Doing a network rawhide install from a local (100 Mbit) mirror using boot.iso and install.img dated 2008-09-10. I put /home on a iscsi partition (filling one whole iscsi target) and when I was done I noticed that the iscsi partition was not listed in the "warning these partitions will be formatted" list. It did however get properly formatted as requested.
Actually this does work as it should, I was just misinterpreting how it should work, closing.