Trying to follow the steps in this thread for a rooted xterm resulted in nothing. So I found a different way to do it.

Gain root access to a terminal : ssh / terminal + sudo gainroot

1.1. vi /usr/share/rootedXterm.sh
1.2. This command will create a file named rootedXterm.sh and open an editor named vi to edit it. VI is not an easy editor to work with if you don't know what you are doing, so please pay attention to the steps.

2.1. Now we will insert a line into out newly created file :
2.2. Press "i" > Type > sudo gainroot > Press ESC > Type :wq!
2.3. Press Enter.

3.1. Now we give our new file run permissions.
3.2. Type "chmod 755 /usr/share/rootedXterm.sh" press Enter.

4.1. Now we create a "desktop shortcut" for our new script.
4.2. Type : "vi /usr/share/applications/hildon/rooted_xterm.desktop"
4.3. Press "i" to enter "insert" mode, and insert or paste the following code into your file :
4.4. To exit edit mode press ESC.
4.5. type ":wq!" And press enter, to save and exit the file.

5.1. We are done editing files, close the ssh or terminal window.
5.2. In your phone, go into your application manager, wait for it to refresh, and close it.
5.3. The new Rooted Xterm should now appear in you applications.
5.4. Create a desktop shortcut for it if you want as you normally do for other apps. GL.

Beware, root is a dangerous mode, you can do whatever you want, including messing up your device.

Eitam.