Sorry for the late response, was afk. 
The issue is not occurring with this kernel,  3.8.0-030800-generic.
Additionally, the issue does not occur with the latest kernel version in the 
saucy server images too. (3.9.0-5-generic). 
Thanks for your time on this.

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https://bugs.launchpad.net/bugs/1181315

Title:
  unregister_netdevice: waiting for lo to become free. Usage count = 2'
  is reported and causing kernel hang when floodlight tests are run
  using utah

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