The doc says that grub looks for menu.lst (.Lst) but for grub to actually start the GUI menu, it needs looks for the grub.conf file containing the same info that was put into the menue.lst file. At least thats what happened to me when installing 1.4_rc1. When I just had menu.lst it would dump me into the grub command line then when I added grub.conf the menu started appearing.
From GRUB manual (v0.92): http://www.gnu.org/manual/grub/html_node/Configuration.html#Configuration ... "To enable the menu, you need a configuration file, menu.lst under the boot directory." ...
this depends on the version of grub ... ZhEN: you should update the docs to say 'grub.conf', but then make a note that they should link the file to menu.lst for backwards compatibility
I fixed this, and added the necessary note. //ZhEN