First off, I would like to thank you for releasing such a WONDERFUL product. It's working almost completely perfectly, and apart from some issues in earlier betas, which have mostly been fixed, it seems, this application is running absolutely awesomely on my c2d mbp.
I have one issue however.
My setup is, as mentioned, a Core 2 Duo Macbook Pro, with a 32 gig Boot Camp partition. Parallels is running Windows XP on that partition, with 1 gig RAM assigned to it.
Everything works very nicely and smoothly, I must say, the issue starts when I allow Windows to restart itself.
Essentially, whenever I choose the option to let Windows reboot, rather than shut down completely, Parallels will slow down IMMENSELY, and drag my entire OS X with it in the course of the booting process. Sometimes it will in fact get through this hanging, but it's happened quite often that I need to hard reset, because after a while, OS X will simply come to a complete stand still, including an unresponsive mouse and frozen clock, if I don't force quit Parallels, before it's come to that.
I can prevent this by simply shutting down and reopening Parallels every time I wish to reboot Windows, so it's not really that huge an issue, but I would guess this is not the way things are supposed to work.
We have tested this on my boyfriend's Core 2 Duo Macbook Pro as well, and he's getting the exact same issue, so I was surprised not to find it reported anywhere on the forums.