Ok, reading again your description:

> What happend:
> I couldn't select the Ubuntu Classic session, NOR find a menu of all 
> applications, PLUS all my panel links were not there once I 
> installed the gnome-session-fallback package

Those are somewhat GNOME upstream issues, sorry about that but we will get them 
on any distribution:
- gnome-panel has been ranked as a fallback session in GNOME3 and is not really 
maintained, the choice would be to give you gnome-shell or unity on upgrade, 
both are different interfaces from what you were used to and will have a 
somewhat clean configuration

The fact that the gnome-panel configuration is not migrated is a gnome-
panel upstream decision, not something Ubuntu is reponsible for doing


> Conclusion:
> The upgrade tool installs the new Ocelot release without any option of using 
> my old settings, shortcuts or panels used in my > previous Ubuntu Classic 
> sessions.
> It's more like a new installation than an upgrade.

Sorry about that, linux desktops got a refresh recently that happens
every few years, all your applications and program configurations are
still there though, it's just the desktop ui which changed

> I'm not able to make people who are new to Ubuntu happy. There is no way they 
> find any of the programs, games, etc. They would have to KNOW the name!
> For calculator its quite obvious but for something like Excel they can't find 
> it because Math or Open Office isn't something they'd look for.

It's an interesting point, could you explain what is your issue to find
programs? You can click on the Ubuntu logo on the left launcher, that
will open the dash screen, there click on the "find extra applications"
or at the bottom on the second icon that will give you the application
lens. This view has filters on the top right similar to the menu
categories you have and a list of all installed applications, you can
basically browse them as you used to do it from there. Isn't that
working for you?

Note that you don't have to know the name of an application to find it,
the code look into the description and keywords as well we do plan to
improve the use of keywords this cycle, but i.e looking for excel should
maybe list libreoffice-calc...

> So this upgrade is no upgrade at all if they lose the functionality.
> This will lose me as Ubuntu user, and hold new users from becoming such.

What functionnality did you loose? Note that if Unity displease you,
there are other desktop environment available in Ubuntu: gnome-shell,
gnome-panel, xfce, lxde, kde, etc, no need to change to another system,
it's easier to just install the desktop you want to try

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https://bugs.launchpad.net/bugs/894201

Title:
  Upgrade-tool is not upgrading but replacing

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