diff -up Linux-PAM-0.99.8.1/modules/pam_namespace/namespace.init.homedir Linux-PAM-0.99.8.1/modules/pam_namespace/namespace.init
--- Linux-PAM-0.99.8.1/modules/pam_namespace/namespace.init.homedir	2007-08-24 10:40:46.000000000 +0200
+++ Linux-PAM-0.99.8.1/modules/pam_namespace/namespace.init	2007-08-24 15:33:52.000000000 +0200
@@ -1,9 +1,24 @@
 #!/bin/sh -p
-# This is only a boilerplate for the instance initialization script.
 # It receives polydir path as $1, the instance path as $2, 
 # a flag whether the instance dir was newly created (0 - no, 1 - yes) in $3,
 # and user name in $4.
 #
+# The following section will copy the contents of /etc/skel if this is a
+# newly created home directory.
+if [ "$3" = 1 ]; then
+        user="$4"
+        passwd=$(getent passwd "$user")
+        homedir=$(echo "$passwd" | cut -f6 -d":")
+        if [ "$1" = "$homedir" ]; then
+                gid=$(echo "$passwd" | cut -f4 -d":")
+                cp -aT /etc/skel "$homedir"
+                [ -x /sbin/restorecon ] && /sbin/restorecon -R "$homedir"
+                chown -R "$user":"$gid" "$homedir"
+                mode=$(awk '/^UMASK/{gsub("#.*$", "", $2); printf "%o", and(0777,compl(strtonum("0" $2))); exit}' /etc/login.defs)
+                chmod ${mode:-700} "$homedir"
+        fi
+fi
+#
 # If you intend to polyinstantiate /tmp and you also want to use the X windows
 # environment, you will have to use this script to bind mount the socket that
 # is used by the X server to communicate with its clients. X server places