Imac won't restart, migration assistant

I just bought an iMac. Last night I started transferring my files, etc. from my PowerBook. When I woke up this morning, it was stuck at the same estimated time and had an error prompt . . . something about losing it's connection with the PowerBook. After several unsuccessful attempts of finishing the migration, it asked if I wanted to cancel migration. So I cancelled. Then it was stuck on cancelling and never became un-stuck. Finally, I decided to restart. When it restarts, it is stuck on the spinning wheel. Sometimes the new voice over command info begins to play.
Seems eternally stuck.
My specs:
brand new iMac
21.5"
2.5GHz quad-core Intel Core i5 with 6MB on-chip shared L3 cache
OSX Lion -  I selected 10.7.2 but I don't actually know for sure as I can no longer access my iMac.

You have 90 days of free AppleCare telephone support, it's time to use it. The number is in your owners manual. Also when starting any new Mac it starts with Setup Assistant, this is the best opportunity to migrate from your old Mac.  Please look over Lion Setup Assistant tips.

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    Barry,
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    Hello,
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    Welcome to Apple Discussions.
    Disconnect all peripherals, (unmount any firewire devices before disconnecting) just your Apple keyboard and mouse and test.
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    -mj
    [email protected]

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