I have exactly the same problem as Fred H, and it is very strange.

Using a fresh gutsy install, installed ubuntu-xen-server, and domUs work
after first creating then booting them but then networking fails trying
to boot the domU a second time with eth0: error fetching interface
information: Device not found

This is on a HP DL360G3 dual intel xeon 2.8ghz.

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domU fails to get network connection
https://bugs.launchpad.net/bugs/150805
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