diff --git a/cmd/format-xl.go b/cmd/format-xl.go
index fd08fab52..fa9604f75 100644
--- a/cmd/format-xl.go
+++ b/cmd/format-xl.go
@@ -488,7 +488,7 @@ func formatXLGetDeploymentID(refFormat *formatXLV3, formats []*formatXLV3) (stri
 }
 
 // formatXLFixDeploymentID - Add deployment id if it is not present.
-func formatXLFixDeploymentID(ctx context.Context, storageDisks []StorageAPI, refFormat *formatXLV3) (err error) {
+func formatXLFixDeploymentID(ctx context.Context, endpoints EndpointList, storageDisks []StorageAPI, refFormat *formatXLV3) (err error) {
 	// Acquire lock on format.json
 	mutex := newNSLock(globalIsDistXL)
 	formatLock := mutex.NewNSLock(minioMetaBucket, formatConfigFile)
@@ -502,7 +502,7 @@ func formatXLFixDeploymentID(ctx context.Context, storageDisks []StorageAPI, ref
 	formats, sErrs := loadFormatXLAll(storageDisks)
 	for i, sErr := range sErrs {
 		if _, ok := formatCriticalErrors[sErr]; ok {
-			return fmt.Errorf("Disk %s: %s", globalEndpoints[i], sErr)
+			return fmt.Errorf("Disk %s: %s", endpoints[i], sErr)
 		}
 	}
 
@@ -540,11 +540,11 @@ func formatXLFixDeploymentID(ctx context.Context, storageDisks []StorageAPI, ref
 }
 
 // Update only the valid local disks which have not been updated before.
-func formatXLFixLocalDeploymentID(ctx context.Context, storageDisks []StorageAPI, refFormat *formatXLV3) error {
+func formatXLFixLocalDeploymentID(ctx context.Context, endpoints EndpointList, storageDisks []StorageAPI, refFormat *formatXLV3) error {
 	// If this server was down when the deploymentID was updated
 	// then we make sure that we update the local disks with the deploymentID.
 	for index, storageDisk := range storageDisks {
-		if globalEndpoints[index].IsLocal && storageDisk != nil && storageDisk.IsOnline() {
+		if endpoints[index].IsLocal && storageDisk != nil && storageDisk.IsOnline() {
 			format, err := loadFormatXL(storageDisk)
 			if err != nil {
 				// Disk can be offline etc.
diff --git a/cmd/prepare-storage.go b/cmd/prepare-storage.go
index 0a723fcbe..325cde9a3 100644
--- a/cmd/prepare-storage.go
+++ b/cmd/prepare-storage.go
@@ -198,7 +198,14 @@ func connectLoadInitFormats(retryCount int, firstDisk bool, endpoints EndpointLi
 
 	// All disks report unformatted we should initialized everyone.
 	if shouldInitXLDisks(sErrs) && firstDisk {
-		return initFormatXL(context.Background(), storageDisks, setCount, drivesPerSet)
+		// Initialize erasure code format on disks
+		format, err := initFormatXL(context.Background(), storageDisks, setCount, drivesPerSet)
+		if err != nil {
+			return nil, err
+		}
+		// Assign globalDeploymentID on first run for the
+		// minio server managing the first disk
+		globalDeploymentID = format.ID
 	}
 
 	// Return error when quorum unformatted disks - indicating we are
@@ -244,14 +251,14 @@ func connectLoadInitFormats(retryCount int, firstDisk bool, endpoints EndpointLi
 	}
 
 	if format.ID == "" {
-		if err = formatXLFixDeploymentID(context.Background(), storageDisks, format); err != nil {
+		if err = formatXLFixDeploymentID(context.Background(), endpoints, storageDisks, format); err != nil {
 			return nil, err
 		}
 	}
 
 	globalDeploymentID = format.ID
 
-	if err = formatXLFixLocalDeploymentID(context.Background(), storageDisks, format); err != nil {
+	if err = formatXLFixLocalDeploymentID(context.Background(), endpoints, storageDisks, format); err != nil {
 		return nil, err
 	}
 	return format, nil