I've got a Windows 7 VM on a MacBook running Lion. Today I ran Windows Update and applied the update. At the end I told it to reboot. Some time after that I noticed that Parallels itself was locked up, unresponsive. I force-quitted it and restarted. The VM opens with Windows 7 stuck "Suspending..." and no way to stop it. If I quit Parallels and restart it happens again.