Another excellent distinction, Sicilian Babe. I must agree that the focus of the two films is completely different; and, in GF2, Michael is just as you describe. We see him degenerate further and further from the principled young man he was until he ultimately loses everything that mattered to him.

But I also don't think that pangs of guilt and repentance are the exclusive domain of GF3. We see some subtle indications that Michael is troubled by what his life has become. This is why he stares introspectively at Anthony's Christmas present when he returns from Havana; why he visits his mother for a heart to heart talk about losing his family; and why he aches to discuss with Kay the personal changes he's been pondering in order to keep her from leaving. When we see Michael sitting alone with his memories after Fredo's death, I believe it illustrates that he has a shred of a conscience left, and that it is greatly troubled by this last, and most evil, of the acts he perpetrated. He doesn't realize this until very, very late; but it sets the stage for GF3.

I know GF3 focuses on Michael's atonement, but I just don't think it did it very well. I thought the last shots of GF2 encapsulated his guilt and turmoil more eloquently than all of GF3 ... but that's just me.

So even though I agree with your post, I couldn't help but write another long essay. I love praising GF2 and its brilliant ending. I just can't help myself.