Easy solution... Delete the .vlc directory in your home directory.
VLC now keeps its config information in $HOME/.config/vlc/ http://ubuntuforums.org/showthread.php?t=855394 -- Joel Roth -- To UNSUBSCRIBE, email to debian-user-requ...@lists.debian.org with a subject of "unsubscribe". Trouble? Contact listmas...@lists.debian.org