Sorry it took me so long to get back to you guys/gals on this, I have been out of town for a week on business. Well I took my car in to the dealer the day before I went out of town and they promptly ordered a new sunroof/glass and started the repair work on that following monday. My wife called me and said that the car was ready on tuesday afternoon, so she went and picked it up.
Their bodyshop is backed up so they have not gotten to the paint repair yet but at least they did get the glass repaired with a quickness! The dealer had no explanation as to why it did what it did, and I still don't understand it.
To answer the above question, No the sunroof was not in the vent position it was fully closed with the cloth cover closed above my head.
Blake