Solaris 11: image packaging repository svc:/application/pkg/server remains in state “maintenance” (mounted as iso)

Question

On my Solaris 11 machine, svc:/application/pkg/server is always in the state maintenance:

$ svcs -l svc:/application/pkg/server
fmri         svc:/application/pkg/server:default
name         image packaging repository
enabled      true
state        maintenance
next_state   none
state_time   May 29, 2012 10:34:28 AM CEST
logfile      /var/svc/log/application-pkg-server:default.log
restarter    svc:/system/svc/restarter:default
contract_id  
manifest     /lib/svc/manifest/application/pkg/pkg-server.xml
dependency   require_all/none svc:/system/filesystem/local (online)
dependency   optional_all/none svc:/system/filesystem/autofs (online)
dependency   optional_all/none svc:/network/ntp (disabled)
dependency   require_all/none svc:/milestone/network (online)

In the log file, it reads:

[ May 29 10:34:26 Leaving maintenance because clear requested. ]
[ May 29 10:34:26 Enabled. ]
[ May 29 10:34:26 Executing start method ("//lib/svc/method/svc-pkg-depot start"). ]
Dropping net_privaddr privilege.
ppriv -s A=basic,-file_link_any,-proc_info,-proc_session,net_privaddr -e /usr/lib/pkg.depotd --cfg svc:/application/pkg/server:default
pkg.depotd: The path '/mnt' does not contain a valid package repository.
[ May 29 10:34:28 Method "start" exited with status 1. ]

So it looks like there is a problem with my ISO mount point. However, I mount it with

mount -F hsfs `lofiadm -a /root/sol-11-1111-repo-full.iso` /mnt

Which actually works well - I can search for packages and install them easily:

$ ll /root/sol-11-1111-repo-full.iso
-rw-r--r-- 1 root root 6.5G 2012-01-17 15:46 /root/sol-11-1111-repo-full.iso

$ ll /mnt
total 19K
drwxr-xr-x 3 root root 2.0K 2011-10-21 05:52 repo
-rw-r--r-- 1 root root 7.2K 2011-10-21 09:25 COPYRIGHT
-rw-r--r-- 1 root root 1.4K 2011-10-21 09:25 NOTICES
-rw-r--r-- 1 root root 7.7K 2011-10-21 09:25 README

$ ll /mnt/repo/
total 2.5K
drwxr-xr-x 3 root root 2.0K 2011-10-21 05:52 publisher
-rw-r--r-- 1 root root  240 2011-10-21 05:52 pkg5.repository

$ pkg publisher
PUBLISHER                             TYPE     STATUS   URI
solaris                               origin   online   file:///mnt/repo/

So, my question is - what's Solaris' problem with that? Why is the pkg server always exiting with 1 and remaining in maintenance? Can I get it to be somewhat more verbose?

Thanks!