Recently, I decided to install Kali 2016 as dual boot on my laptop. Everything install perfectly up until the installer gave me the option to set up the package distribution mirror. No matter what setting I provided, no mirror would set up correctly. I was forced to continue the install without setting up the mirror. If you do not know what this means, I will explain it. Basically, you will not be able to update or install any tools onto your Kali distribution.
This fix is for Kali 2016, not 2.0 or any version below.
I tried to install Xchat. This is what happened in my terminal.
apt-get install xchat
Reading package lists... Done
Building dependency tree
Reading state information... Done
E: Unable to locate package xchat
I tried several other programs, with the same result.
After hours of google searching I finally found out how to correct this issue.
The fix is simple:
Navigate to: /etc/apt/sources.list
Use your preferred text editor, and delete all text in the file.
Replace it with:
deb http://http.kali.org/kali kali-rolling main contrib non-free
Save the file, and close.
Switch back to your terminal, and as root, run apt-get update
Once the update is finished try to install a program. This should have fixed your issue. Again this is for Kali 2016, no 2.0 or any version below.