Confirming this bog on Ubuntu 10.04 LTS:
$ sudo apt-cdrom add
Using CD-ROM mount point /media/apt/
Identifying.. [4e8258cfd5d73bbef22ecebcc2f9d3c0-2]
Scanning disc for index files..
Found 0 package indexes, 1 source indexes, 0 translation indexes and 0
signatures
Please provide a name for this Disc, such as 'Debian 5.0.3 Disk 1':
florp
Name: 'florp'
This disc is called:
'florp'
Copying package lists...E: Read error - read (21: Is a directory)
** Changed in: apt (Ubuntu)
Status: New => Confirmed
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https://bugs.launchpad.net/bugs/750694
Title:
Directories titled "Sources" cause apt-cdrom to fail
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