Managed to get this resolved and running. I got help from this 
[url]http://forums.magnolia-cms.com/forum/thread.html?threadId=bb563a20-aad2-4243-9f19-286f0f75a4a5[/url]
  once I figured it out I installed Oracle Java SDK 7 and implemented the 
project to support java 7 sdk with Tomcat 7.

My Configuration:

I following the video for Maven install and change the magnolia-version to 5.3 
for both and when I got to the eclipse configuration I removed any java version 
below Oracle 7 and ensure Oracle 7 was the default. This fixed everything and 
all is working now with Magnolia CMS v5.3 and Tomcat 7 latest version.

Took a bit of time to figure out.

Cheers
David

-- 
Context is everything: 
http://forum.magnolia-cms.com/forum/thread.html?threadId=7dd0b537-831f-4556-9b5d-7be1593dd487


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