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I've actually found that the system does not need this update, but something in the Parallels VM makes automatic updates think it does....
I got this problem as well, but it was before I upgraded Parallels (after a MS hotfix that I installed today). I had to do a recovery in BootCamp...
I've been running Parallels on a BootCamp setup successfully for about a week now. After booting the VM today and getting a Windows hotfix, I...