diff --git a/includes/common.inc b/includes/common.inc
index ccadaee9cf09701c090023fa77d2b8a476a1fa16..6180e926ef71f5be4a6f841f5d0a5832eeb793ea 100644
--- a/includes/common.inc
+++ b/includes/common.inc
@@ -153,14 +153,14 @@ function panelizer_settings_form_submit(&$form, &$form_state) {
  * we can properly handle revisioning.
  */
 function panelizer_add_revision_info_form(&$form, &$form_state) {
-  if (empty($form_state['entity'])) {
+  if (empty($form_state['display']->context['panelizer']->data)) {
     return;
   }
   if (empty($form_state['revision info'])) {
     return;
   }
 
-  $entity = $form_state['entity'];
+  $entity = $form_state['display']->context['panelizer']->data;
 
   list($use_revisions, $control_revisions, $default_revision) = $form_state['revision info'];
 
@@ -174,6 +174,7 @@ function panelizer_add_revision_info_form(&$form, &$form_state) {
     $form_state['use revisions'] = TRUE;
     $form['revision_information'] = array(
       '#weight' => 11,
+      '#access' => $control_revisions || $entity->revision,
     );
 
     $form['revision_information']['revision'] = array(
@@ -221,7 +222,7 @@ function panelizer_add_revision_info_form(&$form, &$form_state) {
  * Form submission callback for panelizer_add_revision_info_form().
  */
 function panelizer_add_revision_info_form_submit(&$form, &$form_state) {
-  $entity = &$form_state['entity'];
+  $entity = &$form_state['display']->context['panelizer']->data;
   if (!empty($form_state['use revisions'])) {
     $entity->revision = $form_state['values']['revision'];
     $entity->log = $form_state['values']['log'];
diff --git a/panelizer.install b/panelizer.install
index 2a732a8be9f551aff228fbe7e71ce9d39e9140ba..2d7506d8e81ded5639eb98655996eab9aa2555cc 100644
--- a/panelizer.install
+++ b/panelizer.install
@@ -1157,3 +1157,18 @@ function panelizer_update_7121() {
     }
   }
 }
+
+/**
+ * Update new variables to reflect the current panelizer behavior.
+ */
+function panelizer_update_7122() {
+  foreach (node_type_get_types() as $type) {
+    $options = variable_get('node_options_' . $type->type, array('status', 'promote', 'panelizer'));
+    // Only set the variable if it was previously configured.
+    if (!in_array('panelizer', $options)) {
+      $options[] = 'panelizer';
+      variable_set('node_options_' . $type->type, $options);
+    }
+  }
+}
+
diff --git a/panelizer.module b/panelizer.module
index 1e92e809cace55a35e59e5421ba7381123243543..479b14acb191d2f420ac2b5be38e7a6f1866fcd1 100644
--- a/panelizer.module
+++ b/panelizer.module
@@ -1332,17 +1332,16 @@ function panelizer_panels_cache_save($argument, $cache) {
     ctools_export_crud_save('panelizer_defaults', $panelizer);
   }
   else {
-    list($entity_id, $view_mode) = explode(':', $key);
-    $conditions = (isset($vid) ? array('vid' => $vid) : array());
-    $entities = entity_load($entity_type, array($entity_id), $conditions);
-    if ($entities[$entity_id] && $entities[$entity_id]->panelizer[$view_mode]) {
-      $entities[$entity_id]->panelizer[$view_mode]->display = $cache->display;
-      $entities[$entity_id]->panelizer[$view_mode]->display_is_modified = TRUE;
-      $handler->entity_save($entities[$entity_id]);
+    list($entity_id, $view_mode, $vid) = explode(':', $key);
+    $entity = $cache->display->context['panelizer']->data;
+    if ($entity->panelizer[$view_mode]) {
+      $entity->panelizer[$view_mode]->display = $cache->display;
+      $entity->panelizer[$view_mode]->display_is_modified = TRUE;
+      $handler->entity_save($entity);
       // The display may have been cloned in the save process, so we need
       // to be sure to put the old display back, and its contexts.
-      $cache->display = $entities[$entity_id]->panelizer[$view_mode]->display;
-      $cache->display->context = $handler->get_contexts($entities[$entity_id]->panelizer[$view_mode], $entities[$entity_id]);
+      $cache->display = $entity->panelizer[$view_mode]->display;
+      $cache->display->context = $handler->get_contexts($entity->panelizer[$view_mode], $entity);
     }
   }
   panelizer_panels_cache_clear($original, $cache);
diff --git a/plugins/entity/PanelizerEntityDefault.class.php b/plugins/entity/PanelizerEntityDefault.class.php
index a113f52025e789e96962fdea4a6e9b09761cc178..921f7cc030671f652f9da08888998403efbd16d0 100644
--- a/plugins/entity/PanelizerEntityDefault.class.php
+++ b/plugins/entity/PanelizerEntityDefault.class.php
@@ -1175,12 +1175,19 @@ abstract class PanelizerEntityDefault implements PanelizerEntityInterface {
       }
     }
 
+    array_unshift($form['#validate'], 'panelizer_entity_default_bundle_form_validate');
     array_unshift($form['#submit'], 'panelizer_entity_default_bundle_form_submit');
 
     $form_state['panelizer_entity_handler'] = $this;
   }
 
   /**
+   * Validate callback for the bundle edit form.
+   */
+  public function add_bundle_setting_form_validate($form, &$form_state, $bundle, $type_location) {
+  }
+
+  /**
    * Submit callback for the bundle edit form.
    */
   public function add_bundle_setting_form_submit($form, &$form_state, $bundle, $type_location) {
@@ -3574,6 +3581,12 @@ abstract class PanelizerEntityDefault implements PanelizerEntityInterface {
   }
 }
 
+function panelizer_entity_default_bundle_form_validate($form, &$form_state) {
+  $bundle = $form['panelizer']['#bundle'];
+  $type_location = $form['panelizer']['#location'];
+  $form_state['panelizer_entity_handler']->add_bundle_setting_form_validate($form, $form_state, $bundle, $type_location);
+}
+
 function panelizer_entity_default_bundle_form_submit($form, &$form_state) {
   $bundle = $form['panelizer']['#bundle'];
   $type_location = $form['panelizer']['#location'];
diff --git a/plugins/entity/PanelizerEntityNode.class.php b/plugins/entity/PanelizerEntityNode.class.php
index 22d4ab0b48e8b238720f4412ebee304bdcd543b6..bd73032befafa0d344327c106449001fe765b269 100644
--- a/plugins/entity/PanelizerEntityNode.class.php
+++ b/plugins/entity/PanelizerEntityNode.class.php
@@ -25,6 +25,12 @@ class PanelizerEntityNode extends PanelizerEntityDefault {
    * Implement the save function for the entity.
    */
   public function entity_save($entity) {
+    if (module_exists('workbench_moderation') && workbench_moderation_node_type_moderated($entity->type)) {
+      $live_entity = workbench_moderation_node_live_load($entity);
+      if ($live_entity->vid != $entity->vid) {
+        $entity->revision = TRUE;
+      }
+    }
     node_save($entity);
   }
 
@@ -44,10 +50,10 @@ class PanelizerEntityNode extends PanelizerEntityDefault {
 
     list($entity_id, $revision_id, $bundle) = entity_extract_ids($this->entity_type, $entity);
 
-    $node_options = variable_get('node_options_' . $bundle, array('status', 'promote'));
+    $node_options = variable_get('node_options_' . $bundle, array('status', 'promote', 'panelizer'));
 
     // Whether or not the entity supports revisions.
-    $retval[0] = TRUE;
+    $retval[0] = in_array('panelizer', $node_options);
 
     // Whether or not the user can control if a revision is created.
     $retval[1] = user_access('administer nodes');
@@ -138,7 +144,31 @@ class PanelizerEntityNode extends PanelizerEntityDefault {
         $bundle = $form['#node_type']->type;
         $this->add_bundle_setting_form($form, $form_state, $bundle, array('type'));
       }
+
+      if (module_exists('workbench_moderation')) {
+        // Disable the 'revision' checkbox when the 'moderation' checkbox is checked, so that moderation
+        // can not be enabled unless revisions are enabled.
+        $form['workflow']['node_options']['revision']['#states'] = array(
+          'disabled' => array(':input[name="node_options[panelizer]"]' => array('checked' => FALSE)),
+        );
+
+        // Disable the 'moderation' checkbox when the 'revision' checkbox is not checked, so that
+        // revisions can not be turned off without also turning off moderation.
+        $form['workflow']['node_options']['#options']['panelizer'] = t('Enable panelizer revisions');
+        $form['workflow']['node_options']['panelizer']['#description'] = t('Revisions must be enabled in order to create panelizer revisions.');
+        $form['workflow']['node_options']['panelizer']['#states'] = array(
+          'disabled' => array(':input[name="node_options[revision]"]' => array('checked' => FALSE)),
+        );
+      }
+    }
+  }
+
+  public function add_bundle_setting_form_validate($form, &$form_state, $bundle, $type_location) {
+    // Ensure that revisions are enabled if panelizer revisions are.
+    if (isset($form_state['values']['node_options']['panelizer']) || array_key_exists('panelizer', $form_state['values']['node_options'])) {
+      $form_state['values']['node_options']['revision'] = 1;
     }
+    parent::add_bundle_setting_form_validate($form, $form_state, $bundle, $type_location);
   }
 
   public function hook_page_alter(&$page) {