Thanks for your bugreport.
Could you please disable the 7.10 cdrom entry in your
/etc/apt/sources.list file (e.g. via the software sources editor build
into adept) and try again? It very likely that this is caused by server
overload of us.archive.ubuntu.com
** Changed in: update-manager (Ubuntu)
Status: New => Incomplete
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When upgrading from Kubuntu 8.04 to 8.10 this crash happened
https://bugs.launchpad.net/bugs/291273
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