It does not necessarily need to as the Trusty version of Xen has everything 
needed to run in libxl mode. We even have attempted to provide tools to convert 
the old configurations over from handled by xend into handled by libvirt. There 
is really no "excuse" to run the old toolstack.
That said it could be a bonus to have a Xen version matching the release of the 
libvirt used. And I think James has done some backport for the Xen version for 
Xenial (but not sure which cloud-archive silo for).

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https://bugs.launchpad.net/bugs/1546978

Title:
  apparmor does not allow to run qemu-dm executable

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