Ubuntu server 12.04.2 - OpenSSH - Entering Interactive Session - Hang

$ ssh -vvv root@xx.xx.xx.xxOpenSSH_6.2p1, OpenSSL 1.0.1e 11 Feb 2013
debug1: Reading configuration data /etc/ssh_config
debug2: ssh_connect: needpriv 0
debug1: Connecting to xx.xx.xx.xx [xx.xx.xx.xx] port 22.
debug1: Connection established.
debug1: identity file /home/dev/.ssh/id_rsa type -1
debug1: identity file /home/dev/.ssh/id_rsa-cert type -1
debug1: identity file /home/dev/.ssh/id_dsa type -1
debug1: identity file /home/dev/.ssh/id_dsa-cert type -1
debug1: identity file /home/dev/.ssh/id_ecdsa type -1
debug1: identity file /home/dev/.ssh/id_ecdsa-cert type -1
debug1: Enabling compatibility mode for protocol 2.0
debug1: Local version string SSH-2.0-OpenSSH_6.2
debug1: Remote protocol version 2.0, remote software version OpenSSH_5.9p1 Debian-5ubuntu1
debug1: match: OpenSSH_5.9p1 Debian-5ubuntu1 pat OpenSSH_5*
debug2: fd 3 setting O_NONBLOCK
debug3: load_hostkeys: loading entries for host "xx.xx.xx.xx" from file "/home/dev/.ssh/known_hosts"
debug3: load_hostkeys: found key type ECDSA in file /home/dev/.ssh/known_hosts:1
debug3: load_hostkeys: loaded 1 keys
debug3: order_hostkeyalgs: prefer hostkeyalgs: ecdsa-sha2-nistp256-cert-v01@openssh.com,ecdsa-sha2-nistp384-cert-v01@openssh.com,ecdsa-sha2-nistp52  1-cert-v01@openssh.com,ecdsa-sha2-nistp256,ecdsa-sha2-nistp384,ecdsa-sha2-nistp521
debug1: SSH2_MSG_KEXINIT sent
debug1: SSH2_MSG_KEXINIT received
debug2: kex_parse_kexinit: ecdh-sha2-nistp256,ecdh-sha2-nistp384,ecdh-sha2-nistp521,diffie-hellman-group-exchange-sha256,diffie  -hellman-group-exchange-sha1,diffie-hellman-group14-sha1,diffie-hellman-group1-sha1
debug2: kex_parse_kexinit: ecdsa-sha2-nistp256-cert-v01@openssh.com,ecdsa-sha2-nistp384-cert-v01@openssh.com,ecdsa-sha2-nistp52  1-cert-v01@openssh.com,ecdsa-sha2-nistp256,ecdsa-sha2-nistp384,ecdsa-sha2-nistp521,ssh-rsa-cert-v01@  openssh.com,ssh-dss-cert-v01@openssh.com,ssh-rsa-cert-v00@openssh.com,ssh-dss-cert-v00@openssh.com,s  sh-rsa,ssh-dss
debug2: kex_parse_kexinit: aes128-ctr,aes192-ctr,aes256-ctr,arcfour256,arcfour128,aes128-gcm@openssh.com,aes256-gcm@openssh.com  ,aes128-cbc,3des-cbc,blowfish-cbc,cast128-cbc,aes192-cbc,aes256-cbc,arcfour,rijndael-cbc@lysator.liu  .se
debug2: kex_parse_kexinit: aes128-ctr,aes192-ctr,aes256-ctr,arcfour256,arcfour128,aes128-gcm@openssh.com,aes256-gcm@openssh.com  ,aes128-cbc,3des-cbc,blowfish-cbc,cast128-cbc,aes192-cbc,aes256-cbc,arcfour,rijndael-cbc@lysator.liu  .se
debug2: kex_parse_kexinit: hmac-md5-etm@openssh.com,hmac-sha1-etm@openssh.com,umac-64-etm@openssh.com,umac-128-etm@openssh.com,  hmac-sha2-256-etm@openssh.com,hmac-sha2-512-etm@openssh.com,hmac-ripemd160-etm@openssh.com,hmac-sha1  -96-etm@openssh.com,hmac-md5-96-etm@openssh.com,hmac-md5,hmac-sha1,umac-64@openssh.com,umac-128@open  ssh.com,hmac-sha2-256,hmac-sha2-512,hmac-ripemd160,hmac-ripemd160@openssh.com,hmac-sha1-96,hmac-md5-  96
debug2: kex_parse_kexinit: hmac-md5-etm@openssh.com,hmac-sha1-etm@openssh.com,umac-64-etm@openssh.com,umac-128-etm@openssh.com,  hmac-sha2-256-etm@openssh.com,hmac-sha2-512-etm@openssh.com,hmac-ripemd160-etm@openssh.com,hmac-sha1  -96-etm@openssh.com,hmac-md5-96-etm@openssh.com,hmac-md5,hmac-sha1,umac-64@openssh.com,umac-128@open  ssh.com,hmac-sha2-256,hmac-sha2-512,hmac-ripemd160,hmac-ripemd160@openssh.com,hmac-sha1-96,hmac-md5-  96
debug2: kex_parse_kexinit: none,zlib@openssh.com,zlib
debug2: kex_parse_kexinit: none,zlib@openssh.com,zlib
debug2: kex_parse_kexinit:
debug2: kex_parse_kexinit:
debug2: kex_parse_kexinit: first_kex_follows 0
debug2: kex_parse_kexinit: reserved 0
debug2: kex_parse_kexinit: ecdh-sha2-nistp256,ecdh-sha2-nistp384,ecdh-sha2-nistp521,diffie-hellman-group-exchange-sha256,diffie  -hellman-group-exchange-sha1,diffie-hellman-group14-sha1,diffie-hellman-group1-sha1
debug2: kex_parse_kexinit: ssh-rsa,ssh-dss,ecdsa-sha2-nistp256
debug2: kex_parse_kexinit: aes128-ctr,aes192-ctr,aes256-ctr,arcfour256,arcfour128,aes128-cbc,3des-cbc,blowfish-cbc,cast128-cbc,  aes192-cbc,aes256-cbc,arcfour,rijndael-cbc@lysator.liu.se
debug2: kex_parse_kexinit: aes128-ctr,aes192-ctr,aes256-ctr,arcfour256,arcfour128,aes128-cbc,3des-cbc,blowfish-cbc,cast128-cbc,  aes192-cbc,aes256-cbc,arcfour,rijndael-cbc@lysator.liu.se
debug2: kex_parse_kexinit: hmac-md5,hmac-sha1,umac-64@openssh.com,hmac-sha2-256,hmac-sha2-256-96,hmac-sha2-512,hmac-sha2-512-96  ,hmac-ripemd160,hmac-ripemd160@openssh.com,hmac-sha1-96,hmac-md5-96
debug2: kex_parse_kexinit: hmac-md5,hmac-sha1,umac-64@openssh.com,hmac-sha2-256,hmac-sha2-256-96,hmac-sha2-512,hmac-sha2-512-96  ,hmac-ripemd160,hmac-ripemd160@openssh.com,hmac-sha1-96,hmac-md5-96
debug2: kex_parse_kexinit: none,zlib@openssh.com
debug2: kex_parse_kexinit: none,zlib@openssh.com
debug2: kex_parse_kexinit:
debug2: kex_parse_kexinit:
debug2: kex_parse_kexinit: first_kex_follows 0
debug2: kex_parse_kexinit: reserved 0
debug2: mac_setup: found hmac-md5
debug1: kex: server->client aes128-ctr hmac-md5 none
debug2: mac_setup: found hmac-md5
debug1: kex: client->server aes128-ctr hmac-md5 none
debug1: sending SSH2_MSG_KEX_ECDH_INIT
debug1: expecting SSH2_MSG_KEX_ECDH_REPLY
debug1: Server host key: ECDSA XX:XX:XX:XX:XX:XX:XX:XX:XX:XX:XX:XX:XX:XX:XX:XX
debug3: load_hostkeys: loading entries for host "xx.xx.xx.xx" from file "/home/dev/.ssh/known_hosts"
debug3: load_hostkeys: found key type ECDSA in file /home/dev/.ssh/known_hosts:1
debug3: load_hostkeys: loaded 1 keys
debug1: Host 'xx.xx.xx.xx' is known and matches the ECDSA host key.
debug1: Found key in /home/dev/.ssh/known_hosts:1
debug1: ssh_ecdsa_verify: signature correct
debug2: kex_derive_keys
debug2: set_newkeys: mode 1
debug1: SSH2_MSG_NEWKEYS sent
debug1: expecting SSH2_MSG_NEWKEYS
debug2: set_newkeys: mode 0
debug1: SSH2_MSG_NEWKEYS received
debug1: Roaming not allowed by server
debug1: SSH2_MSG_SERVICE_REQUEST sent
debug2: service_accept: ssh-userauth
debug1: SSH2_MSG_SERVICE_ACCEPT received
debug2: key: /home/dev/.ssh/id_rsa (0x0),
debug2: key: /home/dev/.ssh/id_dsa (0x0),
debug2: key: /home/dev/.ssh/id_ecdsa (0x0),
debug3: input_userauth_banner
//////////////////////////////////
//                              //
//  Authorized personnel only.  //
//                              //
//////////////////////////////////
debug1: Authentications that can continue: publickey,password
debug3: start over, passed a different list publickey,password
debug3: preferred publickey,keyboard-interactive,password
debug3: authmethod_lookup publickey
debug3: remaining preferred: keyboard-interactive,password
debug3: authmethod_is_enabled publickey
debug1: Next authentication method: publickey
debug1: Trying private key: /home/dev/.ssh/id_rsa
debug3: no such identity: /home/dev/.ssh/id_rsa: No such file or directory
debug1: Trying private key: /home/dev/.ssh/id_dsa
debug3: no such identity: /home/dev/.ssh/id_dsa: No such file or directory
debug1: Trying private key: /home/dev/.ssh/id_ecdsa
debug3: no such identity: /home/dev/.ssh/id_ecdsa: No such file or directory
debug2: we did not send a packet, disable method
debug3: authmethod_lookup password
debug3: remaining preferred: ,password
debug3: authmethod_is_enabled password
debug1: Next authentication method: password
root@xx.xx.xx.xx's password:
debug3: packet_send2: adding 48 (len 63 padlen 17 extra_pad 64)
debug2: we sent a password packet, wait for reply
debug1: Authentication succeeded (password).
Authenticated to xx.xx.xx.xx ([xx.xx.xx.xx]:xx).
debug1: channel 0: new [client-session]
debug3: ssh_session2_open: channel_new: 0
debug2: channel 0: send open
debug1: Requesting no-more-sessions@openssh.com
debug1: Entering interactive session.   <----- HANG!