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Thanks! 7.10 works when I disable gdm.
I will try a distupgrade once it's release. Thans for the update :)
I tried removing the 'quiet' parameter. Still the VM shows 'Starting up..' for 1 second and Parallels quits.
I just loaded 7.4 from my backup. I'm not expecting a fix anytime soon..
I actually did a distupgrade like described in your link. When the upgrade finished it could'nt load X. When I removed Parallels Tools, it loaded...
NB: The workaround approved by users is in the post # 86 (installing Ubuntu Gutsy Gibbon 7.10 and Parallels Tools). Hi, I just installed Ubuntu...