i am also having the same problems with the busybox (iniframfs) fault either 
from live cd or i did a upgrade and still the same ...  

but as the others i can boot using the 2.6.20.16 kernal no problems
.....

i have tried the livecd on my laptop and the same ( i had this problem
with tribe 4/5 versions too .. so just waited for the full release ) BUT
when i livecd on my newer pc with a sata drive ALL ok ( the other
computers are both ide )

BUT GOOD NEWS ......  i found a posting on the forums (sorry can't find
again) but i did this .... and now works :-)


I've solved the problem editing /etc/initramfs-tools/modules, and adding this 
lines:

piix
ide_generic
ide_cd
ide_disk

# blacklist bad driver
blacklist ata_piix

# prevent unnecessary modules from being loaded (you don't need to do this)
blacklist ata_generic
blacklist libata
blacklist scsi_mod

after editing:

sudo update-initramfs -u

after reboot I have my hard disks with the old fashioned /dev/hd*,
without bugs!!!

Credit for this  fix goes to "Fabio Povoledo". He had it posted in a
forum somewhere and I was days finding the solution. I saw a lot of
people trying to fix  boot issue.

-- 
Final Gusty throws me in to BusyBox on all attempts to install
https://bugs.launchpad.net/bugs/153991
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