Florian, I used the test initrd and kernel images you put up. They didn't seem to make much/any difference. For whatever reason, it seems as though the kernel is not very interested in using the swap space made available. I was giving it a 140MB swap volume, with 64MB of storage for a total of 204MB of virtual storage, but that wasn't enough. I finally ran the virtual storage up to 96MB, and things started installing, but less than 1MB of swap space is being used. That's less than half the virtual storage I had when I was using 64MB of storage and 140MB of swap. Very strange. Also, I should have been more clear as to where the memory shortage occurred. It was while the netstg1.img.gz file was being decompressed. Once I got past that, though, I saw these messages: Preparing packages for installation... net-tools-1.60-2 /mnt/sysimage/tmp/parted-1.4.16-3.s390.rpm: read manifest failed: Success /mnt/sysimage/tmp/pcre-3.4-2.s390.rpm: read manifest failed: Success /mnt/sysimage/tmp/perl-5.6.0-16.s390.rpm: read manifest failed: Success /mnt/sysimage/tmp/perl-File-MMagic-1.06-3.s390.rpm: read manifest failed: Success /mnt/sysimage/tmp/perl-NKF-1.71-2.s390.rpm: read manifest failed: Success /mnt/sysimage/tmp/perl-Text-Kakasi-1.04-4.s390.rpm: read manifest failed: Success /mnt/sysimage/tmp/popt-1.6.3-0.83b.s390.rpm: read manifest failed: Success /mnt/sysimage/tmp/pwdb-0.61.1-3.s390.rpm: read manifest failed: Success Preparing packages for installation... s390utils-0.5-4 I don't know if I should be concerned or not. I didn't see them for every package, just these (so far). The installation is still progressing at this point. I just looked again, and some more packages are generating the same messages, but again not many. Mark Post