applications to create custom distribution of ubuntu

Solution 1:

Have you tried Remastersys?

A small excerpt about what you can do with this tool:

Remastersys is a tool that can be used to do 2 things with an existing Klikit or Ubuntu or derivative installation.It can make a full system backup including personal data to a live cd or dvd that you can use anywhere and install. It can make a distributable copy you can share with friends. This will not have any of your personal user data in it.