After installing kernel-image-2.6.8-debian and runninning xconfig I run:

/usr/bin/make-kpkg --initrd --append-to-version=-debian kernel_image

which runs without error. Then I run:

dpkg -i kernel-image-2.6.8-debian_10.00.Custom_i386.deb

which result in:

Setting up kernel-image-2.6.8-debian (10.00.Custom) ...
/usr/sbin/mkinitrd: add_modules_dep_2_5: modprobe failed
FATAL: Module sd_mod not found.
Failed to create initrd image.
dpkg: error processing kernel-image-2.6.8-debian (--install):
subprocess post-installation script returned error exit status 9
Errors were encountered while processing:
kernel-image-2.6.8-debian

The sd_mod.o file does exist in the source tree after compiling so I don't know why the error is occuring.

Any ideas on what needs to be done to get the install to work correctly?

-Erik

I had the same problem. You need CONFIG_BLK_DEV_SD=m in your .config - you can find this in xconfig under Device Drivers | SCSI device support | SCSI disk support.