I have the same problem on an updated (as of 2008-10-04) Intrepid, with
4 cities (Ängelholm, Stockholm, Umeå and Niagra Falls) defined. I have
to set the home location every time I log in.

I don't have any /etc/timezone

The machine was installed last summer on 'Ubuntu 7.10 _Gutsy Gibbon_ -
Alpha amd64 (20070823.5)' and has been upgraded since then


** Changed in: gnome-panel (Ubuntu)
       Status: Fix Released => New

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International Clock Applet - Home Settings not getting Saved
https://bugs.launchpad.net/bugs/218123
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