I made a comment earlier about using L4 on Fusion. I want to start a separate thread as it may prove helpful to others.
I am running VMware fusion 2 (latest build) on Snow Leopard.
Macbook Pro 17" Hires that has the dedicated video
Has a 500g 7200RPM drive and 4g of RAM.
I have allocated both cores and 2 gigs of ram to the Windows XP Home virtual machine.
I reported that I had L4 running, albeit somewhat sluggish. Well I forgot I had it in power savings mode, which uses the on board graphics processor. I switched to the dedicated graphics processor and have found it to be much better. In fact I think it is on par with my newly built PC which is XP Pro with striped 500g hard drives and 4 gigs ram. I feel that it is running better than V3 was running under Fusion. Hope this encourages others to give it a try.