Upgrade to 5.6.0.2 and database backup problems

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This is an ongoing problem with the last couple upgrades.

I get the message on the news panel in concrete5: You have downloaded a new version of concrete5 but have not upgraded to it yet. Update concrete5.

When I choose update concrete5 I go to the page that says:
Upgrade concrete5
Upgrading from 5.5.2.1
Upgrading to 5.6.0.2
To proceed with the upgrade, click below.

When I click upgrade I get this message:
Fatal error: Out of memory (allocated 41943040) (tried to allocate 308 bytes) in /var/www/html/concrete/core/models/permission/key.php on line 72.

I contacted Jumpline.com my web host and upgraded my memory to:
memory_limit = 128M ; Maximum amount of memory a script may consume (8MB)
They went in to recreate the problem and finally said:

It seems like there is cache problem with "concrete5" . Our support on third party software are very limited. You will have to contact the support of the CMS to get further support.

You may also try disabling the cache and see if that work. You may refer the following link for more details.
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http://www.concrete5.org/community/forums/chat/running-out-of-memop...

I disabled the cache but still no change.

When I go to system and settings, and choose update concrete5 it says I'm currently running 5.5.2.1, when I choose Check for updates, it says no updates available.

Here's the interesting part I have the whole new dashboard interface.

Also when I try to Run Backup from Backup Database panel I get this error:
Fatal error: Exception thrown without a stack frame in Unknown on line 0
The backup problem has been going on for awhile in fact my last backup was April 2010.

Please help with this problem. Everything seems to be working okay and I have 5.6.0.2 in appearance and functionality but concrete5 tells me I have 5.5.2.1, upgrades don't complete without an error, and I still can't backup my database within concrete5.

Thanks for your help.