I think I have figured out the problem. After doing some more research, I found some info on problems caused by the Advanced Power Management daemon:
"Note that standby is not supported, but that the kernel will attempt
to enter standby if told to do so. When changing power levels, many
system services are alerted of the change so that they can handle the
change appropriately. For example, networking will be disabled before
suspending, then reenabled when resuming. When the kernel attempts to
enter standby, the bios will fail the attempt. The kernel will print out
the error message "standby: Parameter out of range", but will fail to
notify the system services of the failure. As a result, the system will
not go into suspension, but all system services will be disabled and the
system will appear hung. The best way to recover from this situation is
to enter suspend, then resume."
I edited /etc/rc5.d file with the following command:
mv S26apmd K26apmd
This way apm does not start at boot. The problem has been resolved. Thought you might like to know the solution that was found...