Don't fail silently

src/vs/workbench/api/node/extHostTerminalService.ts

@@ -597,7 +597,7 @@ export class ExtHostTerminalService implements ExtHostTerminalServiceShape {
 		// Get the initial cwd
 		const terminalConfig = configProvider.getConfiguration('terminal.integrated');
 
-		const initialCwd = terminalEnvironment.getCwd(shellLaunchConfig, os.homedir(), lastActiveWorkspace ? lastActiveWorkspace : undefined, this._variableResolver, activeWorkspaceRootUri, terminalConfig.cwd);
+		const initialCwd = terminalEnvironment.getCwd(shellLaunchConfig, os.homedir(), lastActiveWorkspace ? lastActiveWorkspace : undefined, this._variableResolver, activeWorkspaceRootUri, terminalConfig.cwd, this._logService);
 
 		const envFromConfig = this._apiInspectConfigToPlain(configProvider.getConfiguration('terminal.integrated').inspect<ITerminalEnvironment>(`env.${platformKey}`));
 		const baseEnv = terminalConfig.get<boolean>('inheritEnv', true) ? process.env as platform.IProcessEnvironment : await this._getNonInheritedEnv();

src/vs/workbench/contrib/terminal/browser/terminalProcessManager.ts

@@ -211,7 +211,15 @@ export class TerminalProcessManager implements ITerminalProcessManager {
 			}
 		}
 
-		const initialCwd = terminalEnvironment.getCwd(shellLaunchConfig, this._environmentService.userHome, lastActiveWorkspace ? lastActiveWorkspace : undefined, this._configurationResolverService, activeWorkspaceRootUri, this._configHelper.config.cwd);
+		const initialCwd = terminalEnvironment.getCwd(
+			shellLaunchConfig,
+			this._environmentService.userHome,
+			lastActiveWorkspace ? lastActiveWorkspace : undefined,
+			this._configurationResolverService,
+			activeWorkspaceRootUri,
+			this._configHelper.config.cwd,
+			this._logService
+		);
 		const envFromConfigValue = this._workspaceConfigurationService.inspect<ITerminalEnvironment | undefined>(`terminal.integrated.env.${platformKey}`);
 		const isWorkspaceShellAllowed = this._configHelper.checkWorkspaceShellPermissions();
 		this._configHelper.showRecommendations(shellLaunchConfig);

src/vs/workbench/contrib/terminal/common/terminalEnvironment.ts

@@ -10,6 +10,7 @@ import { IWorkspaceFolder } from 'vs/platform/workspace/common/workspace';
 import { IShellLaunchConfig, ITerminalEnvironment } from 'vs/workbench/contrib/terminal/common/terminal';
 import { IConfigurationResolverService } from 'vs/workbench/services/configurationResolver/common/configurationResolver';
 import { sanitizeProcessEnvironment } from 'vs/base/common/processes';
+import { ILogService } from 'vs/platform/log/common/log';
 
 /**
  * This module contains utility functions related to the environment, cwd and paths.
@@ -119,20 +120,30 @@ function _getLangEnvVariable(locale?: string) {
 	return parts.join('_') + '.UTF-8';
 }
 
-export function getCwd(shell: IShellLaunchConfig, userHome: string, lastActiveWorkspace: IWorkspaceFolder | undefined, configurationResolverService: IConfigurationResolverService | undefined, root: Uri | undefined, customCwd: string | undefined): string {
+export function getCwd(
+	shell: IShellLaunchConfig,
+	userHome: string,
+	lastActiveWorkspace: IWorkspaceFolder | undefined,
+	configurationResolverService: IConfigurationResolverService | undefined,
+	root: Uri | undefined,
+	customCwd: string | undefined,
+	logService: ILogService
+): string {
 	if (shell.cwd) {
 		return (typeof shell.cwd === 'object') ? shell.cwd.fsPath : shell.cwd;
 	}
 
 	let cwd: string | undefined;
 
-	// TODO: Handle non-existent customCwd
 	if (!shell.ignoreConfigurationCwd && customCwd) {
 		if (configurationResolverService) {
 			try {
 				cwd = configurationResolverService.resolve(lastActiveWorkspace, customCwd);
-			} catch {
-				cwd = undefined;
+			} catch (e) {
+				// There was an issue resolving a variable, just use the unresolved customCwd which
+				// which will fail, and log the error in the console.
+				cwd = customCwd;
+				logService.error('Resolving terminal.integrated.cwd', e);
 			}
 		}
 		if (path.isAbsolute(customCwd) && !cwd) {