTITY)
-                        xmlAddEntityReference(ent, list, NULL);
-#endif /* LIBXML_LEGACY_ENABLED */
+            ent->children = list;
+            /*
+             * Prune it directly in the generated document
+             * except for single text nodes.
+             */
+            if ((ctxt->replaceEntities == 0) ||
+                (ctxt->parseMode == XML_PARSE_READER) ||
+                ((list->type == XML_TEXT_NODE) &&
+                 (list->next == NULL))) {
+                ent->owner = 1;
+                while (list != NULL) {
+                    list->parent = (xmlNodePtr) ent;
+                    if (list->doc != ent->doc)
+                        xmlSetTreeDoc(list, ent->doc);
+                    if (list->next == NULL)
+                        ent->last = list;
+                    list = list->next;
                 }
-	    } else {
-		xmlFreeNodeList(list);
-		list = NULL;
-	    }
+                list = NULL;
+            } else {
+                ent->owner = 0;
+                while (list != NULL) {
+                    list->parent = (xmlNodePtr) ctxt->node;
+                    list->doc = ctxt->myDoc;
+                    if (list->next == NULL)
+                        ent->last = list;
+                    list = list->next;
+                }
+                list = ent->children;
+#ifdef LIBXML_LEGACY_ENABLED
+                if (ent->etype == XML_EXTERNAL_GENERAL_PARSED_ENTITY)
+                    xmlAddEntityReference(ent, list, NULL);
+#endif /* LIBXML_LEGACY_ENABLED */
+            }
 	} else if ((ret != XML_ERR_OK) &&
 		   (ret != XML_WAR_UNDECLARED_ENTITY)) {
 	    xmlFatalErrMsgStr(ctxt, XML_ERR_UNDECLARED_ENTITY,