Thanks to all that chimed in.  I got it figured out.

It all depends on how you ssh into the guest to finish the installation.  If 
you ssh from a graphical environment it will set to the TERM=xterm-256-color,  
this will result in TERM=dumb being put on the kernel line after the install 
because of this code in the /usr/share/YaST2/modules/BootArch.rb

     elsif Arch.s390
        termparm = if ENV["TERM"] == "linux"
          "TERM=linux console=ttyS0 console=ttyS1"
        else
          "hvc_iucv=8 TERM=dumb"
        end

If I ssh in from a text console...say tty2, it will set the TERM=linux during 
the install because of this code that was added in 2012:   This will result in 
TERM=linux set on the kernel line after the install.

Thu Jun 28 14:36:08 CEST 2012 - [email protected]

- set TERM=linux for 2nd stage services, to keep ncurses nice
  (bnc#768356)
- 2.22.9

So the mystery is solved.

Dell Harris

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