Problem number one, the fur had compressed too much while in storage, so was almost a felted lump to start with and it took a while to pull apart the fur. It also meant I didn't have as much fur as I thought I would, since some was unusable.
Problem number 2: I wasn't patient enough or thorough enough in my treatment of the fur. So rather than a nice uniform piece of felt, I have a raggedy mess. However as you can see from the photo there are definitely some bunny ears in there and I will use the rest as clouds in fabric collages. Plus it may look raggedy, but its a beautiful soft felt, just as you would expect to make from the fur of such a beautiful soft bunny!