This bug was fixed in the package cloud-init - 0.7.8-3-g80f5ec4-0ubuntu1
cloud-init (0.7.8-3-g80f5ec4-0ubuntu1) yakkety; urgency=medium
* New upstream snapshot.
- Adjust mounts and disk configuration for systemd. (LP: #1611074)
- dmidecode: run dmidecode only on i?86 or x86_64 arch. [Robert Schweikert]
-- Scott Moser <smo...@ubuntu.com> Tue, 20 Sep 2016 13:59:20 -0400
** Changed in: cloud-init (Ubuntu)
Status: Confirmed => Fix Released
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Reformatting of ephemeral drive fails on resize of Azure VM
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