diff -urNpd grub2-1.98/debian/changelog grub2-1.98.new/debian/changelog
--- grub2-1.98/debian/changelog	2011-02-05 06:21:26.000000000 +0000
+++ grub2-1.98.new/debian/changelog	2011-02-05 06:13:46.000000000 +0000
@@ -1,3 +1,10 @@
+grub2 (1.98-1ubuntu10.1) lucid-proposed; urgency=low
+
+  * Allow GRUB_TERMINAL="console serial" without grub-mkconfig returning
+    Invalid output terminal "console serial" (LP: #490451).
+
+ -- Corey Wright <undefined+ubuntu@pobox.com>  Sat, 05 Feb 2011 00:03:37 -0600
+
 grub2 (1.98-1ubuntu10) lucid-proposed; urgency=low
 
   * If we're upgrading and /boot/grub/core.img doesn't exist, then don't ask
diff -urNpd grub2-1.98/debian/patches/978_serial_and_console.diff grub2-1.98.new/debian/patches/978_serial_and_console.diff
--- grub2-1.98/debian/patches/978_serial_and_console.diff	1970-01-01 00:00:00.000000000 +0000
+++ grub2-1.98.new/debian/patches/978_serial_and_console.diff	2011-02-05 06:12:34.000000000 +0000
@@ -0,0 +1,236 @@
+keyphrase: Invalid output terminal "serial console"
+bug: https://bugs.launchpad.net/ubuntu/+source/grub2/+bug/490451
+patch: http://bazaar.launchpad.net/~vcs-imports/grub/grub2-bzr/revision/2298
+
+diff -urNpd grub2-1.98.orig/util/grub-mkconfig.in grub2-1.98/util/grub-mkconfig.in
+--- grub2-1.98.orig/util/grub-mkconfig.in	2010-03-06 20:51:37.000000000 +0000
++++ grub2-1.98/util/grub-mkconfig.in	2011-02-05 05:58:26.000000000 +0000
+@@ -140,60 +140,73 @@ if [ "x${GRUB_TERMINAL}" != "x" ] ; then
+   GRUB_TERMINAL_OUTPUT="${GRUB_TERMINAL}"
+ fi
+ 
+-case x${GRUB_TERMINAL_OUTPUT} in
+-  x | xgfxterm)
+-    # If this platform supports gfxterm, try to use it.
+-    if test -e ${grub_prefix}/gfxterm.mod ; then
+-      # FIXME: this should do something smarter than just loading first
+-      # video backend.
+-      GRUB_VIDEO_BACKEND=$(head -n 1 ${grub_prefix}/video.lst || true)
+-      if [ -n "${GRUB_VIDEO_BACKEND}" ] ; then
+-        GRUB_TERMINAL_OUTPUT=gfxterm
+-      elif [ "${GRUB_TERMINAL_OUTPUT}" = "gfxterm" ] ; then
+-        echo "No suitable backend could be found for gfxterm." >&2 ; exit 1
+-      fi
+-    fi
+-  ;;
+-  xconsole | xserial | xofconsole) ;;
+-  *) echo "Invalid output terminal \"${GRUB_TERMINAL_OUTPUT}\"" >&2 ; exit 1 ;;
+-esac
++termoutdefault=0
++if [ "x${GRUB_TERMINAL_OUTPUT}" = "x" ]; then
++    GRUB_TERMINAL_OUTPUT=gfxterm;
++    termoutdefault=1;
++fi
+ 
+-# check for terminals that require fonts
+-case ${GRUB_TERMINAL_OUTPUT} in
+-  gfxterm)
+-    if [ -n "$GRUB_FONT" ] ; then
+-      if is_path_readable_by_grub ${GRUB_FONT} > /dev/null ; then
+-        GRUB_FONT_PATH=${GRUB_FONT}
++for x in ${GRUB_TERMINAL_OUTPUT}; do
++    if [ "x${x}" = "xgfxterm" ]; then
++        # If this platform supports gfxterm, try to use it.
++	if ! test -e ${grub_prefix}/gfxterm.mod ; then
++	    if [ "x$termoutdefault" != "x1" ]; then
++		echo "gfxterm isn't available on your platform" >&2 ; exit 1
++	    fi
++	    GRUB_TERMINAL_OUTPUT=
++	    break;
++	fi
++        # FIXME: this should do something smarter than just loading first
++        # video backend.
++	GRUB_VIDEO_BACKEND=$(head -n 1 ${grub_prefix}/video.lst || true)
++	if [ -z "${GRUB_VIDEO_BACKEND}" ] ; then
++	    if [ "x$termoutdefault" != "x1" ]; then
++		echo "No suitable backend could be found for gfxterm." >&2 ; exit 1
++	    fi
++	    GRUB_TERMINAL_OUTPUT=
++	fi
++	if [ -n "$GRUB_FONT" ] ; then
++	    if is_path_readable_by_grub ${GRUB_FONT} > /dev/null ; then
++		GRUB_FONT_PATH=${GRUB_FONT}
++	    else
++		echo "No such font or not readable by grub: ${GRUB_FONT}" >&2
++		exit 1
++	    fi
+ 	else
+-	  echo "No such font or not readable by grub: ${GRUB_FONT}" >&2
+-	  exit 1
++	    for dir in ${pkgdatadir} /boot/grub /usr/share/grub ; do
++		for basename in unicode unifont ascii; do
++		    path="${dir}/${basename}.pf2"
++		    if is_path_readable_by_grub ${path} > /dev/null ; then
++			GRUB_FONT_PATH=${path}
++		    else
++			continue
++		    fi
++		    if [ "${basename}" = "ascii" ] ; then
++	                # make sure all our children behave in conformance with ascii..
++			export LANG=C
++		    fi
++		    break 2
++		done
++	    done
++	fi
++	if [ -z "${GRUB_FONT_PATH}" ] ; then
++	    if [ "x$termoutdefault" != "x1" ]; then
++		echo "No font for gfxterm found." >&2 ; exit 1
++	    fi
++	    GRUB_TERMINAL_OUTPUT=
+ 	fi
+-    else
+-      for dir in ${pkgdatadir} /boot/grub /usr/share/grub ; do
+-        for basename in unicode unifont ascii; do
+-	  path="${dir}/${basename}.pf2"
+-          if is_path_readable_by_grub ${path} > /dev/null ; then
+-	    GRUB_FONT_PATH=${path}
+-	  else
+-	    continue
+-	  fi
+-	  if [ "${basename}" = "ascii" ] ; then
+-	    # make sure all our children behave in conformance with ascii..
+-	    export LANG=C
+-	  fi
+-	  break 2
+-        done
+-      done
+-    fi
+-    if [ -z "${GRUB_FONT_PATH}" ] ; then
+-      # fallback to the native terminal for this platform
+-      unset GRUB_TERMINAL_OUTPUT
+     fi
+-  ;;
+-  *)
+-    # make sure all our children behave in conformance with ascii..
+-    export LANG=C
+-esac
++done
++
++for x in ${GRUB_TERMINAL_OUTPUT}; do
++    case "x${x}" in
++	xgfxterm) ;;
++	xconsole | xserial | xofconsole)
++            # make sure all our children behave in conformance with ascii..
++	    export LANG=C;;
++	*) echo "Invalid output terminal \"${GRUB_TERMINAL_OUTPUT}\"" >&2 ; exit 1 ;;
++    esac
++done
+ 
+ # These are defined in this script, export them here so that user can
+ # override them.
+diff -urNpd grub2-1.98.orig/util/grub.d/00_header.in grub2-1.98/util/grub.d/00_header.in
+--- grub2-1.98.orig/util/grub.d/00_header.in	2010-03-06 20:51:37.000000000 +0000
++++ grub2-1.98/util/grub.d/00_header.in	2011-02-05 05:58:13.000000000 +0000
+@@ -59,37 +59,30 @@ function savedefault {
+ }
+ EOF
+ 
+-case ${GRUB_TERMINAL_INPUT}:${GRUB_TERMINAL_OUTPUT} in
+-  serial:* | *:serial)
++serial=0;
++gfxterm=0;
++for x in ${GRUB_TERMINAL_INPUT} ${GRUB_TERMINAL_OUTPUT}; do
++    if [ xserial = "x$x" ]; then
++	serial=1;
++    fi
++    if [ xgfxterm = "x$x" ]; then
++	gfxterm=1;
++    fi
++done
++
++if [ "x$serial" = x1 ]; then
+     if ! test -e ${grub_prefix}/serial.mod ; then
+-      echo "Serial terminal not available on this platform." >&2 ; exit 1
++	echo "Serial terminal not available on this platform." >&2 ; exit 1
+     fi
+ 
+     if [ "x${GRUB_SERIAL_COMMAND}" = "x" ] ; then
+-      grub_warn "Requested serial terminal but GRUB_SERIAL_COMMAND is unspecified. Default parameters will be used."
+-      GRUB_SERIAL_COMMAND=serial
++	grub_warn "Requested serial terminal but GRUB_SERIAL_COMMAND is unspecified. Default parameters will be used."
++	GRUB_SERIAL_COMMAND=serial
+     fi
+     echo "${GRUB_SERIAL_COMMAND}"
+-  ;;
+-esac
+-
+-case x${GRUB_TERMINAL_INPUT} in
+-  x)
+-    # Just use the native terminal
+-  ;;
+-  x*)
+-    cat << EOF
+-if terminal_input ${GRUB_TERMINAL_INPUT} ; then true ; else
+-  # For backward compatibility with versions of terminal.mod that don't
+-  # understand terminal_input
+-  terminal ${GRUB_TERMINAL_INPUT}
+ fi
+-EOF
+-  ;;
+-esac
+ 
+-case x${GRUB_TERMINAL_OUTPUT} in
+- xgfxterm)
++if [ "x$gfxterm" = x1 ]; then
+     # Make the font accessible
+     prepare_grub_to_access_device `${grub_probe} --target=device ${GRUB_FONT_PATH}`
+ 
+@@ -98,26 +91,37 @@ if loadfont `make_system_path_relative_t
+   set gfxmode=${GRUB_GFXMODE}
+   insmod gfxterm
+   insmod ${GRUB_VIDEO_BACKEND}
+-  if terminal_output gfxterm ; then true ; else
+-    # For backward compatibility with versions of terminal.mod that don't
+-    # understand terminal_output
+-    terminal gfxterm
+-  fi
+ EOF
+-if [ x$GRUB_THEME != x ] && [ -f $GRUB_THEME ] \
++    if [ x$GRUB_THEME != x ] && [ -f $GRUB_THEME ] \
+ 	&& is_path_readable_by_grub $GRUB_THEME; then
+-    echo "Found theme: $GRUB_THEME" >&2
+-    prepare_grub_to_access_device `${grub_probe} --target=device $GRUB_THEME` | sed -e "s/^/  /"
+-    cat << EOF
++	echo "Found theme: $GRUB_THEME" >&2
++	prepare_grub_to_access_device `${grub_probe} --target=device $GRUB_THEME` | sed -e "s/^/  /"
++	cat << EOF
+   insmod gfxmenu
+   set theme=(\$root)`make_system_path_relative_to_its_root $GRUB_THEME`
+-  set menuviewer=gfxmenu
+ EOF
++    fi
++    cat << EOF
+ fi
++EOF
++fi
++
++case x${GRUB_TERMINAL_INPUT} in
++  x)
++    # Just use the native terminal
++  ;;
++  x*)
+     cat << EOF
++if terminal_input ${GRUB_TERMINAL_INPUT} ; then true ; else
++  # For backward compatibility with versions of terminal.mod that don't
++  # understand terminal_input
++  terminal ${GRUB_TERMINAL_INPUT}
+ fi
+ EOF
+   ;;
++esac
++
++case x${GRUB_TERMINAL_OUTPUT} in
+   x)
+     # Just use the native terminal
+   ;;