diff --git a/tools/xen/install_os_domU.sh b/tools/xen/install_os_domU.sh
index bcea939..0e194fe 100755
--- a/tools/xen/install_os_domU.sh
+++ b/tools/xen/install_os_domU.sh
@@ -250,11 +250,12 @@
             mkdir -p $HTTP_SERVER_LOCATION
         fi
         cp -f $THIS_DIR/devstackubuntupreseed.cfg $HTTP_SERVER_LOCATION
-        MIRROR=${MIRROR:-""}
-        if [ -n "$MIRROR" ]; then
-            sed -e "s,d-i mirror/http/hostname string .*,d-i mirror/http/hostname string $MIRROR," \
-                -i "${HTTP_SERVER_LOCATION}/devstackubuntupreseed.cfg"
-        fi
+
+        sed \
+            -e "s,\(d-i mirror/http/hostname string\).*,\1 $UBUNTU_INST_HTTP_HOSTNAME,g" \
+            -e "s,\(d-i mirror/http/directory string\).*,\1 $UBUNTU_INST_HTTP_DIRECTORY,g" \
+            -e "s,\(d-i mirror/http/proxy string\).*,\1 $UBUNTU_INST_HTTP_PROXY,g" \
+            -i "${HTTP_SERVER_LOCATION}/devstackubuntupreseed.cfg"
     fi
 
     # Update the template
diff --git a/tools/xen/scripts/install_ubuntu_template.sh b/tools/xen/scripts/install_ubuntu_template.sh
index 00cabb0..b7a8eff 100755
--- a/tools/xen/scripts/install_ubuntu_template.sh
+++ b/tools/xen/scripts/install_ubuntu_template.sh
@@ -69,11 +69,16 @@
 
 xe template-param-set uuid=$new_uuid \
     other-config:install-methods=http \
-    other-config:install-repository="$UBUNTU_INST_REPOSITORY" \
+    other-config:install-repository="http://${UBUNTU_INST_HTTP_HOSTNAME}${UBUNTU_INST_HTTP_DIRECTORY}" \
     PV-args="$pvargs" \
     other-config:debian-release="$UBUNTU_INST_RELEASE" \
     other-config:default_template=true \
     other-config:disks='<provision><disk device="0" size="'$disk_size'" sr="" bootable="true" type="system"/></provision>' \
     other-config:install-arch="$UBUNTU_INST_ARCH"
 
+if ! [ -z "$UBUNTU_INST_HTTP_PROXY" ]; then
+    xe template-param-set uuid=$new_uuid \
+        other-config:install-proxy="$UBUNTU_INST_HTTP_PROXY"
+fi
+
 echo "Ubuntu template installed uuid:$new_uuid"
diff --git a/tools/xen/xenrc b/tools/xen/xenrc
index 1956623..e50f954 100644
--- a/tools/xen/xenrc
+++ b/tools/xen/xenrc
@@ -64,7 +64,9 @@
 # XenServer 6.1 and later or XCP 1.6 or later
 # 11.10 is only really supported with XenServer 6.0.2 and later
 UBUNTU_INST_ARCH="amd64"
-UBUNTU_INST_REPOSITORY="http://archive.ubuntu.net/ubuntu"
+UBUNTU_INST_HTTP_HOSTNAME="archive.ubuntu.net"
+UBUNTU_INST_HTTP_DIRECTORY="/ubuntu"
+UBUNTU_INST_HTTP_PROXY=""
 UBUNTU_INST_LOCALE="en_US"
 UBUNTU_INST_KEYBOARD="us"
 # network configuration for ubuntu netinstall