diff --git a/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kube-apiserver.yaml b/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kube-apiserver.yaml
index 4fbebf2e9f..5faf605b4d 100644
--- a/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kube-apiserver.yaml
+++ b/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kube-apiserver.yaml
@@ -48,7 +48,7 @@ write_files:
         hostNetwork: true
         containers:
         - name: kube-apiserver
-          image: gcr.io/google_containers/hyperkube:${KUBE_VERSION}
+          image: ${HYPERKUBE_IMAGE_REPO}:${KUBE_VERSION}
           command:
           - /hyperkube
           - apiserver
diff --git a/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kube-controller-manager.yaml b/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kube-controller-manager.yaml
index d41a38fb22..48850284aa 100644
--- a/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kube-controller-manager.yaml
+++ b/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kube-controller-manager.yaml
@@ -43,7 +43,7 @@ write_files:
         hostNetwork: true
         containers:
         - name: kube-controller-manager
-          image: gcr.io/google_containers/hyperkube:${KUBE_VERSION}
+          image: ${HYPERKUBE_IMAGE_REPO}:${KUBE_VERSION}
           command:
           - /hyperkube
           - controller-manager
diff --git a/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kube-proxy-master.yaml b/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kube-proxy-master.yaml
index 3cc9ac5d31..9c4100815a 100644
--- a/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kube-proxy-master.yaml
+++ b/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kube-proxy-master.yaml
@@ -33,7 +33,7 @@ write_files:
         hostNetwork: true
         containers:
         - name: kube-proxy
-          image: gcr.io/google_containers/hyperkube:${KUBE_VERSION}
+          image: ${HYPERKUBE_IMAGE_REPO}:${KUBE_VERSION}
           command:
           - /hyperkube
           - proxy
diff --git a/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kube-proxy-minion.yaml b/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kube-proxy-minion.yaml
index f7d8f86c95..8a397fc898 100644
--- a/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kube-proxy-minion.yaml
+++ b/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kube-proxy-minion.yaml
@@ -42,7 +42,7 @@ write_files:
         hostNetwork: true
         containers:
         - name: kube-proxy
-          image: gcr.io/google_containers/hyperkube:${KUBE_VERSION}
+          image: ${HYPERKUBE_IMAGE_REPO}:${KUBE_VERSION}
           command:
           - /hyperkube
           - proxy
diff --git a/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kube-scheduler.yaml b/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kube-scheduler.yaml
index d962cfca41..511e1338c8 100644
--- a/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kube-scheduler.yaml
+++ b/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kube-scheduler.yaml
@@ -34,7 +34,7 @@ write_files:
         hostNetwork: true
         containers:
         - name: kube-scheduler
-          image: gcr.io/google_containers/hyperkube:${KUBE_VERSION}
+          image: ${HYPERKUBE_IMAGE_REPO}:${KUBE_VERSION}
           command:
           - /hyperkube
           - scheduler
diff --git a/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kubelet-master.yaml b/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kubelet-master.yaml
index 47b7bd45a5..5644199d8d 100644
--- a/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kubelet-master.yaml
+++ b/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kubelet-master.yaml
@@ -28,7 +28,8 @@ write_files:
       CONF_FILE=/etc/systemd/system/kubelet.service
       cat > $CONF_FILE <<EOF
       [Service]
-      Environment=KUBELET_VERSION=${KUBE_VERSION}_coreos.0
+      Environment=KUBELET_VERSION=${KUBE_VERSION}
+      Environment=KUBELET_ACI=${HYPERKUBE_IMAGE_REPO}
       ExecStart=/usr/lib/coreos/kubelet-wrapper \
         --api-servers=http://127.0.0.1:8080 \
         --address=0.0.0.0 \
diff --git a/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kubelet-minion.yaml b/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kubelet-minion.yaml
index 85617acc2c..aced8e4d06 100644
--- a/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kubelet-minion.yaml
+++ b/magnum/drivers/k8s_coreos_v1/templates/fragments/enable-kubelet-minion.yaml
@@ -40,7 +40,8 @@ write_files:
       CONF_FILE=/etc/systemd/system/kubelet.service
       cat > $CONF_FILE <<EOF
       [Service]
-      Environment=KUBELET_VERSION=${KUBE_VERSION}_coreos.0
+      Environment=KUBELET_VERSION=${KUBE_VERSION}
+      Environment=KUBELET_ACI=${HYPERKUBE_IMAGE_REPO}
       ExecStart=/usr/lib/coreos/kubelet-wrapper \
         --api-servers=${KUBE_MASTER_URI} \
         --address=0.0.0.0 \
diff --git a/magnum/drivers/k8s_coreos_v1/templates/fragments/write-heat-params-master.yaml b/magnum/drivers/k8s_coreos_v1/templates/fragments/write-heat-params-master.yaml
index f2c05fab68..223ea8f6b0 100644
--- a/magnum/drivers/k8s_coreos_v1/templates/fragments/write-heat-params-master.yaml
+++ b/magnum/drivers/k8s_coreos_v1/templates/fragments/write-heat-params-master.yaml
@@ -41,3 +41,4 @@ write_files:
       SYSTEM_PODS_TIMEOUT="$SYSTEM_PODS_TIMEOUT"
       KUBE_CERTS_PATH="$KUBE_CERTS_PATH"
       HOST_CERTS_PATH="$HOST_CERTS_PATH"
+      HYPERKUBE_IMAGE_REPO="$HYPERKUBE_IMAGE_REPO"
diff --git a/magnum/drivers/k8s_coreos_v1/templates/fragments/write-heat-params.yaml b/magnum/drivers/k8s_coreos_v1/templates/fragments/write-heat-params.yaml
index 3914508de2..61f3043a8a 100644
--- a/magnum/drivers/k8s_coreos_v1/templates/fragments/write-heat-params.yaml
+++ b/magnum/drivers/k8s_coreos_v1/templates/fragments/write-heat-params.yaml
@@ -42,3 +42,4 @@ write_files:
       INSECURE_REGISTRY_URL="$INSECURE_REGISTRY_URL"
       KUBE_CERTS_PATH="$KUBE_CERTS_PATH"
       HOST_CERTS_PATH="$HOST_CERTS_PATH"
+      HYPERKUBE_IMAGE_REPO="$HYPERKUBE_IMAGE_REPO"
diff --git a/magnum/drivers/k8s_coreos_v1/templates/kubecluster.yaml b/magnum/drivers/k8s_coreos_v1/templates/kubecluster.yaml
index f43eb05f83..f5921a8c01 100644
--- a/magnum/drivers/k8s_coreos_v1/templates/kubecluster.yaml
+++ b/magnum/drivers/k8s_coreos_v1/templates/kubecluster.yaml
@@ -211,7 +211,13 @@ parameters:
   kube_version:
     type: string
     description: version of kubernetes used for kubernetes cluster
-    default: v1.2.0
+    default: v1.5.2_coreos.1
+
+  hyperkube_image_repo:
+    type: string
+    description: >
+      Docker registry used for hyperkube image
+    default: quay.io/coreos/hyperkube
 
   registry_enabled:
     type: boolean
@@ -384,6 +390,7 @@ resources:
           trustee_password: {get_param: trustee_password}
           trust_id: {get_param: trust_id}
           auth_url: {get_param: auth_url}
+          hyperkube_image_repo: {get_param: hyperkube_image_repo}
 
   ######################################################################
   #
@@ -427,6 +434,7 @@ resources:
           trustee_password: {get_param: trustee_password}
           trust_id: {get_param: trust_id}
           auth_url: {get_param: auth_url}
+          hyperkube_image_repo: {get_param: hyperkube_image_repo}
 
 outputs:
 
diff --git a/magnum/drivers/k8s_coreos_v1/templates/kubemaster.yaml b/magnum/drivers/k8s_coreos_v1/templates/kubemaster.yaml
index d895418f16..d578d910ec 100644
--- a/magnum/drivers/k8s_coreos_v1/templates/kubemaster.yaml
+++ b/magnum/drivers/k8s_coreos_v1/templates/kubemaster.yaml
@@ -113,6 +113,11 @@ parameters:
     type: string
     description: version of kubernetes used for kubernetes cluster
 
+  hyperkube_image_repo:
+    type: string
+    description: >
+      Docker registry used for hyperkube image
+
   cluster_uuid:
     type: string
     description: identifier for the cluster this template is generating
@@ -234,6 +239,7 @@ resources:
             "$AUTH_URL": {get_param: auth_url}
             "$KUBE_CERTS_PATH": "/etc/kubernetes/ssl"
             "$HOST_CERTS_PATH": "/usr/share/ca-certificates"
+            "$HYPERKUBE_IMAGE_REPO": {get_param: hyperkube_image_repo}
 
   configure_etcd:
     type: OS::Heat::SoftwareConfig
diff --git a/magnum/drivers/k8s_coreos_v1/templates/kubeminion.yaml b/magnum/drivers/k8s_coreos_v1/templates/kubeminion.yaml
index 014153bce0..3dd4b7f9ab 100644
--- a/magnum/drivers/k8s_coreos_v1/templates/kubeminion.yaml
+++ b/magnum/drivers/k8s_coreos_v1/templates/kubeminion.yaml
@@ -57,6 +57,11 @@ parameters:
     type: string
     description: version of kubernetes used for kubernetes cluster
 
+  hyperkube_image_repo:
+    type: string
+    description: >
+      Docker registry used for hyperkube image
+
   kube_master_ip:
     type: string
     description: IP address of the Kubernetes master server.
@@ -166,6 +171,7 @@ resources:
             "$AUTH_URL": {get_param: auth_url}
             "$KUBE_CERTS_PATH": "/etc/kubernetes/ssl"
             "$HOST_CERTS_PATH": "/usr/share/ca-certificates"
+            "$HYPERKUBE_IMAGE_REPO": {get_param: hyperkube_image_repo}
 
   write_kubeconfig:
     type: OS::Heat::SoftwareConfig