I needed to compress a VHD as it was causing backups to fail. The Hyper-V built-in compress tool gained me 15MB! i was impressed. Even after a defrag, it was no better. So then i
hunted around until i found some goof information.
Defrag the drives, then clear the white space.
ran the Degraf and Optimize from here
http://ultradefrag.sourceforge.net/
then run Microsoft pre-compact from Virtual Server 2005 i have it hosted here for simplicity
http://www.greypuddles.net/downloads/precompact.zip
Then try the Hyper-V Compactor again. 381GB down to 178. Very happy indeed.
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