*** This bug is a duplicate of bug 292159 ***
    https://bugs.launchpad.net/bugs/292159

had the same problem as pagan.  basically made the bonehead assumption
that burning the ubuntu iso onto the USB was the equal to an
installation.  not.  a burn just makes the USB into a bootable device.
using a Sandisk USB (16G).  erased the manufactor stuff like U3
(http://u3.com/support/default.aspx#CQ3).  created 2 partitions (not
necessary) in accordance with a post on a linux forum
(http://www.pendrivelinux.com/2008/05/08/usb-ubuntu-804-persistent-
install-via-the-live-cd/).  and finnally did the install based on
another forum (http://blogs.zdnet.com/hardware/?p=1873)

-- 
package linux-image-2.6.27-7-generic 2.6.27-7.16 failed to install/upgrade: 
subprocess post-installation script returned error exit status 17
https://bugs.launchpad.net/bugs/306109
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