No internet in Parallels 5 with Windows 7

I am running Parallels 5.0 and upgraded my Windows Vista VM to Windows 7. Now I do not have internet or network access inside of Windows 7 running in Parallels. This was never a problem when I was running Vista. When I try to troubleshoot it says that there is no network adapter installed and I should install the driver. I have shared networking set up in my Parallels 5.0 configuration. Can anybody help?

 

Do you have Parallels Tools installed? There should be a hint on the status-bar about installing them