Trouble Converting Parallels 2.5 VM into Parallels Desktop 7

Hi, I recently upgraded from OSX 10.4.1 to Snow Leopard 10.6.8 and my old Parallels 2.5 was incompatible with Snow Leopard. My old VM that has Windows XP installed on it up won't convert though. Whenever it is upgrading the old VM to make it compatible I get the following error: "You need to log in to Windows to complete upgrading your virtual machine.
If autorun is disabled, you will also need to open My Computer and run the Setup.exe file located on the CD, ignoring any Windows notifications. For more information, visit Parallels website." After this the window is just black and nothing happens. Why do I need to log in to Windows? Where do I do it? I've never done it before so I don't know any log-in details to enter. How can I successfully upgrade this VM for use in Parallels Desktop 7?

Craig

 

Can you post some screen shots?

You could also try duplicating the virtual hard disk of the old virtual machine, then create a new virtual machine (without upgrading the old one) and use the old virtual hard disk as the virtual hard disk of the new virtual machine.

 

I have a same problem with that message. Just new to Mac used parallels 10 to migrate from Win 7. Had the parallel team on the Mac & PC the say "hidden partition on PC, How do fix this?

 

Pleas check this article for more info about "hidden partition"