Steve F and others, let me join the club: the Mac mini reports this problem:
Error Code -2 was returned by the CoreAudio Driver
I also find that on a user account no tracks are being shown when opening a project. On the Admin account, tracks are shown, but we are not getting sound in either account.
As this occurred immediately after the update, and my PowerBook, updated at the same time is fine, there seems to be a conflict in the Mac mini. I am just about to try an eMac to see if that is similarly effected.