I've forgotten that I've tried to fix the damn script!

init.d/hostname

@@ -0,0 +1,11 @@
+#!/usr/bin/env watchman
+
+if [[ -e "/etc/hostname" ]]; then
+	cfg_hostname="$(</etc/hostname)"
+else
+	cfg_hostname='localhost'
+fi
+
+service_type='oneshot'
+service_command='hostname'
+service_args="$cfg_hostname"