Rebase with Eclipse.org TM terminal latest

[GoogleCodeExporter]

Using the elt terminal, I see a couple issues which work OK in the Eclipse.org 
local terminal:
 - TERM variable is not set to "ansi" when launching the terminal
 - My prompt doesn't appear on RHEL6 (likely a PTY buffering issue)
 - Colors and other attributes like boldface don't work
 - Using Emacs or vi is completely impossible (kinda OK in Eclipse.org,
   we've made a couple fixes to ANSI escape sequences recently)

What steps will reproduce the problem?
1. Open a Terminal and type "ls" -> no output is shown (buffering issue)
2. Press Enter again -> now the output is shown
3. Type "emacs -nw" -> Emacs is completely unusable

I would like the ELT terminal to work as good as the Eclipse.org local 
terminal. In case any relevant bug fixes have been made in ELT, I would like to 
adopt these back into the Eclipse.org terminal.

What version of the product are you using? On what operating system?
- elt 1.1.0 on RHEL 6.3 (Sanitago)

Please provide any additional information below.

I'm the lead of the Eclipse.org TM terminal component. Please get in touch with 
the Eclipse.org TM Terminal team at
    https://dev.eclipse.org/mailman/listinfo/tm-dev
or contact me privately at
    mailto:martin.oberhuber -at- windriver -dot- com

Original issue reported on code.google.com by martin.o...@gmx.at on 4 Mar 2013 at 5:55

[GoogleCodeExporter]

PS I've been running on top of Eclipse Kepler 4.3m5a 32-bit with an Oracle 
1.6.0_21 VM.

Original comment by martin.o...@gmx.at on 4 Mar 2013 at 5:58