Memory Allocation Failure

Try to reinstall Parallels Desktop, perform permissions repair on Mac, install 10.5.4 update
and of course make sure that you have more then 2 gb on disk where VM is located

 

So you are saying reinstall the 10.5.4 update again? It was already installed when I cloned the drive. I have plenty of hard drive space.

 

Alright thanks John! Ran those steps including reinstalling the combo update 10.5.4 and that did the trick!!

 

Thanks John, your recommendation worked also for me. It was not to much work. Now everything is fine again.