Bug#614422: grub-pc: Squeeze displays "GRUB Read Error - Operating system not found" on first boot after install

[Brandon Dusseau]

Package: grub-pc
Version: 1.98+20100804-14
Severity: important

Just after installing Squeeze and rebooting, I am greeted with "GRUB Read Error - Operating system not found"
GRUB is installed on the MBR and my / partition is /dev/sda1, there are no other partitions other than swap (/dev/sda5).
I am unable to reach the grub menu and can only boot into linux via the rescue CD. Debian was installed via the netinstall CD for 6.0.


-- Package-specific info:

*********************** BEGIN /proc/mounts
/dev/sr0 /cdrom iso9660 ro,relatime 0 0
/dev/sda1 / ext2 rw,relatime,errors=continue 0 0
*********************** END /proc/mounts

*********************** BEGIN /boot/grub/device.map
(hd0)	/dev/disk/by-id/ata-ST34321A_GUB02498
*********************** END /boot/grub/device.map

*********************** BEGIN /boot/grub/grub.cfg
#
# DO NOT EDIT THIS FILE
#
# It is automatically generated by grub-mkconfig using templates
# from /etc/grub.d and settings from /etc/default/grub
#

### BEGIN /etc/grub.d/00_header ###
if [ -s $prefix/grubenv ]; then
  load_env
fi
set default="0"
if [ "${prev_saved_entry}" ]; then
  set saved_entry="${prev_saved_entry}"
  save_env saved_entry
  set prev_saved_entry=
  save_env prev_saved_entry
  set boot_once=true
fi

function savedefault {
  if [ -z "${boot_once}" ]; then
    saved_entry="${chosen}"
    save_env saved_entry
  fi
}

function load_video {
  insmod vbe
  insmod vga
  insmod video_bochs
  insmod video_cirrus
}

insmod part_msdos
insmod ext2
set root='(hd0,msdos1)'
search --no-floppy --fs-uuid --set 24d8d546-3954-4e16-8c60-99bd9c0ec4d0
if loadfont /usr/share/grub/unicode.pf2 ; then
  set gfxmode=640x480
  load_video
  insmod gfxterm
fi
terminal_output gfxterm
insmod part_msdos
insmod ext2
set root='(hd0,msdos1)'
search --no-floppy --fs-uuid --set 24d8d546-3954-4e16-8c60-99bd9c0ec4d0
set locale_dir=($root)/boot/grub/locale
set lang=C.UTF-8
insmod gettext
set timeout=5
### END /etc/grub.d/00_header ###

### BEGIN /etc/grub.d/05_debian_theme ###
set menu_color_normal=cyan/blue
set menu_color_highlight=white/blue
### END /etc/grub.d/05_debian_theme ###

### BEGIN /etc/grub.d/10_linux ###
menuentry 'Debian GNU/Linux, with Linux 2.6.32-5-486' --class debian --class gnu-linux --class gnu --class os {
	insmod part_msdos
	insmod ext2
	set root='(hd0,msdos1)'
	search --no-floppy --fs-uuid --set 24d8d546-3954-4e16-8c60-99bd9c0ec4d0
	echo	'Loading Linux 2.6.32-5-486 ...'
	linux	/boot/vmlinuz-2.6.32-5-486 root=UUID=24d8d546-3954-4e16-8c60-99bd9c0ec4d0 ro vga=normal quiet
	echo	'Loading initial ramdisk ...'
	initrd	/boot/initrd.img-2.6.32-5-486
}
menuentry 'Debian GNU/Linux, with Linux 2.6.32-5-486 (recovery mode)' --class debian --class gnu-linux --class gnu --class os {
	insmod part_msdos
	insmod ext2
	set root='(hd0,msdos1)'
	search --no-floppy --fs-uuid --set 24d8d546-3954-4e16-8c60-99bd9c0ec4d0
	echo	'Loading Linux 2.6.32-5-486 ...'
	linux	/boot/vmlinuz-2.6.32-5-486 root=UUID=24d8d546-3954-4e16-8c60-99bd9c0ec4d0 ro single vga=normal
	echo	'Loading initial ramdisk ...'
	initrd	/boot/initrd.img-2.6.32-5-486
}
### END /etc/grub.d/10_linux ###

### BEGIN /etc/grub.d/20_linux_xen ###
### END /etc/grub.d/20_linux_xen ###

### BEGIN /etc/grub.d/30_os-prober ###
### END /etc/grub.d/30_os-prober ###

### BEGIN /etc/grub.d/40_custom ###
# This file provides an easy way to add custom menu entries.  Simply type the
# menu entries you want to add after this comment.  Be careful not to change
# the 'exec tail' line above.
### END /etc/grub.d/40_custom ###

### BEGIN /etc/grub.d/41_custom ###
if [ -f  $prefix/custom.cfg ]; then
  source $prefix/custom.cfg;
fi
### END /etc/grub.d/41_custom ###
*********************** END /boot/grub/grub.cfg

-- System Information:
Debian Release: 6.0
  APT prefers squeeze-updates
  APT policy: (500, 'squeeze-updates'), (500, 'stable')
Architecture: i386 (i586)

Kernel: Linux 2.6.32-5-486
Locale: LANG=C.UTF-8, LC_CTYPE=C.UTF-8 (charmap=locale: Cannot set LC_CTYPE to default locale: No such file or directory
locale: Cannot set LC_MESSAGES to default locale: No such file or directory
locale: Cannot set LC_ALL to default locale: No such file or directory
ANSI_X3.4-1968)
Shell: /bin/sh linked to /bin/dash

Versions of packages grub-pc depends on:
ii  debconf [debconf-2.0]   1.5.36.1         Debian configuration management sy
ii  grub-common             1.98+20100804-14 GRand Unified Bootloader, version 
ii  libc6                   2.11.2-10        Embedded GNU C Library: Shared lib
ii  libdevmapper1.02.1      2:1.02.48-5      The Linux Kernel Device Mapper use
ii  ucf                     3.0025+nmu1      Update Configuration File: preserv

grub-pc recommends no packages.

Versions of packages grub-pc suggests:
pn  desktop-base                  <none>     (no description available)

-- debconf information:
perl: warning: Setting locale failed.
perl: warning: Please check that your locale settings:
	LANGUAGE = "en",
	LC_ALL = (unset),
	LANG = "C.UTF-8"
    are supported and installed on your system.
perl: warning: Falling back to the standard locale ("C").
locale: Cannot set LC_CTYPE to default locale: No such file or directory
locale: Cannot set LC_MESSAGES to default locale: No such file or directory
locale: Cannot set LC_ALL to default locale: No such file or directory
  grub-pc/kopt_extracted: false
  grub2/kfreebsd_cmdline:
  grub2/device_map_regenerated:
* grub-pc/install_devices: /dev/disk/by-id/ata-ST34321A_GUB02498
  grub-pc/postrm_purge_boot_grub: false
  grub-pc/install_devices_failed_upgrade: true
  grub-pc/disk_description:
* grub2/linux_cmdline: vga=normal
  grub-pc/install_devices_empty: false
  grub2/kfreebsd_cmdline_default: quiet
  grub-pc/partition_description:
  grub-pc/install_devices_failed: false
  grub-pc/install_devices_disks_changed:
* grub2/linux_cmdline_default: quiet
  grub-pc/chainload_from_menu.lst: true
  grub-pc/mixed_legacy_and_grub2: true