OK, it seems that since VB 1.6 it is possible in the advanced option to set the 
PAE/NX support. When checked, it is possible to boot Ubuntu server.
Though 2 remarks:
* My VM had only 256MB set, so PAE is not necessary (it's for 4GB+ dynamic 
memory)!
* The message reported by the kernel is only interesting to kernel developer, 
but of no use even for advanced Linux user (I have more than 10 years 
experience with Linux), see below:
The kernel requires the following features not present on the CPU
0:6
Unable to boot - please use a kernel appropriate for your CPU

Information how to fix this was found here:
http://tombuntu.com/index.php/2007/09/05/making-ubuntu-server-work-in-virtualbox/

-- 
PANIC: CPU too old for this kernel
https://bugs.launchpad.net/bugs/151942
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