diff --git a/src/calibre/ebooks/mobi/output.py b/src/calibre/ebooks/mobi/output.py
index 7e4643dac1..e3a1da34cc 100644
--- a/src/calibre/ebooks/mobi/output.py
+++ b/src/calibre/ebooks/mobi/output.py
@@ -50,7 +50,7 @@ class MOBIOutput(OutputFormatPlugin):
     def check_for_masthead(self):
         found = 'masthead' in self.oeb.guide
         if not found:
-            self.oeb.log.debug('No masthead found, generating default one...')
+            self.oeb.log.debug('No masthead found in manifest, generating default mastheadImage...')
             try:
                 from PIL import Image as PILImage
                 PILImage
@@ -65,6 +65,9 @@ class MOBIOutput(OutputFormatPlugin):
             id, href = self.oeb.manifest.generate('masthead', 'masthead')
             self.oeb.manifest.add(id, href, 'image/gif', data=raw)
             self.oeb.guide.add('masthead', 'Masthead Image', href)
+        else:
+            self.oeb.log.debug('Using mastheadImage supplied in manifest...')
+
 
     def dump_toc(self, toc) :
         self.log( "\n         >>> TOC contents <<<")
diff --git a/src/calibre/ebooks/oeb/transforms/guide.py b/src/calibre/ebooks/oeb/transforms/guide.py
index 069077554c..e911fe9cf7 100644
--- a/src/calibre/ebooks/oeb/transforms/guide.py
+++ b/src/calibre/ebooks/oeb/transforms/guide.py
@@ -32,13 +32,9 @@ class Clean(object):
                 ref.type = 'cover'
                 self.oeb.guide.refs['cover'] = ref
 
-        # Check for masthead in OPF, add to guide if present
-        for item in oeb.manifest.items:
-            if item.id == 'masthead-image':
-                self.oeb.guide.add('masthead', 'Masthead Image', item.href)
-
         for x in list(self.oeb.guide):
             href = urldefrag(self.oeb.guide[x].href)[0]
+            print "ebooks.oeb.transforms.guide:Clean(): checking x.lower(): %s" % x.lower()
             if x.lower() not in ('cover', 'titlepage', 'masthead', 'toc',
                     'title-page', 'copyright-page', 'start'):
                 self.oeb.guide.remove(x)
diff --git a/src/calibre/web/feeds/news.py b/src/calibre/web/feeds/news.py
index 00869409ea..f8be8462c6 100644
--- a/src/calibre/web/feeds/news.py
+++ b/src/calibre/web/feeds/news.py
@@ -994,6 +994,14 @@ class BasicNewsRecipe(Recipe):
         mi.pubdate = datetime.now()
         opf_path = os.path.join(dir, 'index.opf')
         ncx_path = os.path.join(dir, 'index.ncx')
+
+        # Add mastheadImage entry to <guide> section
+        from calibre.ebooks.metadata.opf2 import Guide
+        mi.guide = Guide()
+        ref = Guide.Reference('mastheadImage.jpg', os.getcwdu())
+        ref.type = 'masthead'
+        ref.title = 'Masthead Image'
+        mi.guide.append(ref)
         opf = OPFCreator(dir, mi)
 
         manifest = [os.path.join(dir, 'feed_%d'%i) for i in range(len(feeds))]