diff --git a/mercurial/bundle2.py b/mercurial/bundle2.py
--- a/mercurial/bundle2.py
+++ b/mercurial/bundle2.py
@@ -370,7 +370,10 @@
         if not self.iterator:
             return
 
-        if exc:
+        # Only gracefully abort in a normal exception situation. User aborts
+        # like Ctrl+C throw a KeyboardInterrupt which is not a base Exception,
+        # and should not gracefully cleanup.
+        if isinstance(exc, Exception):
             # If exiting or interrupted, do not attempt to seek the stream in
             # the finally block below. This makes abort faster.
             if (self.current and