I have been cursing my Netbeans 6.9.1 / XAMPP 1.7.3 / xdebug 2.0.6-dev installation for some time because variables are not displayed while debugging. Further, when I enable watches under PHP options in Netbeans, it warns me that xdebug is known to be unstable with that feature, and they are right! (Socket errors all over the place!)
I upgraded xdebug to 2.1.0 and I notice the difference immediately. My local variables are listed and have values.
Reference the following to assist with your upgrade: