Seems a udev entry is blocking bootup, edit /usr/lib/xen-tool/gutsy.d/25
-disable-hwclock and add the following line:
rm -f ${prefix}/etc/init.d/hwclock.sh
${prefix}/etc/init.d/hwclockfirst.sh
${prefix}/etc/udev/rules.d/85-hwclock.rules
Below these lines:
chroot ${prefix} /usr/sbin/update-rc.d -f hwclock.sh remove
chroot ${prefix} /usr/sbin/update-rc.d -f hwclockfirst.sh remove
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xen guest hangs after mounting filesystem
https://bugs.launchpad.net/bugs/144631
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