Well the message turned out to be not so amusing.
It appears my brand new 120Gb OCZ Vertex SSD drive which was fitted to my iMac this morning has failed. When I rebooted my iMac after posting the message above I got the flashing ? indicating no boot drive available. I popped in my Lion dvd and tried to use Disk Utility from that to format/partition the SSD drive but no go, it just hangs trying to do anything to the SSD.
Booting from an external disk containing my iMac's original 250Gb SATA drive, the first thing Lion reported was that it did not recognise the SSD disk and could not initialise it.
Modern technology is so crappy these days! I guess it will have to go back under RMA Warranty return. I'm glad I go on vacation for a week tomorrow, I'll need that time to prepare myself for diving into the innards of my iMac again and retrieve the faulty drive.
We are not amused.