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I can confirm that this works for me too. I haven't noticed any crashes when Parallels (or one of its Coherence windows) is not the active...
Thanks for the suggestion John. However, I am using Shared Networking when the lockup occurs. I just tried switching to "Host Only"...
I'm having the same problem as well. Parallels hangs when changing network location. I have tried "ipconfig /release", and Parallels still...