The Slackware 12.0 distro has been quietly repaired, both the shadow problem and the securetty problem. Thank you!
FYI, the distro contains some packages that can't really be used in the linode UML environment:
dhcp
kernel-huge
kernel-modules
kernel-modules-smp
lilo
module-init-tools
You can save quite a bit of space by removing these. Perhaps Caker could remove them from the distro.
And, to fix the curl problem,
http://www.linode.com/forums/viewtopic.php?t=2827, this package should be included in the distro:
or perhaps curl should be removed from the linode distro...
Thanks again,
-C