Damon,
The following fixed my problem:
While in VM Fusion, click on the tab at top called "Virtual Machine". Then,
while holding down the shift key (to reboot in safe mode), click on "Restart
Guest". Apparently this clears the caches which is what is causing the
problem in the first place. I don't really understand it, but I tried it
after seeing a thread on www.macfixit.com stating a similar problem. This
worked for me; hope it works for you too. Good Luck!
Lynn