I'm fighting a losing battle on all my CentOS droplets to update the Kernel.
I've noticed that although yum update is pulling down new versions, the grub.conf isn't getting updated. During the update, yum pukes a "grubby fatal error: unable to find a suitable template".
The last version that did get updated into grub.conf was 2.6.32-358.6.2.el6.x86_64, back in October.
All the droplets show the same contents for grub.conf,
kernel /boot/vmlinuz-2.6.32-358.0.1.el6.x86_64 root=LABEL=root ro
That "root=LABEL=root" looks well dodgy to me? Anyway I've been experimenting on an "old" image, editing the grub.conf directly and then seeing if a "yum update" will take. So far, nothing I've done works. Sort of thing I've been trying is
title CentOS (2.6.32-431.3.1.el6.x86_64)
kernel /vmlinuz-2.6.32-431.3.1.el6.x86_64 ro LABEL=DOROOT
title CentOS Template Stanza
kernel /vmlinuz-2.6.32-358.0.1.el6.x86_64 ro LABEL=DOROOT
as the LABEL=DOROOT showed up on a base CentOS droplet I created from your image.
However, as I say, nothing works - all attempts keep hitting the same grubby error on the update.
As another oddity, manually editing grub.conf and replacing the version with the latest one which update has pulled down (2.6.32-431.3.1.el6.x86_64) doen't actually seemt o change what gets booted! After a reboot, I'm still showing (e.g. a uname -r) as running 2.6.32-431.3.1.el6.x86_64! I'm not sure if this is related to the update problem, but Im all-round baffled and out of ideas!
Anyone got any ideas before I raise it as a support ticket?
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