It seems that with version 3, Image Tools is gone, and resizing (growing) the VM HDD is not viable for the time being. Given the loss of the Image Tools utility in the new Version 3 software... and with my "Windows_XP" VM HDD being almost full (15% spare space left).... it sure would have been nice to have some details posted during the version 3 (upgrade) installation process that would have alerted to the fact that if the VM HDD needed to be resized... DO IT BEFORE UPGRADING TO VERSION 3. I've read in this forum that Parallels is working on getting e new VM HDD sizing tool released for the next update. Any dates/timing??