Thanks for this suggestion.  It definitely changed the behavior
completely.  Now I'm getting these errors:

root@wkuballa185:~/tmp# virsh create vm-u1204.xml
libvir: Domain Config error : internal error os type 'hvm' & arch 'x86_64' 
combination is not supported
error: Failed to create domain from vm-u1204.xml
error: internal error os type 'hvm' & arch 'x86_64' combination is not supported

root@wkuballa185:~/tmp# virt-install -r 1024 --accelerate -n vm-u1204 -f
vm-u1204.disk --cdrom /dev/cdrom

Starting install...
ERROR    internal error Process exited while reading console log output: char 
device redirected to /dev/pts/1
qemu-system-arm: -drive 
file=/root/tmp/vm-u1204.disk,if=none,id=drive-ide0-0-0,format=raw: could not 
open disk image /root/tmp/vm-u1204.disk: Permission denied

Domain installation does not appear to have been successful.
If it was, you can restart your domain by running:
  virsh --connect qemu:///system start vm-u1204
otherwise, please restart your installation.
root@wkuballa185:~/tmp# virsh list --all
 Id Name                 State
----------------------------------

root@wkuballa185:~/tmp#


What am I doing wrong?

Werner

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https://bugs.launchpad.net/bugs/986302

Title:
  Can't create VM in Precise (12.04)

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