diff --git a/ci/build/build-release.sh b/ci/build/build-release.sh
index 5d687ee3b..53e13a557 100755
--- a/ci/build/build-release.sh
+++ b/ci/build/build-release.sh
@@ -77,7 +77,12 @@ EOF
 
 bundle_vscode() {
   mkdir -p "$VSCODE_OUT_PATH"
-  rsync ./lib/vscode-reh-web-*/ "$VSCODE_OUT_PATH"
+
+  # - Some extensions have a .gitignore which excludes their built source from
+  #   the npm package so exclude any .gitignore files.
+  # - Exclude Node as we will add it ourselves for the standalone and will not
+  #   need it for the npm package.
+  rsync -avh --exclude .gitignore --exclude /node ./lib/vscode-reh-web-*/ "$VSCODE_OUT_PATH"
 
   # Add the commit, date, our name, links, and enable telemetry. This just makes
   # telemetry available; telemetry can still be disabled by flag or setting.
diff --git a/patches/last-opened.diff b/patches/last-opened.diff
index 650c67258..83fafe291 100644
--- a/patches/last-opened.diff
+++ b/patches/last-opened.diff
@@ -10,7 +10,7 @@ Index: code-server/lib/vscode/src/vs/code/browser/workbench/workbench.ts
 ===================================================================
 --- code-server.orig/lib/vscode/src/vs/code/browser/workbench/workbench.ts
 +++ code-server/lib/vscode/src/vs/code/browser/workbench/workbench.ts
-@@ -350,19 +350,6 @@ class WorkspaceProvider implements IWork
+@@ -410,19 +410,6 @@ class WorkspaceProvider implements IWork
  				workspace = { folderUri: URI.revive(config.folderUri) };
  			} else if (config.workspaceUri) {
  				workspace = { workspaceUri: URI.revive(config.workspaceUri) };