diff --git a/tests/test_stream_presence.py b/tests/test_stream_presence.py
new file mode 100644
index 00000000..135d8eed
--- /dev/null
+++ b/tests/test_stream_presence.py
@@ -0,0 +1,86 @@
+import time
+from sleekxmpp.test import *
+
+
+class TestStreamPresence(SleekTest):
+    """
+    Test handling roster updates.
+    """
+
+    def tearDown(self):
+        self.stream_close()
+
+    def testInitialUnavailablePresences(self):
+        """
+        Test receiving unavailable presences from JIDs that
+        are not online.
+        """
+        events = set()
+
+        def got_offline(presence):
+            # The got_offline event should not be triggered.
+            events.add('got_offline')
+
+        def unavailable(presence):
+            # The presence_unavailable event should be triggered.
+            events.add('unavailable')
+
+        self.stream_start()
+        self.xmpp.add_event_handler('got_offline', got_offline)
+        self.xmpp.add_event_handler('presence_unavailable', unavailable)
+
+        self.stream_recv("""
+          <presence type="unavailable" from="otheruser@localhost" />
+        """)
+
+        # Give event queue time to process.
+        time.sleep(0.1)
+
+        self.assertEqual(events, set(('unavailable',)),
+                "Got offline incorrectly triggered: %s." % events)
+
+    def testGotOffline(self):
+        """Test that got_offline is triggered properly."""
+        events = []
+        def got_offline(presence):
+            events.append('got_offline')
+
+        self.stream_start()
+        self.xmpp.add_event_handler('got_offline', got_offline)
+
+        # Setup roster. Use a 'set' instead of 'result' so we
+        # don't have to handle get_roster() blocking.
+        #
+        # We use the stream to initialize the roster to make
+        # the test independent of the roster implementation.
+        self.stream_recv("""
+          <iq type="set">
+            <query xmlns="jabber:iq:roster">
+              <item jid="otheruser@localhost"
+                    name="Other User"
+                    subscription="both">
+                <group>Testers</group>
+              </item>
+            </query>
+          </iq>
+        """)
+
+        # Contact comes online.
+        self.stream_recv("""
+          <presence from="otheruser@localhost/foobar" />
+        """)
+
+        # Contact goes offline, should trigger got_offline.
+        self.stream_recv("""
+          <presence from="otheruser@localhost/foobar"
+                    type="unavailable" />
+        """)
+
+        # Give event queue time to process.
+        time.sleep(0.1)
+
+        self.assertEqual(events, ['got_offline'],
+                "Got offline incorrectly triggered: %s" % events)
+
+
+suite = unittest.TestLoader().loadTestsFromTestCase(TestStreamPresence)