To be honest I can't remember the last time I used the software renderer so I have no clue why the texture is such a mess in the reflection, however I believe the reason why the fur wasn't showing in the MR render reflection is because 'visible in reflections' was unchecked in the render stats section of its shape attributes.

This render took 1min 1sec using 'production' render preset on a quad core 2.66GHz machine with 8GB DDR2 1066 Ram.