Source Widget Appears When It Shouldn't

The source for the imageeditor module still appears after you've uploaded a file (see before and after screenshot attached). This is for D6. If you reverse this patch for 6.x-1.5, it works. It seems the style="display: none;" is not being added like it should to a <div class="filefield-source>. I couldn't quite get my head around the jQuery logic, so I'm hoping you have time to check it out :)

HTML as it stands now with bug:

<div id="edit-field-thumbnail-image-0-ahah-wrapper">
  <div id="edit-field-thumbnail-image-0-upload-wrapper" class="form-item">
    <div class="filefield-element clear-block">
      <div class="widget-preview" style="position: relative; width: 100px;">
        <div class="imagefield-preview"><img alt="Image preview" title="blah" src="blah"></div>
        <div class="imageeditor imageeditor-existing" style="display: none; position: absolute; top: 0px;">
          <input type="hidden" value="field_thumbnail_image" class="field-name"><input type="hidden" value="0" class="delta"> <input type="hidden" value="blah" class="filepath"> <input type="hidden" value="blah" class="url">
          <div class="editors">
            <div title="Pixlr Editor" class="pixlr-editor"></div>
            <div title="Pixlr Express" class="pixlr-express"></div>
          </div>
          <div class="uploaders"></div>
        </div>
      </div>
      <div class="widget-edit">
        <input type="hidden" class="filefield-progress" value="b89ba8013c606f749b21ce4414a56bf0" id="edit-field-thumbnail-image-0-UPLOAD-IDENTIFIER" name="field_thumbnail_image[0][UPLOAD_IDENTIFIER]"> <input type="hidden" value="444" id="edit-field-thumbnail-image-0-fid" name="field_thumbnail_image[0][fid]"> <input type="hidden" value="1" id="edit-field-thumbnail-image-0-list" name="field_thumbnail_image[0][list]">
        <div class="filefield-source filefield-source-imageeditor">
          <div class="imageeditor imageeditor-new">
            <input type="hidden" value="field_thumbnail_image" class="field-name"> <input type="hidden" value="0" class="delta">
            <div class="editors">
              <div title="Pixlr Editor" class="pixlr-editor"></div>
              <div title="Pixlr Express" class="pixlr-express"></div>
            </div>
          </div>
        </div><input type="submit" class="form-submit ahah-processed" value="Remove" id="edit-field-thumbnail-image-0-filefield-remove" name="field_thumbnail_image_0_filefield_remove">
      </div>
    </div>
  </div>
</div>

HTML after reversing the patch with expected behavior:

<div id="edit-field-thumbnail-image-0-ahah-wrapper">
  <div id="edit-field-thumbnail-image-0-upload-wrapper" class="form-item">
    <div class="filefield-element clear-block">
      <div class="widget-preview" style="position: relative; width: 100px;">
        <div class="imagefield-preview"><img alt="Image preview" title="blah" src="blah"></div>

        <div class="imageeditor imageeditor-existing" style="display: none;">
          <input type="hidden" value="field_thumbnail_image" class="field-name"><input type="hidden" value="0" class="delta"><input type="hidden" value="blah" class="filepath"><input type="hidden" value="blah" class="url">
          <div class="editors">
            <div title="Pixlr Editor" class="pixlr-editor"></div>
            <div title="Pixlr Express" class="pixlr-express"></div>
          </div>
          <div class="uploaders"></div>
        </div>
      </div>
      <div class="widget-edit">
        <input type="hidden" class="filefield-progress" value="39925b1a2dc478d5f2d270569d6d203d" id="edit-field-thumbnail-image-0-UPLOAD-IDENTIFIER" name="field_thumbnail_image[0][UPLOAD_IDENTIFIER]"> <input type="hidden" value="444" id="edit-field-thumbnail-image-0-fid" name="field_thumbnail_image[0][fid]"> <input type="hidden" value="1" id="edit-field-thumbnail-image-0-list" name="field_thumbnail_image[0][list]">
        <div class="filefield-source filefield-source-imageeditor" style="display: none;">
          <div class="imageeditor imageeditor-new">
            <input type="hidden" value="field_thumbnail_image" class="field-name"><input type="hidden" value="0" class="delta">
            <div class="editors">
              <div title="Pixlr Editor" class="pixlr-editor"></div>

              <div title="Pixlr Express" class="pixlr-express"></div>
            </div>
          </div>
        </div><input type="submit" class="form-submit ahah-processed" value="Remove" id="edit-field-thumbnail-image-0-filefield-remove" name="field_thumbnail_image_0_filefield_remove">
      </div>
    </div>
  </div>
</div>