After some more testing, I found something that might work - if booting into the rescue mode in edgy, it boots up ok. after that, booting up regular mode works as well.
It worked this way for a few days, then I got back to the error (maybe because I was messing around with startup settings - profile, etc.). got the error again several times consecutively. Then tried the same trick and it worked - first boot once into rescue mode, which succeeds, and from then on the regular boot works as well. btw I specifically remember trying this on dapper - there the rescue mode failed as well, with the same error, which is why it took me a while to try this again on edgy. but on edgy, as it turns out, the rescue mode does come to the rescue. Hope this info helps in some way (and that it's indeed correct and not just a coincidence...) -- [4294668.613000] Kernel panic - not syncing: VSF: Unable to mount root fs on unknown-block (0,0) https://launchpad.net/bugs/29319 -- ubuntu-bugs mailing list ubuntu-bugs@lists.ubuntu.com https://lists.ubuntu.com/mailman/listinfo/ubuntu-bugs