diff --git a/amazon-kinesis-client/pom.xml b/amazon-kinesis-client/pom.xml
index b9636052..4deafbae 100644
--- a/amazon-kinesis-client/pom.xml
+++ b/amazon-kinesis-client/pom.xml
@@ -20,7 +20,7 @@
   <parent>
     <groupId>software.amazon.kinesis</groupId>
     <artifactId>amazon-kinesis-client-pom</artifactId>
-    <version>2.0.0</version>
+    <version>2.0.1-SNAPSHOT</version>
   </parent>
 
   <artifactId>amazon-kinesis-client</artifactId>
diff --git a/amazon-kinesis-client/src/main/java/software/amazon/kinesis/retrieval/fanout/FanOutRecordsPublisher.java b/amazon-kinesis-client/src/main/java/software/amazon/kinesis/retrieval/fanout/FanOutRecordsPublisher.java
index 774ce917..9a49a3c5 100644
--- a/amazon-kinesis-client/src/main/java/software/amazon/kinesis/retrieval/fanout/FanOutRecordsPublisher.java
+++ b/amazon-kinesis-client/src/main/java/software/amazon/kinesis/retrieval/fanout/FanOutRecordsPublisher.java
@@ -16,6 +16,7 @@
 package software.amazon.kinesis.retrieval.fanout;
 
 import java.time.Instant;
+import java.util.Collections;
 import java.util.List;
 import java.util.concurrent.atomic.AtomicInteger;
 import java.util.stream.Collectors;
@@ -27,6 +28,7 @@ import lombok.RequiredArgsConstructor;
 import lombok.extern.slf4j.Slf4j;
 import software.amazon.awssdk.core.async.SdkPublisher;
 import software.amazon.awssdk.services.kinesis.KinesisAsyncClient;
+import software.amazon.awssdk.services.kinesis.model.ResourceNotFoundException;
 import software.amazon.awssdk.services.kinesis.model.SubscribeToShardEvent;
 import software.amazon.awssdk.services.kinesis.model.SubscribeToShardEventStream;
 import software.amazon.awssdk.services.kinesis.model.SubscribeToShardRequest;
@@ -124,9 +126,19 @@ public class FanOutRecordsPublisher implements RecordsPublisher {
                 outstandingRequests = 0;
 
                 try {
-                    subscriber.onError(t);
+                    if (t.getCause() instanceof ResourceNotFoundException) {
+                        log.warn(
+                                "{}: Could not call SubscribeToShard successfully because shard no longer exists. Marking shard for completion.",
+                                shardId);
+                        subscriber.onNext(ProcessRecordsInput.builder().records(Collections.emptyList())
+                                .isAtShardEnd(true).build());
+                        subscriber.onComplete();
+                    } else {
+                        subscriber.onError(t);
+                    }
+
                 } catch (Throwable innerThrowable) {
-                    log.warn("{}: Exception while calling subscriber.onError", innerThrowable);
+                    log.warn("{}: Exception while calling subscriber.onError", shardId, innerThrowable);
                 }
                 subscriber = null;
                 flow = null;
diff --git a/amazon-kinesis-client/src/test/java/software/amazon/kinesis/retrieval/fanout/FanOutRecordsPublisherTest.java b/amazon-kinesis-client/src/test/java/software/amazon/kinesis/retrieval/fanout/FanOutRecordsPublisherTest.java
index 60c560a1..0e82126b 100644
--- a/amazon-kinesis-client/src/test/java/software/amazon/kinesis/retrieval/fanout/FanOutRecordsPublisherTest.java
+++ b/amazon-kinesis-client/src/test/java/software/amazon/kinesis/retrieval/fanout/FanOutRecordsPublisherTest.java
@@ -1,12 +1,16 @@
 package software.amazon.kinesis.retrieval.fanout;
 
 import static org.hamcrest.CoreMatchers.equalTo;
+import static org.hamcrest.CoreMatchers.notNullValue;
 import static org.junit.Assert.assertThat;
 import static org.junit.Assert.fail;
 import static org.mockito.Matchers.any;
 import static org.mockito.Mockito.doNothing;
+import static org.mockito.Mockito.never;
+import static org.mockito.Mockito.spy;
 import static org.mockito.Mockito.times;
 import static org.mockito.Mockito.verify;
+import static org.mockito.Mockito.when;
 
 import java.nio.ByteBuffer;
 import java.time.Instant;
@@ -31,6 +35,7 @@ import software.amazon.awssdk.core.SdkBytes;
 import software.amazon.awssdk.core.async.SdkPublisher;
 import software.amazon.awssdk.services.kinesis.KinesisAsyncClient;
 import software.amazon.awssdk.services.kinesis.model.Record;
+import software.amazon.awssdk.services.kinesis.model.ResourceNotFoundException;
 import software.amazon.awssdk.services.kinesis.model.SubscribeToShardEvent;
 import software.amazon.awssdk.services.kinesis.model.SubscribeToShardEventStream;
 import software.amazon.awssdk.services.kinesis.model.SubscribeToShardRequest;
@@ -190,6 +195,45 @@ public class FanOutRecordsPublisherTest {
 
     }
 
+    @Test
+    public void testResourceNotFoundForShard() {
+        FanOutRecordsPublisher source = new FanOutRecordsPublisher(kinesisClient, SHARD_ID, CONSUMER_ARN);
+
+        ArgumentCaptor<FanOutRecordsPublisher.RecordFlow> flowCaptor = ArgumentCaptor
+                .forClass(FanOutRecordsPublisher.RecordFlow.class);
+
+        when(kinesisClient.subscribeToShard(any(SubscribeToShardRequest.class), flowCaptor.capture()))
+                .thenThrow(new RuntimeException(ResourceNotFoundException.builder().build()));
+
+        Subscriber<ProcessRecordsInput> subscriber = spy(new Subscriber<ProcessRecordsInput>() {
+            @Override
+            public void onSubscribe(final Subscription subscription) {
+                assertThat(subscription, notNullValue());
+            }
+
+            @Override
+            public void onNext(final ProcessRecordsInput processRecordsInput) {
+                assertThat(processRecordsInput.isAtShardEnd(), equalTo(true));
+                assertThat(processRecordsInput.records().isEmpty(), equalTo(true));
+            }
+
+            @Override
+            public void onError(final Throwable throwable) {
+            }
+
+            @Override
+            public void onComplete() {
+            }
+        });
+
+        source.subscribe(subscriber);
+
+        verify(kinesisClient).subscribeToShard(any(SubscribeToShardRequest.class), flowCaptor.capture());
+        flowCaptor.getValue().onEventStream(publisher);
+        verify(subscriber).onComplete();
+        verify(subscriber, never()).onError(any());
+    }
+
     private Record makeRecord(int sequenceNumber) {
         SdkBytes buffer = SdkBytes.fromByteArray(new byte[] { 1, 2, 3 });
         return Record.builder().data(buffer).approximateArrivalTimestamp(Instant.now())
diff --git a/pom.xml b/pom.xml
index d03ef43c..42b2dba3 100644
--- a/pom.xml
+++ b/pom.xml
@@ -20,7 +20,7 @@
   <artifactId>amazon-kinesis-client-pom</artifactId>
   <packaging>pom</packaging>
   <name>Amazon Kinesis Client Library</name>
-  <version>2.0.0</version>
+  <version>2.0.1-SNAPSHOT</version>
   <description>The Amazon Kinesis Client Library for Java enables Java developers to easily consume and process data
     from Amazon Kinesis.
   </description>