Hi Dusty,
Thanks for the hints. They were very helpful. I did the following things to get it to work correctly:
- I renamed my user account to "core2" - this fixed first part of the problem. This also included the updated group info.
- I removed the /etc/hosts file creation as it was useless and conflicting with the actual generation.
- modifying just /usr/lib/ignition/user.ign and rerunning coreos-installer did not work. I started with PXE boot and reinstalled the image with the updated ignition files.
- fcct tool -o option does not overwrite the file. It tries to incorrectly update the JSON file and messes it up. So, forcefully removing the JSON/ign file and recreating it from YAML file works. - maybe I will file a bug against this.
Thanks again for your help
/Shivaram