I just did this and it worked just fine, ending three weeks of not being able to use my drive. Since I already own Parallels and Windows XP, it was only a matter of figuring out how to attach the drive in Parallels and format the drive in Windows. After that I was able to open up the drive in Disk Utility and reformat it, changing it from NTFS to Mac OS Extended (Journaled). Presumably I likewise could have hooked up the drive to a Windows machine and done the same thing.
For those who have the option of hooking up their drive to another computer, or have Parallels, this is a fine workaround. The fact that this workaround solves the problem proves that this is a Mac OS 10.5 problem, and not a hardware problem. Here's hoping Apple will solve this in 10.5.1.