It definitely seems like something went wrong during the chroot build process
in the installer.
I usually get that when I don't have enough space on my target filesystem.
Could you attach the content of your /var/log/installer/* ?
** Changed in: ltsp (Ubuntu)
Status: Confirmed => Incomplete
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https://bugs.launchpad.net/bugs/573207
Title:
default LTSP dhcpd.conf file wrongly configured
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