Unable to perform cdromupgrade without network from Lucid to Precise 12.04.1 AMD64 : E:Could not perform immediate configuration on 'python-minimal'

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This bug has been reported on the Ubuntu ISO testing tracker.

A list of all reports related to this bug can be found here:
http://iso.qa.ubuntu.com/qatracker/reports/bugs/1040494

Attaching dist-upgrade folder for further information

from term.log

Exception during pm.DoInstall(): E:Could not perform immediate configuration on 'python-minimal'.Please see man 5 apt.conf under APT::Immediate-Configure for details. (2)
Traceback (most recent call last):
  File "/usr/lib/python2.6/logging/__init__.py", line 792, in emit
    self.flush()
  File "/usr/lib/python2.6/logging/__init__.py", line 754, in flush
    self.stream.flush()
IOError: [Errno 9] Bad file descriptor

This problem is reproducible, I have hit it again with a different (2GB this time) USB stick, before I had installed it with an 8GB one... and I thought that somehow that could have interfered.