No it was not booted with xen kernel. Actually I tried booting it with xen kernel but I am getting a message saying Error No 15 : File not found.
I tried editing the grub entry and noticed that there are 3 entries:
1) kernel /boot/xen.gz vga= mode-0x345
2) module /boot/vmlinuz-3.0.13-0.27-xen.......
3) module /boot/initrd-3.0.13-0.27-xen
And in /boot i listed down the files, only xen.gz is there. Rest of the 2 files are not there (pasted the screenshot below).
Even at one site it was given to remove /boot from the path but that also din't work.
How shall I solve this one?