Ubuntu Servers :: Unable To Resolve Host / Hostname Is Set To (none)?

I just built out an Ubuntu Server 10.04.

My problem is setting the hostname. I cloned the machine, then normally on the clone, I would change the /etc/hostname and /etc/hosts file.


However, when I do this, upon restart, I get the message, "init hostname main process (some process number) terminated with status 1"Then, when the machine finally boots, the hostname is set to (none). Literally has braces like: user@(none):

I've tried: sudo hostname machine_name but it says can't resolve hostname (none).

I've Google'd around a lot but can't get it. It may have something to do with 10.04? I have been using 9.04, 9.10 with no problems.

eric@(none):~$ cat /etc/network/interfaces
# This file describes the network interfaces available on your system
# and how to activate them. For more information, see interfaces(5).
# The loopback network interface
auto lo
iface lo inet loopback
# The primary network interface
code....