Custom RHEL 7 Installation ISO/DVD fails with "Warning: dracut-initqueue timeout - starting timeout scripts"

Issue

NOTE: Red Hat does not support the traditional concept of the Golden Image, instead we recommend and promote the use of kickstart to build consistent systems. Red Hat does not support the customization of installation media. This article is provided as a how-to and Red Hat will not be able to support the process described here.

In this scenario, we are creating a customized ISO using the RHEL 7.3 Installation Binary DVD to create another customized RHEL 7.3 ISO which may contain additional directories for the installation of other software such as an external driver. Red Hat does not support the creation of a customized ISO or DVD installation.

• Creation of a customized RHEL 7 installation ISO file with the following mkisofs command that uses a different label via the -V option .

# mkisofs -J -T -o /tmp/rhel73_custom.iso -b isolinux/isolinux.bin -c isolinux/boot.cat -no-emul-boot -boot-load-size 4 -boot-info-table -R -graft-points -V "RHEL-7.3 custom.x86_64" -eltorito-alt-boot -eltorito-boot images/efiboot.img -no-emul-boot /mnt/rhel73new/

• Mount the ISO to a system for installation and after selecting to install RHEL 7, the system boots up and fails with the following messages.

[...]
[  129.765881] dracut-initqueue[558]: Warning: dracut-initqueue timeout - starting timeout scripts
[  130.298521] dracut-initqueue[558]: Warning: dracut-initqueue timeout - starting timeout scripts
[  130.823364] dracut-initqueue[558]: Warning: dracut-initqueue timeout - starting timeout scripts
[  130.347230] dracut-initqueue[558]: Warning: dracut-initqueue timeout - starting timeout scripts
[...]

• The system then enters the dracut emergency shell.