Canceling classes might have been the smartest thing for them to do, half the school would have been off campus and the parts where there WERE students could have had policemen.
It's very hard to "lockdown" a 2600 acre campus. But, there is no excuse for two hours to pass before sending out the first e-mail informing of the shooting that took place at 7:15am.
It's not very hard to lockdown a 2600 acre campus. It is impossible. It is difficult enough to lockdown a few buildings, let alone an entire campus. However, I completely agree with DC that Va Tech and the police dropped the ball with its lax attitude in between the two sets of shootings.
My Va Tech friend said that the administration always try to do everything in its power to suppress bad news (big or small), which is not altogether surprising. But this line of thinking bit them in the ass in a terrible way.