the rpmmd repository type is not finished for up2date. This is the *new* format that is used by yum (and on the fedora core CD). When entering a line of rpmmd myrepo http://url.to.repo/ up2date fails with a stack trace noting that the parseRpmmd function is not defined (which is isn't defined in sourcesConfig.py but is called). From what I've figured that function needs to be created and code in rhnChannel.py needs to be added to handle that backend as well as the code in repoBackends/rpmmdRepo.py needing to be finished.
up2date was dropped from FC5.