diff --git a/heat/engine/resources/eip.py b/heat/engine/resources/eip.py
index 23e8aa463e..c18afc2798 100644
--- a/heat/engine/resources/eip.py
+++ b/heat/engine/resources/eip.py
@@ -118,7 +118,10 @@ class ElasticIp(resource.Resource):
                     if e.status_code != 404:
                         raise e
             else:
-                self.nova().floating_ips.delete(self.resource_id)
+                try:
+                    self.nova().floating_ips.delete(self.resource_id)
+                except clients.novaclient.exceptions.NotFound:
+                    pass
 
     def FnGetRefId(self):
         return unicode(self._ipaddress())
diff --git a/heat/tests/test_eip.py b/heat/tests/test_eip.py
index 8ded59ccd3..63f432b7f4 100644
--- a/heat/tests/test_eip.py
+++ b/heat/tests/test_eip.py
@@ -12,6 +12,8 @@
 #    License for the specific language governing permissions and limitations
 #    under the License.
 
+import mox
+
 from testtools import skipIf
 
 from heat.common import exception
@@ -223,6 +225,24 @@ class EIPTest(HeatTestCase):
                           rsrc.handle_create)
         self.m.VerifyAll()
 
+    def test_delete_eip_with_exception(self):
+        self.m.StubOutWithMock(self.fc.floating_ips, 'delete')
+        eip.ElasticIp.nova().MultipleTimes().AndReturn(self.fc)
+        self.fc.floating_ips.delete(mox.IsA(object)).AndRaise(
+            clients.novaclient.exceptions.NotFound('fake_falure'))
+        self.fc.servers.get(mox.IsA(object)).AndReturn(False)
+        self.m.ReplayAll()
+
+        t = template_format.parse(eip_template)
+        stack = utils.parse_stack(t)
+        resource_name = 'IPAddress'
+        rsrc = eip.ElasticIp(resource_name,
+                             t['Resources'][resource_name],
+                             stack)
+        rsrc.resource_id = 'fake_id'
+        rsrc.handle_delete()
+        self.m.VerifyAll()
+
 
 class AllocTest(HeatTestCase):