diff --git a/docs/source/guides/admin-guides/references/man1/packimage.1.rst b/docs/source/guides/admin-guides/references/man1/packimage.1.rst
index 705880797..13510d4b1 100644
--- a/docs/source/guides/admin-guides/references/man1/packimage.1.rst
+++ b/docs/source/guides/admin-guides/references/man1/packimage.1.rst
@@ -62,7 +62,7 @@ OPTIONS
 
 \ **-a**\           Architecture (ppc64,x86_64,etc)
 
-\ **-m**\           Method (default cpio)
+\ **-m**\           Method (cpio,txc,squashfs, default is cpio)
 
 
 ************
diff --git a/xCAT-client/pods/man1/packimage.1.pod b/xCAT-client/pods/man1/packimage.1.pod
index 90154394d..c2f8bdc5c 100644
--- a/xCAT-client/pods/man1/packimage.1.pod
+++ b/xCAT-client/pods/man1/packimage.1.pod
@@ -36,7 +36,7 @@ B<-p>          Profile (compute,service)
 
 B<-a>          Architecture (ppc64,x86_64,etc)
 
-B<-m>          Method (default cpio)
+B<-m>          Method (cpio,txc,squashfs, default is cpio)
 
 
 =head1 RETURN VALUE
diff --git a/xCAT-server/lib/xcat/plugins/anaconda.pm b/xCAT-server/lib/xcat/plugins/anaconda.pm
index d47a9311f..e48700aa4 100644
--- a/xCAT-server/lib/xcat/plugins/anaconda.pm
+++ b/xCAT-server/lib/xcat/plugins/anaconda.pm
@@ -450,6 +450,7 @@ sub mknetboot
         $platform=xCAT_plugin::anaconda::getplatform($osver);       
         my $suffix  = 'gz';
         $suffix = 'sfs' if (-r "$rootimgdir/rootimg.sfs");
+        $suffix = 'txz' if (-r "$rootimgdir/rootimg.txz");
 	    # statelite images are not packed.  
         if ($statelite) {
             unless ( -r "$rootimgdir/kernel") {
@@ -497,7 +498,7 @@ sub mknetboot
                       copy("$rootimgdir/initrd.gz", "$rootimgdir/initrd-stateless.gz");
                   }
               }
-	        unless ( -r "$rootimgdir/rootimg.gz" or -r "$rootimgdir/rootimg.sfs" ) {
+	        unless ( -r "$rootimgdir/rootimg.gz" or -r "$rootimgdir/rootimg.txz" or -r "$rootimgdir/rootimg.sfs" ) {
                 $callback->({
                     error=>["No packed image for platform $osver, architecture $arch, and profile $profile found at $rootimgdir/rootimg.gz or $rootimgdir/rootimg.sfs on $myname, please run packimage (e.g.  packimage -o $osver -p $profile -a $arch"],
                     errorcode => [1]});
diff --git a/xCAT-server/lib/xcat/plugins/debian.pm b/xCAT-server/lib/xcat/plugins/debian.pm
index 4610c6ca0..6d081b5d2 100644
--- a/xCAT-server/lib/xcat/plugins/debian.pm
+++ b/xCAT-server/lib/xcat/plugins/debian.pm
@@ -1152,8 +1152,9 @@ sub mknetboot
 
         $platform=xCAT_plugin::debian::getplatform($osver);       
         my $suffix  = 'gz';
-	$suffix = 'sfs' if (-r "$rootimgdir/rootimg.sfs");
-            # statelite images are not packed.  
+        $suffix = 'sfs' if (-r "$rootimgdir/rootimg.sfs");
+        $suffix = 'txz' if (-r "$rootimgdir/rootimg.txz");
+        # statelite images are not packed.  
         if ($statelite) {
             unless ( -r "$rootimgdir/kernel") {
                 $callback->({
@@ -1201,7 +1202,7 @@ sub mknetboot
                             copy("$rootimgdir/initrd.gz", "$rootimgdir/initrd-stateless.gz");
                 }
             }
-                unless ( -r "$rootimgdir/rootimg.gz" or -r "$rootimgdir/rootimg.sfs" ) {
+                unless ( -r "$rootimgdir/rootimg.gz" or -r "$rootimgdir/rootimg.txz" or -r "$rootimgdir/rootimg.sfs" ) {
                 $callback->({
                     error=>["No packed image for platform $osver, architecture $arch, and profile $profile, please run packimage (e.g.  packimage -o $osver -p $profile -a $arch"],
                     errorcode => [1]});
diff --git a/xCAT-server/lib/xcat/plugins/packimage.pm b/xCAT-server/lib/xcat/plugins/packimage.pm
index 979d4b72f..4983341dc 100755
--- a/xCAT-server/lib/xcat/plugins/packimage.pm
+++ b/xCAT-server/lib/xcat/plugins/packimage.pm
@@ -1,8 +1,26 @@
+# IBM(c) 2007 EPL license http://www.eclipse.org/legal/epl-v10.html
+#-------------------------------------------------------
+
+=head1
+    xCAT plugin package to pack the stateless image
+
+    Supported options:
+        -h Display usage message
+        -v Command Version
+        -o Operating system (fedora8, rhel5, sles10,etc)
+        -p Profile (compute,service)
+        -a Architecture (ppc64,x86_64,etc)
+        -m Method (default cpio)
+
+=cut
+
+#-------------------------------------------------------
 package xCAT_plugin::packimage;
 BEGIN
 {
     $::XCATROOT = $ENV{'XCATROOT'} ? $ENV{'XCATROOT'} : '/opt/xcat';
 }
+use strict;
 use lib "$::XCATROOT/lib/perl";
 use Data::Dumper;
 use xCAT::Table;
@@ -24,24 +42,44 @@ Getopt::Long::Configure("pass_through");
 my $verbose = 0;
 #$verbose = 1;
 
+#-------------------------------------------------------
+
+=head3  handled_commands
+
+    Return list of commands handled by this plugin
+
+=cut
+
+#-------------------------------------------------------
 sub handled_commands {
      return {
             packimage => "packimage",
    }
 }
 
+#-------------------------------------------------------
+
+=head3  Process the command
+
+=cut
+
+#-------------------------------------------------------
 sub process_request {
    my $request = shift;
    my $callback = shift;
    my $doreq = shift;
    my $installroot = xCAT::TableUtils->getInstallDir();
 
-   @ARGV = @{$request->{arg}};
-   my $argc = scalar @ARGV;
-   if ($argc == 0) {
-       $callback->({info=>["packimage -h \npackimage -v \npackimage imagename"]});
-       return;
+   my $args;
+   if (defined($request->{arg})) {
+       $args = $request->{arg};
+       @ARGV = @{$args};
    }
+   if (scalar(@ARGV) == 0) {
+       $callback->({info=>["Usage:\n   packimage <imagename>\n   packimage [-h| --help]\n   packimage [-v| --version]"]});
+       return 0;
+   }
+
    my $osver;
    my $arch;
    my $profile;
@@ -52,6 +90,9 @@ sub process_request {
    my $destdir;
    my $imagename;
    my $dotorrent;
+   my $provmethod;
+   my $help;
+   my $version;
 
    GetOptions(
       "profile|p=s" => \$profile,
@@ -65,62 +106,62 @@ sub process_request {
    if ($version) {
       my $version = xCAT::Utils->Version(); 
       $callback->({info=>[$version]});
-      return;
+      return 0;
    }
    if ($help) {
-      $callback->({info=>["packimage -h \npackimage -v \npackimage imagename"]});
-      return;
+      $callback->({info=>["Usage:\n   packimage <imagename>\n   packimage [-h| --help]\n   packimage [-v| --version]"]});
+      return 0;
    }
 
    if (@ARGV > 0) {
        $imagename=$ARGV[0];
        if ($arch or $osver or $profile) {
            $callback->({error=>["-o, -p and -a options are not allowed when a image name is specified."],errorcode=>[1]});
-           return;
+           return 1;
        }
        # load the module in memory
        eval {require("$::XCATROOT/lib/perl/xCAT/Table.pm")};
        if ($@) {
            $callback->({error=>[$@],errorcode=>[1]});
-           return;
+           return 1;
        }
    
        # get the info from the osimage and linux 
        my $osimagetab=xCAT::Table->new('osimage', -create=>1);
        unless ($osimagetab) {
            $callback->({error=>["The osimage table cannot be opened."],errorcode=>[1]});
-           return;
+           return 1;
        }
        my $linuximagetab=xCAT::Table->new('linuximage', -create=>1);
        unless ($linuximagetab) {
            $callback->({error=>["The linuximage table cannot be opened."],errorcode=>[1]});
-           return;
+           return 1;
        }
        (my $ref) = $osimagetab->getAttribs({imagename => $imagename}, 'osvers', 'osarch', 'profile', 'provmethod', 'synclists');
        unless ($ref) {
            $callback->({error=>["Cannot find image \'$imagename\' from the osimage table."],errorcode=>[1]});
-           return;
+           return 1;
        }
        (my $ref1) = $linuximagetab->getAttribs({imagename => $imagename}, 'exlist', 'rootimgdir');
        unless ($ref1) {
            $callback->({error=>["Cannot find $imagename from the linuximage table."],errorcode=>[1]});
-           return;
+           return 1;
        }
        
        $osver=$ref->{'osvers'};
        $arch=$ref->{'osarch'};
        $profile=$ref->{'profile'};
        $syncfile=$ref->{'synclists'};
-       my $provmethod=$ref->{'provmethod'};
+       $provmethod=$ref->{'provmethod'};
        
        unless ($osver and $arch and $profile and $provmethod) {
            $callback->({error=>["osimage.osvers, osimage.osarch, osimage.profile and osimage.provmethod must be specified for the image $imagename in the database."],errorcode=>[1]});
-           return;
+           return 1;
        }
        
        if ($provmethod ne 'netboot') {
            $callback->({error=>["\'$imagename\' cannot be used to build diskless image. Make sure osimage.provmethod is 'netboot'."],errorcode=>[1]});
-           return;
+           return 1;
        }
        
        $exlistloc =$ref1->{'exlist'};
@@ -129,7 +170,7 @@ sub process_request {
        $provmethod="netboot";
        unless ($osver) {
 	   $callback->({error=>["Please specify a os version with the -o flag"],errorcode=>[1]});
-           return;
+           return 1;
        }
        unless ($arch) {
 	   $arch = `uname -m`;
@@ -139,7 +180,7 @@ sub process_request {
 
        unless ($profile) {
 	   $callback->({error=>["Please specify a profile name with -p flag"],errorcode=>[1]});
-           return;
+           return 1;
        }
    }
 
@@ -154,11 +195,11 @@ sub process_request {
    }
    unless ($distname) {
       $callback->({error=>["Unable to find $::XCATROOT/share/xcat/netboot directory for $osver"],errorcode=>[1]});
-      return;
+      return 1;
    }
    unless ($installroot) {
        $callback->({error=>["No installdir defined in site table"],errorcode=>[1]});
-       return;
+       return 1;
    }
    my $oldpath=cwd();
    unless ($imagename) {
@@ -169,7 +210,7 @@ sub process_request {
        my @ret = xCAT::SvrUtils->update_tables_with_diskless_image($osver, $arch, $profile, "netboot");
        unless ($ret[0] eq 0) {
 	   $callback->({error=>["Error when updating the osimage tables: " . $ret[1]], errorcode=>[1]});
-	   return;
+	   return 1;
        }
    }
 
@@ -205,7 +246,7 @@ sub process_request {
     my %liteHash;   # create hash table for the entries in @listList
     if (parseLiteFiles($ref_liteList, \%liteHash)) {
         $callback->({error=>["Failed for parsing litefile table!"], errorcode=>[1]});
-        return;
+        return 1;
     }
 
     $verbose && $callback->({data=>["rootimg_status = $rootimg_status at line " . __LINE__ ]});
@@ -317,7 +358,7 @@ sub process_request {
    # add the xCAT post scripts to the image
     unless ( -d "$rootimg_dir") {
        $callback->({error=>["$rootimg_dir does not exist, run genimage -o $osver -p $profile on a server with matching architecture"], errorcode=>[1]});
-       return;
+       return 1;
     }
 
    # some rpms like atftp mount the rootimg/proc to /proc, we need to make sure rootimg/proc is free of junk 
@@ -359,31 +400,27 @@ sub process_request {
            system("$::XCATROOT/bin/xdcp -i $rootimg_dir -F $syncfile");
    }
 
-    my $verb = "Packing";
-
     my $temppath;
     my $oldmask;
     unless ( -d $rootimg_dir) {
        $callback->({error=>["$rootimg_dir does not exist, run genimage -o $osver -p $profile on a server with matching architecture"]});
-       return;
+       return 1;
     }
-    $callback->({data=>["$verb contents of $rootimg_dir"]});
+    $callback->({data=>["Packing contents of $rootimg_dir"]});
     unlink("$destdir/rootimg.gz");
     unlink("$destdir/rootimg.sfs");
 
-    my $compress="gzip";
-    #use "pigz" as the compress tool instead of gzip if "pigz" exist
-    my $ispigz=system("bash -c 'type -p pigz' >/dev/null 2>&1");
-    if($ispigz == 0){
-       $compress="pigz";
-    }
-
-    $callback->({info=>["compress method:$compress"]});
- 
+    $callback->({info=>["compress method:$method"]});
     if ($method =~ /cpio/) {
+        my $compress="gzip";
+        #use "pigz" as the compress tool instead of gzip if "pigz" exist
+        my $ispigz=system("bash -c 'type -p pigz' >/dev/null 2>&1");
+        if($ispigz == 0){
+            $compress="pigz";
+        }
         if ( ! $exlistloc ) {
             $excludestr = "find . -xdev |cpio -H newc -o | $compress -c - > ../rootimg.gz";
-        }else {
+        } else {
             chdir("$rootimg_dir");
             system("$excludestr >> $xcat_packimg_tmpfile"); 
             if ($includestr) {
@@ -393,15 +430,21 @@ sub process_request {
         }
         $oldmask = umask 0077;
     } elsif ($method =~ /txc/) {
+        my $isxz=system("bash -c 'type -p xz' >/dev/null 2>&1");
+        unless($isxz == 0) {
+            $callback->({error=>["Command xz does not exist, please make sure it works."]});
+            return 1;
+        }
+        $callback->({info=>["It will take several minutes to complete. So please wait for several minutes, then the other operations could be done. Otherwise, the other operation will fail."]});
         if ( ! $exlistloc ) {
-            $excludestr = "find . -xdev | tar --selinux --xattr-include='*' -T - -Jcvf ../rootimg.txz";
-        }else {
+            $excludestr = "find . -xdev | tar --selinux --xattrs-include='*' -T - -Jcvf ../rootimg.txz";
+        } else {
             chdir("$rootimg_dir");
-            system("$excludestr >> $xcat_packimg_tmpfile"); 
+            system("$excludestr >> $xcat_packimg_tmpfile");
             if ($includestr) {
-            	system("$includestr >> $xcat_packimg_tmpfile"); 
+            	system("$includestr >> $xcat_packimg_tmpfile");
             }
-            $excludestr = "cat $xcat_packimg_tmpfile| tar --selinux --xattr-include='*' -T -Jcvf ../rootimg.txz";
+            $excludestr = "cat $xcat_packimg_tmpfile| tar --selinux --xattrs-include='*' -T - -Jcvf ../rootimg.txz";
         }
         $oldmask = umask 0077;
     } elsif ($method =~ /squashfs/) {
@@ -429,6 +472,9 @@ sub process_request {
             chdir($currdir);
         }
         umask $oldmask;
+    } elsif ($method =~ /txc/) {
+        chmod 0644,"$destdir/rootimg.txz";
+        umask $oldmask;
     } elsif ($method =~ /squashfs/) {
        my $flags;
        if ($arch =~ /x86/) {
@@ -443,17 +489,17 @@ sub process_request {
        
        if (! -x "/sbin/mksquashfs" && ! -x "/usr/bin/mksquashfs" ) {
           $callback->({error=>["mksquashfs not found, squashfs-tools rpm should be installed on the management node"],errorcode=>[1]});
-          return;
+          return 1;
        }
        my $rc = system("mksquashfs $temppath ../rootimg.sfs $flags");
        if ($rc) {
           $callback->({error=>["mksquashfs could not be run successfully"],errorcode=>[1]});
-          return;
+          return 1;
        }
        $rc = system("rm -rf $temppath");
        if ($rc) {
           $callback->({error=>["Failed to clean up temp space"],errorcode=>[1]});
-          return;
+          return 1;
        }
        chmod(0644,"../rootimg.sfs");
     }
@@ -481,11 +527,15 @@ sub process_request {
    chdir($oldpath);
 }
 
-###########################################################
-#
-#  copybootscript - copy the xCAT diskless init scripts to the image
-#
-#############################################################
+#-------------------------------------------------------
+
+=head3  copybootscript
+
+    copy the xCAT diskless init scripts to the image
+
+=cut
+
+#-------------------------------------------------------
 sub copybootscript {
 
     my $installroot  = shift;
@@ -546,6 +596,14 @@ sub copybootscript {
 	return 0;
 }
 
+#-------------------------------------------------------
+
+=head3  include_file
+
+
+=cut
+
+#-------------------------------------------------------
 sub include_file
 {
    my $file = shift;
@@ -570,45 +628,47 @@ sub include_file
    return join("\n", @text);
 }
 
-=head3 parseLiteFiles
-In the liteentry table, one directory and its sub-items (including sub-directory and entries) can co-exist;
-In order to handle such a scenario, one hash is generated to show the hirarachy relationship
+#-------------------------------------------------------
 
-For example, one array with entry names is used as the input:
-my @entries = (
-    "imagename bind,persistent /var/",
-    "imagename bind /var/tmp/",
-    "imagename tmpfs,rw /root/",
-    "imagename tmpfs,rw /root/.bashrc",
-    "imagename tmpfs,rw /root/test/",
-    "imagename bind /etc/resolv.conf",
-    "imagename bind /var/run/"
-);
-Then, one hash will generated as:
-%hashentries = {
-          'bind,persistent /var/' => [
-                                                 'bind /var/tmp/',
-                                                 'bind /var/run/'
-                                               ],
-          'bind /etc/resolv.conf' => undef,
-          'tmpfs,rw /root/' => [
-                                           'tmpfs,rw /root/.bashrc',
-                                           'tmpfs,rw /root/test/'
-                                         ]
-        };
+=head3  parseLiteFiles
 
-Arguments:
-    one array with entrynames,
-    one hash to hold the entries parsed
+    In the liteentry table, one directory and its sub-items (including sub-directory and entries) can co-exist;
+    In order to handle such a scenario, one hash is generated to show the hirarachy relationship
 
-Returns:
-    0 if sucucess
-    1 if fail
+    For example, one array with entry names is used as the input:
+    my @entries = (
+        "imagename bind,persistent /var/",
+        "imagename bind /var/tmp/",
+        "imagename tmpfs,rw /root/",
+        "imagename tmpfs,rw /root/.bashrc",
+        "imagename tmpfs,rw /root/test/",
+        "imagename bind /etc/resolv.conf",
+        "imagename bind /var/run/"
+    );
+    Then, one hash will generated as:
+    %hashentries = {
+        'bind,persistent /var/' => [
+            'bind /var/tmp/',
+            'bind /var/run/'
+        ],
+        'bind /etc/resolv.conf' => undef,
+        'tmpfs,rw /root/' => [
+            'tmpfs,rw /root/.bashrc',
+            'tmpfs,rw /root/test/'
+        ]
+    };
+
+    Arguments:
+        one array with entrynames,
+        one hash to hold the entries parsed
+
+    Returns:
+        0 if sucucess
+        1 if fail
 
 =cut
 
-
-
+#-------------------------------------------------------
 sub parseLiteFiles {
     my ($flref, $dhref) = @_;
     my @entries = @{$flref};
diff --git a/xCAT-server/lib/xcat/plugins/sles.pm b/xCAT-server/lib/xcat/plugins/sles.pm
index aa9227b40..6ee9bfb23 100644
--- a/xCAT-server/lib/xcat/plugins/sles.pm
+++ b/xCAT-server/lib/xcat/plugins/sles.pm
@@ -314,14 +314,12 @@ sub mknetboot
             $pkgdir = "$installroot/$osver/$arch";
         }elsif($osver =~ /suse.*/){
             $platform = "sles";
-	    }
-
-        my $suffix  = 'gz';       
-        if (-r "$rootimgdir/rootimg.sfs")
-        {
-            $suffix = 'sfs';
         }
 
+        my $suffix  = 'gz';
+        $suffix = 'sfs' if (-r "$rootimgdir/rootimg.sfs");
+        $suffix = 'txz' if (-r "$rootimgdir/rootimg.txz");
+
         if ($statelite) {
             unless ( -r "$rootimgdir/kernel") {
                 $callback->({
@@ -372,7 +370,7 @@ sub mknetboot
                 }
             }
 	    
-            unless ( -r "$rootimgdir/rootimg.gz" or -r "$rootimgdir/rootimg.sfs" ) {
+            unless ( -r "$rootimgdir/rootimg.gz" or -r "$rootimgdir/rootimg.txz" or -r "$rootimgdir/rootimg.sfs" ) {
                 $callback->({
                     error=>[qq{No packed image for platform $osver, architecture $arch, and profile $profile, please run packimage before nodeset}],
                     errorcode=>[1]
diff --git a/xCAT-server/share/xcat/netboot/rh/compute.rhels7.ppc64.pkglist b/xCAT-server/share/xcat/netboot/rh/compute.rhels7.ppc64.pkglist
index 076e5d9a7..7f576221b 100644
--- a/xCAT-server/share/xcat/netboot/rh/compute.rhels7.ppc64.pkglist
+++ b/xCAT-server/share/xcat/netboot/rh/compute.rhels7.ppc64.pkglist
@@ -24,3 +24,4 @@ irqbalance
 procps-ng
 parted
 net-tools
+xz
diff --git a/xCAT-server/share/xcat/netboot/rh/compute.rhels7.x86_64.pkglist b/xCAT-server/share/xcat/netboot/rh/compute.rhels7.x86_64.pkglist
index 87a71d977..409531cdf 100644
--- a/xCAT-server/share/xcat/netboot/rh/compute.rhels7.x86_64.pkglist
+++ b/xCAT-server/share/xcat/netboot/rh/compute.rhels7.x86_64.pkglist
@@ -19,3 +19,4 @@ rsyslog
 e2fsprogs
 parted
 net-tools
+xz
diff --git a/xCAT-server/share/xcat/netboot/rh/dracut/install.netboot b/xCAT-server/share/xcat/netboot/rh/dracut/install.netboot
index a0899f3f4..706a14d12 100755
--- a/xCAT-server/share/xcat/netboot/rh/dracut/install.netboot
+++ b/xCAT-server/share/xcat/netboot/rh/dracut/install.netboot
@@ -1,6 +1,6 @@
 #!/bin/sh
 echo $drivers
-dracut_install wget tar xz cpio gzip dash  modprobe touch echo cut wc 
+dracut_install wget tar xz cpio gzip dash modprobe touch echo cut wc xz
 dracut_install -o ctorrent
 dracut_install grep ifconfig hostname awk egrep grep dirname expr
 dracut_install mount.nfs
diff --git a/xCAT-server/share/xcat/netboot/rh/dracut_033/install.netboot b/xCAT-server/share/xcat/netboot/rh/dracut_033/install.netboot
index b52b6690f..9bae9d704 100755
--- a/xCAT-server/share/xcat/netboot/rh/dracut_033/install.netboot
+++ b/xCAT-server/share/xcat/netboot/rh/dracut_033/install.netboot
@@ -1,6 +1,6 @@
 #!/bin/sh
 echo $drivers
-dracut_install wget cpio gzip modprobe touch echo cut wc
+dracut_install wget cpio gzip modprobe touch echo cut wc xz
 dracut_install grep ifconfig hostname awk egrep grep dirname expr
 dracut_install mount.nfs
 dracut_install parted mke2fs bc mkswap swapon chmod
diff --git a/xCAT-server/share/xcat/netboot/rh/dracut_033/xcatroot b/xCAT-server/share/xcat/netboot/rh/dracut_033/xcatroot
index bcb9a911a..2344938dc 100755
--- a/xCAT-server/share/xcat/netboot/rh/dracut_033/xcatroot
+++ b/xCAT-server/share/xcat/netboot/rh/dracut_033/xcatroot
@@ -90,6 +90,7 @@ elif [ -r /rootimg.gz ]; then
   [ "$xcatdebugmode" > "0" ] && logger -t xcat -p debug "Done...."
   echo Done
 elif [ -r /rootimg.txz ]; then
+  [ "$xcatdebugmode" > "0" ] && logger -t xcat -p debug "rootimg.txz downloaded,setting up RAM-root tmpfs...."
   echo Setting up RAM-root tmpfs.
   if [ -z $rootlimit ];then
     mount -t tmpfs -o mode=755 rootfs $NEWROOT
@@ -98,9 +99,11 @@ elif [ -r /rootimg.txz ]; then
   fi
 
   cd $NEWROOT
+  [ "$xcatdebugmode" > "0" ] && logger -t xcat -p debug "Extracting root filesystem:"
   echo -n "Extracting root filesystem:"
   tar -Jxvf /rootimg.txz
   $NEWROOT/etc/init.d/localdisk
+  [ "$xcatdebugmode" > "0" ] && logger -t xcat -p debug "Done...."
   echo Done
 elif [ -r /rootimg-statelite.gz ]; then
   echo Setting up RAM-root tmpfs for statelite mode.
diff --git a/xCAT-server/share/xcat/netboot/rh/genimage b/xCAT-server/share/xcat/netboot/rh/genimage
index a7d598294..af7224cde 100755
--- a/xCAT-server/share/xcat/netboot/rh/genimage
+++ b/xCAT-server/share/xcat/netboot/rh/genimage
@@ -1583,6 +1583,17 @@ EOMS
    print $inifile "  zcat /rootimg.gz |cpio -idum\n";
    print $inifile "  fi\n";
    print $inifile "  echo Done\n";
+   print $inifile "elif [ -r /rootimg.txz ]; then\n";
+   print $inifile "    echo Setting up RAM-root tmpfs.\n";
+   if ($rootlimit) {
+      print $inifile "    mount -o \"size=$rootlimit,mode=755\" -t tmpfs rootfs \$NEWROOT\n";
+   } else {
+      print $inifile "    mount -o  mode=755 -t tmpfs rootfs \$NEWROOT\n";
+   }
+   print $inifile "    cd \$NEWROOT\n";
+   print $inifile "    echo -n \"Extracting root filesystem:\"\n";
+   print $inifile "    tar -Jxvf /rootimg.txz\n";
+   print $inifile "    echo Done\n";
    print $inifile "else\n";
    print $inifile "  echo -n Failed to download image, panicing in 5...\n";
    print $inifile "  for i in 4 3 2 1 0; do\n";
@@ -1657,7 +1668,7 @@ EOMS
      }
    }
    # add rsync for statelite
-   foreach ("bin/cpio","sbin/nash","sbin/busybox.anaconda","sbin/rmmod", "bin/bash", "usr/sbin/chroot", "sbin/mount.nfs", "usr/bin/rsync", "usr/bin/wc") {
+   foreach ("bin/cpio","sbin/nash","sbin/busybox.anaconda","sbin/rmmod", "bin/bash", "usr/sbin/chroot", "sbin/mount.nfs", "usr/bin/rsync", "usr/bin/wc", "usr/bin/xz") {
       getlibs($_);
       push @filestoadd,$_;
    }
diff --git a/xCAT-server/share/xcat/netboot/sles/compute.sles12.ppc64le.pkglist b/xCAT-server/share/xcat/netboot/sles/compute.sles12.ppc64le.pkglist
index 1eebf1414..d0b4c3a0e 100644
--- a/xCAT-server/share/xcat/netboot/sles/compute.sles12.ppc64le.pkglist
+++ b/xCAT-server/share/xcat/netboot/sles/compute.sles12.ppc64le.pkglist
@@ -41,3 +41,4 @@ udev
 kernel-default
 kernel-firmware
 adaptec-firmware
+xz
diff --git a/xCAT-server/share/xcat/netboot/sles/compute.sles12.x86_64.pkglist b/xCAT-server/share/xcat/netboot/sles/compute.sles12.x86_64.pkglist
index 1eebf1414..d0b4c3a0e 100644
--- a/xCAT-server/share/xcat/netboot/sles/compute.sles12.x86_64.pkglist
+++ b/xCAT-server/share/xcat/netboot/sles/compute.sles12.x86_64.pkglist
@@ -41,3 +41,4 @@ udev
 kernel-default
 kernel-firmware
 adaptec-firmware
+xz
diff --git a/xCAT-server/share/xcat/netboot/sles/dracut_033/install.netboot b/xCAT-server/share/xcat/netboot/sles/dracut_033/install.netboot
index b52b6690f..9bae9d704 100755
--- a/xCAT-server/share/xcat/netboot/sles/dracut_033/install.netboot
+++ b/xCAT-server/share/xcat/netboot/sles/dracut_033/install.netboot
@@ -1,6 +1,6 @@
 #!/bin/sh
 echo $drivers
-dracut_install wget cpio gzip modprobe touch echo cut wc
+dracut_install wget cpio gzip modprobe touch echo cut wc xz
 dracut_install grep ifconfig hostname awk egrep grep dirname expr
 dracut_install mount.nfs
 dracut_install parted mke2fs bc mkswap swapon chmod
diff --git a/xCAT-server/share/xcat/netboot/sles/dracut_033/xcatroot b/xCAT-server/share/xcat/netboot/sles/dracut_033/xcatroot
index c02971ef7..c9775a412 100755
--- a/xCAT-server/share/xcat/netboot/sles/dracut_033/xcatroot
+++ b/xCAT-server/share/xcat/netboot/sles/dracut_033/xcatroot
@@ -87,6 +87,22 @@ elif [ -r /rootimg.gz ]; then
   $NEWROOT/etc/init.d/localdisk
   [ "$xcatdebugmode" > "0" ] && logger -t xcat -p debug "Done...."
   echo Done
+elif [ -r /rootimg.txz ]; then
+  [ "$xcatdebugmode" > "0" ] && logger -t xcat -p debug "rootimg.txz downloaded,setting up RAM-root tmpfs...."
+  echo Setting up RAM-root tmpfs.
+  if [ -z $rootlimit ];then
+    mount -t tmpfs -o mode=755 rootfs $NEWROOT
+  else
+    mount -t tmpfs -o mode=755,size=$rootlimit rootfs $NEWROOT
+  fi
+
+  cd $NEWROOT
+  [ "$xcatdebugmode" > "0" ] && logger -t xcat -p debug "Extracting root filesystem:"
+  echo -n "Extracting root filesystem:"
+  tar -Jxvf /rootimg.txz
+  $NEWROOT/etc/init.d/localdisk
+  [ "$xcatdebugmode" > "0" ] && logger -t xcat -p debug "Done...."
+  echo Done
 elif [ -r /rootimg-statelite.gz ]; then
   echo Setting up RAM-root tmpfs for statelite mode.
  
diff --git a/xCAT-server/share/xcat/netboot/sles/genimage b/xCAT-server/share/xcat/netboot/sles/genimage
index f8c22a91f..64e628aae 100755
--- a/xCAT-server/share/xcat/netboot/sles/genimage
+++ b/xCAT-server/share/xcat/netboot/sles/genimage
@@ -1621,6 +1621,17 @@ EOMS
    print $inifile "  zcat /rootimg.gz |cpio -idum\n";
    print $inifile "  fi\n";
    print $inifile "  echo Done\n";
+   print $inifile "elif [ -r /rootimg.txz ]; then\n";
+   print $inifile "    echo Setting up RAM-root tmpfs.\n";
+   if ($rootlimit) {
+      print $inifile "    mount -o \"size=$rootlimit,mode=755\" -t tmpfs rootfs \$NEWROOT\n";
+   } else {
+      print $inifile "    mount -o  mode=755 -t tmpfs rootfs \$NEWROOT\n";
+   }
+   print $inifile "    cd \$NEWROOT\n";
+   print $inifile "    echo -n \"Extracting root filesystem:\"\n";
+   print $inifile "    tar -Jxvf /rootimg.txz\n";
+   print $inifile "    echo Done\n";
    print $inifile "else\n";
    print $inifile "  echo -n Failed to download image, panicing in 5...\n";
    print $inifile "  for i in 4 3 2 1 0; do\n";
@@ -1728,7 +1739,7 @@ EOMS
      }
    }
     if($mode eq "statelite") {
-        foreach ("sbin/ifconfig", "usr/bin/clear","usr/bin/touch","bin/hostname","usr/bin/egrep","bin/ln","bin/ls","usr/bin/dirname","usr/bin/expr","usr/bin/chroot","usr/bin/grep","bin/cpio","bin/sleep","bin/mount","bin/umount","sbin/dhcpcd","bin/bash","sbin/insmod","bin/mkdir","bin/mknod","sbin/ip","bin/cat","usr/bin/awk","usr/bin/wget","bin/cp","usr/bin/cpio","usr/bin/zcat","usr/bin/gzip","lib/mkinitrd/bin/run-init","usr/bin/uniq","usr/bin/sed","usr/bin/wc", "bin/sed","sbin/udevd", "usr/bin/readlink", "usr/sbin/parted", "sbin/mke2fs", "sbin/mkswap", "sbin/swapon", "bin/chmod", "usr/bin/bc") {
+        foreach ("sbin/ifconfig", "usr/bin/clear","usr/bin/touch","bin/hostname","usr/bin/egrep","bin/ln","bin/ls","usr/bin/dirname","usr/bin/expr","usr/bin/chroot","usr/bin/grep","bin/cpio","bin/sleep","bin/mount","bin/umount","sbin/dhcpcd","bin/bash","sbin/insmod","bin/mkdir","bin/mknod","sbin/ip","bin/cat","usr/bin/awk","usr/bin/wget","bin/cp","usr/bin/cpio","usr/bin/zcat","usr/bin/gzip","lib/mkinitrd/bin/run-init","usr/bin/uniq","usr/bin/sed","usr/bin/wc", "bin/sed","sbin/udevd", "usr/bin/readlink", "usr/sbin/parted", "sbin/mke2fs", "sbin/mkswap", "sbin/swapon", "bin/chmod", "usr/bin/bc", "usr/bin/xz") {
             getlibs($_); 
             push @filestoadd,$_;
         } 
@@ -1740,7 +1751,7 @@ EOMS
         }
         
     }else {
-        foreach ("sbin/ifconfig","usr/bin/clear","usr/bin/touch","usr/bin/grep","usr/bin/egrep","bin/cpio","bin/sleep","bin/mount","sbin/dhcpcd","bin/bash","sbin/insmod","bin/mkdir","bin/mknod","sbin/ip","bin/cat","usr/bin/awk","usr/bin/wget","bin/cp","usr/bin/cpio","usr/bin/zcat","usr/bin/gzip","lib/mkinitrd/bin/run-init","usr/bin/uniq","usr/bin/sed","sbin/udevd", "usr/bin/readlink", "usr/bin/expr", "usr/sbin/parted", "sbin/mke2fs", "sbin/mkswap", "sbin/swapon", "bin/chmod", "usr/bin/bc") {
+        foreach ("sbin/ifconfig","usr/bin/clear","usr/bin/touch","usr/bin/grep","usr/bin/egrep","bin/cpio","bin/sleep","bin/mount","sbin/dhcpcd","bin/bash","sbin/insmod","bin/mkdir","bin/mknod","sbin/ip","bin/cat","usr/bin/awk","usr/bin/wget","bin/cp","usr/bin/cpio","usr/bin/zcat","usr/bin/gzip","lib/mkinitrd/bin/run-init","usr/bin/uniq","usr/bin/sed","sbin/udevd", "usr/bin/readlink", "usr/bin/expr", "usr/sbin/parted", "sbin/mke2fs", "sbin/mkswap", "sbin/swapon", "bin/chmod", "usr/bin/bc", "usr/bin/xz") {
             getlibs($_); 
             push @filestoadd,$_;
         }
diff --git a/xCAT-server/share/xcat/netboot/ubuntu/compute.ubuntu14.04.4.ppc64el.pkglist b/xCAT-server/share/xcat/netboot/ubuntu/compute.ubuntu14.04.4.ppc64el.pkglist
index a6543075b..971deec45 100644
--- a/xCAT-server/share/xcat/netboot/ubuntu/compute.ubuntu14.04.4.ppc64el.pkglist
+++ b/xCAT-server/share/xcat/netboot/ubuntu/compute.ubuntu14.04.4.ppc64el.pkglist
@@ -13,3 +13,4 @@ rsync
 busybox-static
 gawk
 dnsutils
+xz-utils
diff --git a/xCAT-server/share/xcat/netboot/ubuntu/compute.ubuntu14.04.4.x86_64.pkglist b/xCAT-server/share/xcat/netboot/ubuntu/compute.ubuntu14.04.4.x86_64.pkglist
index a6543075b..971deec45 100644
--- a/xCAT-server/share/xcat/netboot/ubuntu/compute.ubuntu14.04.4.x86_64.pkglist
+++ b/xCAT-server/share/xcat/netboot/ubuntu/compute.ubuntu14.04.4.x86_64.pkglist
@@ -13,3 +13,4 @@ rsync
 busybox-static
 gawk
 dnsutils
+xz-utils
diff --git a/xCAT-server/share/xcat/netboot/ubuntu/compute.ubuntu16.04.ppc64el.pkglist b/xCAT-server/share/xcat/netboot/ubuntu/compute.ubuntu16.04.ppc64el.pkglist
index a2b1afbdc..07e8c4b1b 100644
--- a/xCAT-server/share/xcat/netboot/ubuntu/compute.ubuntu16.04.ppc64el.pkglist
+++ b/xCAT-server/share/xcat/netboot/ubuntu/compute.ubuntu16.04.ppc64el.pkglist
@@ -14,3 +14,4 @@ rsync
 busybox-static
 gawk
 dnsutils
+xz-utils
diff --git a/xCAT-server/share/xcat/netboot/ubuntu/compute.ubuntu16.04.x86_64.pkglist b/xCAT-server/share/xcat/netboot/ubuntu/compute.ubuntu16.04.x86_64.pkglist
index a2b1afbdc..07e8c4b1b 100644
--- a/xCAT-server/share/xcat/netboot/ubuntu/compute.ubuntu16.04.x86_64.pkglist
+++ b/xCAT-server/share/xcat/netboot/ubuntu/compute.ubuntu16.04.x86_64.pkglist
@@ -14,3 +14,4 @@ rsync
 busybox-static
 gawk
 dnsutils
+xz-utils
diff --git a/xCAT-server/share/xcat/netboot/ubuntu/dracut/install.netboot b/xCAT-server/share/xcat/netboot/ubuntu/dracut/install.netboot
index 6436b7302..a16bd719e 100755
--- a/xCAT-server/share/xcat/netboot/ubuntu/dracut/install.netboot
+++ b/xCAT-server/share/xcat/netboot/ubuntu/dracut/install.netboot
@@ -1,6 +1,6 @@
 #!/bin/sh
 echo $drivers
-dracut_install wget cpio gzip dash  modprobe touch echo cut wc
+dracut_install wget cpio gzip dash modprobe touch echo cut wc xz
 dracut_install grep ifconfig hostname awk egrep grep dirname expr
 dracut_install mount.nfs
 inst "$moddir/xcatroot" "/sbin/xcatroot"
diff --git a/xCAT-server/share/xcat/netboot/ubuntu/dracut/xcatroot b/xCAT-server/share/xcat/netboot/ubuntu/dracut/xcatroot
index 894a86a1c..6d9a3cbd0 100755
--- a/xCAT-server/share/xcat/netboot/ubuntu/dracut/xcatroot
+++ b/xCAT-server/share/xcat/netboot/ubuntu/dracut/xcatroot
@@ -50,6 +50,13 @@ elif [ -r /rootimg.gz ]; then
     gzip -cd /rootimg.gz |cpio -idum
   fi
   echo Done
+elif [ -r /rootimg.txz ]; then
+  echo Setting up RAM-root tmpfs.
+  mount -t tmpfs -o mode=755 rootfs $NEWROOT
+  cd $NEWROOT
+  echo -n "Extracting root filesystem:"
+  tar -Jxvf /rootimg.txz
+  echo Done
 elif [ -r /rootimg-statelite.gz ]; then
   echo Setting up RAM-root tmpfs for statelite mode.
   mount -t tmpfs -o mode=755 rootfs $NEWROOT
diff --git a/xCAT-server/share/xcat/netboot/ubuntu/genimage b/xCAT-server/share/xcat/netboot/ubuntu/genimage
index 1a18df1b1..b1641a240 100755
--- a/xCAT-server/share/xcat/netboot/ubuntu/genimage
+++ b/xCAT-server/share/xcat/netboot/ubuntu/genimage
@@ -1436,6 +1436,20 @@ EOMS
    print $inifile "    fi\n";
    print $inifile "    ([ \"\$xcatdebugmode\" = \"1\" ] || [ \"\$xcatdebugmode\" = \"2\" ]) && logger -t xcat -p debug \"Done...\"\n";
    print $inifile "    echo Done\n";
+   print $inifile "elif [ -r /rootimg.txz ]; then\n";
+   print $inifile "    ([ \"\$xcatdebugmode\" = \"1\" ] || [ \"\$xcatdebugmode\" = \"2\" ]) && logger -t xcat -p debug \"rootimg.txz downloaded,setting up RAM-root tmpfs...\"\n";
+   print $inifile "    echo Setting up RAM-root tmpfs.\n";
+   if ($rootlimit) {
+      print $inifile "    mount -o \"size=$rootlimit,mode=755\" -t tmpfs rootfs \$NEWROOT\n";
+   } else {
+      print $inifile "    mount -o  mode=755 -t tmpfs rootfs \$NEWROOT\n";
+   }
+   print $inifile "    cd \$NEWROOT\n";
+   print $inifile "    ([ \"\$xcatdebugmode\" = \"1\" ] || [ \"\$xcatdebugmode\" = \"2\" ]) && logger -t xcat -p debug \"Extracting root filesystem:\"\n";
+   print $inifile "    echo -n \"Extracting root filesystem:\"\n";
+   print $inifile "    tar -Jxvf /rootimg.txz\n";
+   print $inifile "    ([ \"\$xcatdebugmode\" = \"1\" ] || [ \"\$xcatdebugmode\" = \"2\" ]) && logger -t xcat -p debug \"Done...\"\n";
+   print $inifile "    echo Done\n";
    print $inifile "else\n";
    print $inifile "    ([ \"\$xcatdebugmode\" = \"1\" ] || [ \"\$xcatdebugmode\" = \"2\" ]) && logger -t xcat -p debug \"Failed to download image, panicing in 5...\"\n";
    print $inifile "    echo -n Failed to download image, panicing in 5...\n";
@@ -1573,7 +1587,7 @@ EOMS
      }
    }
    # add rsync for statelite
-   foreach ( "usr/bin/dig","bin/busybox","bin/bash", "sbin/mount.nfs", "usr/bin/rsync", "sbin/insmod", "sbin/udevd", "sbin/udevadm", "sbin/modprobe", "sbin/blkid", "sbin/depmod","usr/bin/wget") {
+   foreach ( "usr/bin/dig","bin/busybox","bin/bash", "sbin/mount.nfs", "usr/bin/rsync", "sbin/insmod", "sbin/udevd", "sbin/udevadm", "sbin/modprobe", "sbin/blkid", "sbin/depmod","usr/bin/wget","usr/bin/xz") {
       getlibs($_);
       push @filestoadd,$_;
    }