FULL PRODUCT VERSION :
java version "1.8.0-ea"
Java(TM) SE Runtime Environment (build 1.8.0-ea-b120)
Java HotSpot(TM) 64-Bit Server VM (build 25.0-b62, mixed mode)


ADDITIONAL OS VERSION INFORMATION :
Darwin mabosdcaldwell-m1.120aberdeen.davidpcaldwell.com 12.5.0 Darwin Kernel Version 12.5.0: Sun Sep 29 13:33:47 PDT 2013; root:xnu-2050.48.12~1/RELEASE_X86_64 x86_64

A DESCRIPTION OF THE PROBLEM :
Setting the global logging configuration with java.util.logging.config.file does not appear to affect the log level.

REGRESSION. Last worked in version 7u45

ADDITIONAL REGRESSION INFORMATION:
java version "1.8.0-ea"
Java(TM) SE Runtime Environment (build 1.8.0-ea-b120)
Java HotSpot(TM) 64-Bit Server VM (build 25.0-b62, mixed mode)


STEPS TO FOLLOW TO REPRODUCE THE PROBLEM :
See executable test case below.

EXPECTED VERSUS ACTUAL BEHAVIOR :
EXPECTED -
See test case; expected:
java version "1.8.0-ea"
Java(TM) SE Runtime Environment (build 1.8.0-ea-b120)
Java HotSpot(TM) 64-Bit Server VM (build 25.0-b62, mixed mode)
Logging properties:
.level=FINEST
Is FINEST loggable? false

ACTUAL -
See test case; got:
java version "1.8.0-ea"
Java(TM) SE Runtime Environment (build 1.8.0-ea-b120)
Java HotSpot(TM) 64-Bit Server VM (build 25.0-b62, mixed mode)
Logging properties:
.level=FINEST
Is FINEST loggable? false



REPRODUCIBILITY :
This bug can be reproduced always.

---------- BEGIN SOURCE ----------
Logging.java
==========
import java.util.logging.*;

public class Logging {
public static void main(String[] args) {
System.out.println("Is FINEST loggable? " + Logger.getLogger(Logging.class.getName()).isLoggable(Level.FINEST));
}
}

logging.properties
==============
.level=FINEST

logging.sh
========
#!/bin/bash
cd $(dirname $0)
javac Logging.java
java -version
echo "Logging properties:"
cat logging.properties
$JAVA_HOME/bin/java -Djava.util.logging.config.file=logging.properties Logging

---------- END SOURCE ----------

CUSTOMER SUBMITTED WORKAROUND :
None known, other than downgrading.