The punchline:
hdiutil convert image.dmg -format UDTO -o image.iso Although this makes a file with the extension
.cdr, the article claims that it is an iso file and can be renamed as such.This allows me to use the OS X Disk Utility to create .iso images that can then be mounted from Parallels desktop or VMware.
UPDATE:
The above article seems to be a complete lie, but at least it pointed me at
hdiutil... the above approach makes iso images that Mac OS X can mount, but do not work within Parallels.However, the following command seems like it does the job:
hdiutil makehybrid -o image image.dmg
