On the F9 track, I have been playing around a bit with Pungi as a
robust - and better fitting - install composer. It has several
advantages over livecd-tools.
A minor problem is that it's impossible at the moment to build a F9
install CD without bringing in X.org server, Cairo and a good chunk of
gnome. See
http://marc.info/?l=fedora-buildsys-list&m=121740313820597&w=2
A "textonly" splitoff of anaconda and anaconda runtime that drop the X
dependencies would shed ~200 MB of dependencies, and make F9 a better
fit for embedded deployments, making the XS image smaller and nicer
along the way... hint, hint... :-)