The USB boots directly into linux with no menu. No "Do you want to install Linux" nor "Do you want to try Linux" nor "Do you want to multiple install" nor "Do you want to checkdisk". None of that. You boot up from the and you end up at a desktop or a terminal window.
B) It has SSH server built into it so that when the system boots up it is ready to accept SSH connection.
C) It is persistent in that if I add a user it will remember that I added that user and password the next time I reboot.
D) Basic utilities like ping, traceroute, curl, ssh, telnet will be on there.
That's it! I have a Windows 7 system or an Ubuntu laptop from which I can create the USB. What USB utility plus what distribution of Linux will get me to my needed bootable USB?