I have used Font Book to remove all questionable fonts (triangle with exclamation mark) and disabled all user specific fonts. It did not help.
One account does not have iCloud set up as I never use it on that account
Redid the Console look: The bolded text below is what pops into the console window as soon as I click on the 'Create New' Button
3/18/13 9:30:51.853 AM com.apple.launchd.peruser.501[193]: (com.apple.ubd[334]) Exited with code: 254
3/18/13 9:30:57.695 AM com.apple.XType.FontHelper[343]: FontHelper: message received. (<dictionary: 0x7f9dab200060> { count = 2, contents =
"query" => <string: 0x7f9dab200000> { length = 110, contents = "com_apple_ats_name_postscript == "HelveticaNeueUI" && kMDItemContentTypeTree != com.adobe.postscript-lwfn-font" }
"restricted" => <bool: 0x7fff75f09320>: true
})
3/18/13 9:30:57.696 AM com.apple.XType.FontHelper[343]: AutoActivation: scopes (
"/Library/Application Support/Apple/Fonts"
)
3/18/13 9:31:05.378 AM com.apple.launchd.peruser.501[193]: (com.apple.ubd[340]) Exited with code: 254
3/18/13 9:31:10.422 AM sandboxd[347]: ([341]) Aperture(341) deny mach-lookup com.apple.KernelExtensionServer
3/18/13 9:31:10.000 AM kernel[0]: Sandbox: sandboxd(347) deny mach-lookup com.apple.coresymbolicationd
3/18/13 9:31:19.218 AM com.apple.launchd.peruser.501[193]: (com.apple.ubd[345]) Exited with code: 254
3/18/13 9:31:30.001 AM com.apple.security.pboxd[350]: CGSGetWindowTags: Invalid window 0x87
3/18/13 9:31:30.001 AM com.apple.security.pboxd[350]: kCGErrorFailure: CGSSetHideOnDeact: error getting window tags
3/18/13 9:31:32.585 AM com.apple.launchd.peruser.501[193]: (com.apple.ubd[348]) Exited with code: 254
3/18/13 9:31:39.920 AM Aperture[341]: RVS:__54-[NSRemoteSavePanel _runOrderingOperationWithContext:]_block_invoke_0319 : Timeout occured while waiting for the window
3/18/13 9:31:46.504 AM com.apple.launchd.peruser.501[193]: (com.apple.ubd[351]) Exited with code: 254
3/18/13 9:31:59.981 AM com.apple.launchd.peruser.501[193]: (com.apple.ubd[354]) Exited with code: 254
3/18/13 9:32:03.156 AM com.apple.security.pboxd[350]: CGSGetWindowTags: Invalid window 0x88
3/18/13 9:32:03.156 AM com.apple.security.pboxd[350]: kCGErrorFailure: CGSSetHideOnDeact: error getting window tags
3/18/13 9:32:12.769 AM tccd[272]: Unable to talk to lsboxd
3/18/13 9:32:12.822 AM sandboxd[361]: ([272]) tccd(272) deny mach-lookup com.apple.ls.boxd
3/18/13 9:32:12.000 AM kernel[0]: Sandbox: sandboxd(361) deny mach-lookup com.apple.coresymbolicationd
3/18/13 9:32:13.150 AM Aperture[341]: RVS:__54-[NSRemoteSavePanel _runOrderingOperationWithContext:]_block_invoke_0319 : Timeout occured while waiting for the window
3/18/13 9:32:13.621 AM com.apple.launchd.peruser.501[193]: (com.apple.ubd[355]) Exited with code: 254
3/18/13 9:32:27.139 AM com.apple.launchd.peruser.501[193]: (com.apple.ubd[366]) Exited with code: 254