*** This bug is a duplicate of bug 408699 ***
    https://bugs.launchpad.net/bugs/408699

I got the same on 10.04 alpha2 after 
apt-get update
apt-get upgrade
--- snip ---
Setting up grub-common (1.98~20100115-1ubuntu2) ...
Installing new version of config file /etc/grub.d/30_os-prober ...
Installing new version of config file /etc/grub.d/10_linux ...

Setting up grub-pc (1.98~20100115-1ubuntu2) ...
/usr/sbin/grub-setup: warn: Attempting to install GRUB to a partitionless disk. 
 This is a BAD idea.
/usr/sbin/grub-setup: warn: Embedding is not possible.  GRUB can only be 
installed in this setup by using blocklists.  However, blocklists are 
UNRELIABLE and its use is discouraged.
Installation finished. No error reported.
...
Processing triggers for libc-bin ...
ldconfig deferred processing now taking place
Reading package lists... Done             
Building dependency tree       
Reading state information... Done
Reading extended state information      
Initializing package states... Done
Writing extended state information... Done

Current status: 0 updates [-88].
----
 then  after reboot only what I got is 

GRUB loading 
error: the symbol 'grub_term_outputs_disabled' not found
grub rescue>

-- 
[Karmic] grub fails with error "unrecognised symbol"
https://bugs.launchpad.net/bugs/409215
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