We are having the same problem. Tools Update goes to about 15% then terminates with a pop-up saying there was a problem. KB says to check for /Library/Parallel/Tools/prl-tools-win.tar.gz and if it is missing, to re-install Parallel Desktop. Did that, and it is still missing. Investigation reveals that Parallels Desktop 9 installs the Tools ISO in /Applications/Parallels Desktop.app/Contents/Resources/Tools/prl-tools-win.iso -- and that image is actually connected as the CDROM in the VM. Nevertheless, it fails to install. Reboot just produces the same error message over and over again; Control Panel Programs and Features is disabled, so I cannot uninstall the Tools and then manually re-install. How can one stop the automatic update attempt from happening?
Thanks @RobertDax! You gave me what I needed! What I did initially was to to use PD's built in updater to update - and it failed to install the tools. After your input I tried to locate the updater locally but failed, so I manually downloaded it from http://www.parallels.com/downloads/desktop/ I ran the updater and alas: it worked - the tools installed properly. Thanks a lot - you made my day!
I have just been through this issue Parallels 9.0.24172, long story short there were several references to where the tools were supposed to be located, however after learning that they were mounted on a virtual cd within windows simply clicking the PTAgent installed the files, rebooting now and yes now installed! Be nice if this issue can be sorted out before the next update is released.