diff --git a/src/google/adk/agents/loop_agent.py b/src/google/adk/agents/loop_agent.py
index e58227864..72157a830 100644
--- a/src/google/adk/agents/loop_agent.py
+++ b/src/google/adk/agents/loop_agent.py
@@ -53,15 +53,10 @@ async def _run_async_impl(
     times_looped = 0
     while not self.max_iterations or times_looped < self.max_iterations:
       for sub_agent in self.sub_agents:
-        should_exit = False
         async for event in sub_agent.run_async(ctx):
           yield event
           if event.actions.escalate:
-            should_exit = True
-
-        if should_exit:
-          return
-
+            return
       times_looped += 1
     return
 
diff --git a/src/google/adk/tools/exit_loop_tool.py b/src/google/adk/tools/exit_loop_tool.py
index 200b66e5d..181dc7e90 100644
--- a/src/google/adk/tools/exit_loop_tool.py
+++ b/src/google/adk/tools/exit_loop_tool.py
@@ -21,4 +21,3 @@ def exit_loop(tool_context: ToolContext):
   Call this function only when you are instructed to do so.
   """
   tool_context.actions.escalate = True
-  tool_context.actions.skip_summarization = True
diff --git a/tests/unittests/agents/test_loop_agent.py b/tests/unittests/agents/test_loop_agent.py
index a69a9ddf3..c571b67ae 100644
--- a/tests/unittests/agents/test_loop_agent.py
+++ b/tests/unittests/agents/test_loop_agent.py
@@ -68,13 +68,6 @@ async def _run_async_impl(
         ),
         actions=EventActions(escalate=True),
     )
-    yield Event(
-        author=self.name,
-        invocation_id=ctx.invocation_id,
-        content=types.Content(
-            parts=[types.Part(text=f'I have done my job after escalation!!')]
-        ),
-    )
 
 
 async def _create_parent_invocation_context(
@@ -122,12 +115,9 @@ async def test_run_async_with_escalate_action(request: pytest.FixtureRequest):
   escalating_agent = _TestingAgentWithEscalateAction(
       name=f'{request.function.__name__}_test_escalating_agent'
   )
-  ignored_agent = _TestingAgent(
-      name=f'{request.function.__name__}_test_ignored_agent'
-  )
   loop_agent = LoopAgent(
       name=f'{request.function.__name__}_test_loop_agent',
-      sub_agents=[non_escalating_agent, escalating_agent, ignored_agent],
+      sub_agents=[non_escalating_agent, escalating_agent],
   )
   parent_ctx = await _create_parent_invocation_context(
       request.function.__name__, loop_agent
@@ -135,7 +125,7 @@ async def test_run_async_with_escalate_action(request: pytest.FixtureRequest):
   events = [e async for e in loop_agent.run_async(parent_ctx)]
 
   # Only two events are generated because the sub escalating_agent escalates.
-  assert len(events) == 3
+  assert len(events) == 2
   assert events[0].author == non_escalating_agent.name
   assert events[1].author == escalating_agent.name
   assert events[0].content.parts[0].text == (
@@ -144,6 +134,3 @@ async def test_run_async_with_escalate_action(request: pytest.FixtureRequest):
   assert events[1].content.parts[0].text == (
       f'Hello, async {escalating_agent.name}!'
   )
-  assert (
-      events[2].content.parts[0].text == 'I have done my job after escalation!!'
-  )
diff --git a/tests/unittests/flows/llm_flows/test_agent_transfer.py b/tests/unittests/flows/llm_flows/test_agent_transfer.py
index 4cb48c845..4243fdc4e 100644
--- a/tests/unittests/flows/llm_flows/test_agent_transfer.py
+++ b/tests/unittests/flows/llm_flows/test_agent_transfer.py
@@ -303,9 +303,11 @@ def test_auto_to_loop():
               name='exit_loop', response={'result': None}
           ),
       ),
+      # root_agent summarizes.
+      ('root_agent', 'response4'),
   ]
 
   # root_agent should still be the current agent because sub_agent_1 is loop.
   assert testing_utils.simplify_events(runner.run('test2')) == [
-      ('root_agent', 'response4'),
+      ('root_agent', 'response5'),
   ]