As I broke my Mac OS X, and thought of reinstalling everything from scratch as I am not sure update will fix the user issue as it was not allowing to install any applications.
This also allowed me to partition my disk to two partitions so that I can use one partition for mac and other partition for backup and parallels related images. The installation is one of the slowest that I ever saw in my whole life…it took more than 2 hrs to complete….not sure whats wrong with Apple …because Windows XP or Vista hardly takes 35-45 minutes…When I use Boot Camp to install Vista, it just completes within 30 minutes.
Once it rebooted to OS, it was back to normal..and I copied all my applications back and it seemed to be working. I could not find a way to export KeyChain Access entries…and overwriting the folder back from old one, did not help…atleast the parallels and other things started working after copying the hdd files.