Xubuntu 7.04 & VMware virtualisation
https://wiki.ubuntu.com/Xubuntu/ReleaseNotes/FeistyFawn
The latest release of the Linux kernel 2.6.20 has support of Virtualization using the Kernel based Virtual Machine (KVM).
This technology takes advantage of hardware capabilities added by the most recent Intel and AMD processors (x86).
Each virtual machine can support private virtualised hardware: a network card, disks, graphics adapter, and so on.
The Xubuntu 7.04 kernel is also VMI enabled for improved performance when running on VMware hypervisors. VMI paravirtualization can be enabled in VMware Workstation 6.0 beta.