Thanks for your report. I've committed a fix for this to d-i upstream:
r43082 | cjwatson | 2006-12-01 13:32:16 +0000 (Fri, 01 Dec 2006) | 2 lines
Changed paths:
M /trunk/packages/localechooser/debian/changelog
M /trunk/packages/localechooser/localechooser
* If there's no default country for the selected language, leave the
default for countrychooser/country-name alone.
** Changed in: ubiquity (Ubuntu)
Sourcepackagename: ubiquity => localechooser
Assignee: (unassigned) => Colin Watson
Status: Confirmed => Fix Committed
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Installation problem - Language Selection Screen
https://launchpad.net/bugs/67946
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