I downloaded the http://www.xtralogic.com/products_vhd_utility.shtml utility.  The trial version allows you to expand the vhd by 1 gig.  That is all I needed for what I'm trying to do.  I ran their utility and then started the virtual pc.  I got the same disk read error on boot up.  I looked at xtralogic's support page and at the bottom it explained why I was getting this error and how to resolve it. http://www.xtralogic.com/support.shtml#faq_vhdu_disk_read_error

I downloaded the TestDisk utitlity and then followed the steps outlined here http://www.xtralogic.com/testdisk_rebuild_bootsector.shtml.  This worked!!

I'm guessing that the TestDisk utitility will work for those of you that used vhd resizer.  When I get time I will try expanding a vhd with vhd resizer and then use the TestDisk utitility to fix it. 

One other thing is that I followed the following steps http://kb.dutchalps.com/microsoftvirtualpc.htm after running the TestDisk utility.

Hopefully this will help others out there that are experiencing this same problem. 

 

 

I actually used the VHD Resizer to resize my disk. Then I used the DiskPart instructions at http://kb.dutchalps.com/microsoftvirtualpc.htm.  I checked out the TestDisk tool you suggest at http://www.xtralogic.com/testdisk_rebuild_bootsector.shtml.  Their instructions on that page are good.  But I found a little easier way to make the connection - without the mount of using a 2nd drive on an existing VM.  Go to http://www.ultimatebootcd.com/download.html and download the Ultimate Boot CD.  It comes with the TestDisk tool you suggest already setup. Get the EXE and run it to get the ISO. Capture the ISO in your VM and reboot the VM.  Follow the menu prompts "Filesystem Tools | Partition Tools | TestDisk...". Then follow the TestDisk instructions on http://www.xtralogic.com/testdisk_rebuild_bootsector.shtml.  The Ultimate Boot CD has lots of other great tools on it too.  Thanks to all that contributed to the VHD Resizer and the forum.  It is a great tool and has really helped me.