diff --git a/mercurial/hgweb/hgwebdir_mod.py b/mercurial/hgweb/hgwebdir_mod.py
--- a/mercurial/hgweb/hgwebdir_mod.py
+++ b/mercurial/hgweb/hgwebdir_mod.py
@@ -292,6 +292,12 @@ class hgwebdir(object):
                         # remove name parts plus accompanying slash
                         path = path[:-len(discarded) - 1]
 
+                        try:
+                            r = hg.repository(self.ui, path)
+                            directory = False
+                        except (IOError, error.RepoError):
+                            pass
+
                 parts = [name]
                 if 'PATH_INFO' in req.env:
                     parts.insert(0, req.env['PATH_INFO'].rstrip('/'))
diff --git a/tests/test-hgwebdir.t b/tests/test-hgwebdir.t
--- a/tests/test-hgwebdir.t
+++ b/tests/test-hgwebdir.t
@@ -944,6 +944,25 @@ Test collapse = True
 
 Test intermediate directories
 
+Hide the subrepo parent
+
+  $ cp $root/notrepo/f/.hg/hgrc $root/notrepo/f/.hg/hgrc.bak
+  $ cat >> $root/notrepo/f/.hg/hgrc << EOF
+  > [web]
+  > hidden = True
+  > EOF
+
+  $ "$TESTDIR/get-with-headers.py" localhost:$HGPORT1 'rcoll/notrepo/?style=raw'
+  200 Script output follows
+  
+  
+  /rcoll/notrepo/e/
+  /rcoll/notrepo/e/e2/
+  
+
+Subrepo parent not hidden
+  $ mv $root/notrepo/f/.hg/hgrc.bak $root/notrepo/f/.hg/hgrc
+
   $ "$TESTDIR/get-with-headers.py" localhost:$HGPORT1 'rcoll/notrepo/?style=raw'
   200 Script output follows