Robust Failure, Conservative Repair: Textual Knowledge Distillation from Cross-Model Failures

Logit-based knowledge distillation (KD) is used to train smaller language models (LMs) via supervision from stronger teachers, but whether its benefits are consistent across training stages remains unclear. Through controlled experiments, we find that forward Kullback-Leibler (KL) distillation--the standard KD formulation--with post-trained teachers behaves fundamentally differently during mid-training, an intermediate phase of self-supervised learning on curated corpora. Surprisingly, while forward KD simultaneously improves reasoning and factual recall during pre-training relative to standard next-token prediction (NTP), it instead slows factual recall acquisition during mid-training despite continued reasoning gains. We trace this stage dependence to an asymmetry in teacher confidence across data domains and the student's evolving knowledge state: teachers are more confident on procedural than knowledge-intensive data, while students acquire low-entropy factual knowledge earlier in training. To mitigate this imbalance, we propose Switch Distillation, a simple mid-training objective that distills on tokens where the teacher is confident, using teacher predictive entropy as a lightweight routing signal, and otherwise falls back to cross-entropy. Switch Distillation consistently outperforms existing distillation objectives across teacher sizes. Relative to standard NTP, it achieves 1.61-1.71x the reasoning performance and 1.13-1.19x the knowledge and commonsense performance while preserving 96.7-96.8% of factual recall. Crucially, these benefits persist after post-training: Switch Distillation closes the factual recall gap while maintaining 1.25-1.32x and 1.13-1.20x gains in reasoning and knowledge and commonsense, respectively.

When post-trained language models fail on reasoning problems, the common test-time-scaling response is to spend more compute on additional attempts, and the failed traces play no further role. We argue this discards a crucial signal; some failures come from unlucky sampling, where more rollouts help, while others are structural and resist resampling regardless of budget. We propose that failed traces encode recoverability structure: the inference-time signature of which test-time interventions can rescue a given failure. Three problem-level trajectory features, derived from the structure of available interventions, recover this structure from the distributional signature of failed rollouts, not their text. They cluster failures into stable regimes, characterize the failure topography of different post-training methods ($84.3{\pm}4.3\%$ accuracy, $+20\%$ over a majority-class baseline), and support a training-free routing rule that lifts rescue by $+12.2\%$ on the deployment-relevant Steerable-Hard subset (failures where retry is insufficient and a bounded intervention is reachable). The features and the routing rule transfer across two cross-family probes. The same three features thus convert failed traces from discarded data into a diagnostic object, supporting test-time routing and post-training analysis without training-time or weight-space access.

Knowledge distillation (KD) transfers capabilities from large language models (LLMs) to smaller students, yet it can fail unpredictably and also underpins model leakage risks. Our analysis revealed several distillation traps: tail noise, off-policy instability, and, most fundamentally, the teacher-student gap, that distort training signals. These traps manifest as overconfident hallucinations, self-correction collapse, and local decoding degradation, causing distillation to fail. Motivated by these findings, we propose a post-hoc calibration method that, to the best of our knowledge, for the first time enables control over a teacher's distillability via reinforcement fine-tuning (RFT). Our objective combines task utility, KL anchor, and across-tokenizer calibration reward. This makes distillability a practical safety lever for foundation models, connecting robust teacher-student transfer with deployment-aware model protection. Experiments across math, knowledge QA, and instruction-following tasks show that students distilled from distillable calibrated teachers outperform SFT and KD baselines, while undistillable calibrated teachers retain their task performance but cause distilled students to collapse, offering a practical knob for both better KD and model IP protection.