Same problem here:

First I installed Hardy Heron in Virtualbox without problems and then I
upgraded Heron to Intrepid. Now if I boot Intrepid it fails with the
"unable to handle kernel" message (except if I use the old kernel from
the Hardy Heron install, which was still available - 2.6.24*).

My second try was with the intrepid alpha 1 Install CD, but this fails
from the beginning with the "unable to handle kernel" message.

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Problem with ubuntu 8.10 and VirtualBox
https://bugs.launchpad.net/bugs/243933
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