A beachball is not a kernel panic.
Run Address book.
Back up your contact dabatase (File->Back up Database).
Quit Address book
Move all address book preferences to your desktop (~/Library/Application Support/AddressBook, and ~/Library/Preferences/com.apple.AddressBook.plist)
Run Address book
Choose "File->Revert to database backup"
If it all works, you can delete the files on your desktop that you moved there. If not, aren't you glad you didn't delete them?