Tried again now and saw this during the update:
Installing: kernel ##################### [ 6/131]
WARNING: No module arcmsr found for kernel 2.6.9-34.0.2.EL, continuing anyway
Updating : kernel-module-slip ##################### [ 7/131]
AND:
Installing: kernel-smp ##################### [ 2/131]
WARNING: No module arcmsr found for kernel 2.6.9-34.0.2.ELsmp, continuing anyway
Updating : chkconfig ##################### [ 3/131]
And then I found out that it was a type error at the Areca support site...
They were missing a puncture between ...02EL. It should be ...02.EL.
So the correct commands for Smeserver should be:
mkdir -p /lib/modules/2.6.9-34.0.2.EL/updates
cp /lib/modules/2.6.9-34.EL/updates/* /lib/modules/2.6.9-34.0.2.EL/updates
mkdir -p /lib/modules/2.6.9-34.0.2.ELsmp/updates
cp /lib/modules/2.6.9-34.ELsmp/updates/* /lib/modules/2.6.9-34.0.2.ELsmp/updates
The server now boots up in the new kernel....
