Carried out instructions up to your warning about not re-booting. Bit stuck after that about downloading the file+saving, not sure which file to download Anyway below is log from CF_RC hope this helps. Cheers Nick.
WindowsXP-KB310994-SP2-Home-BootDisk-ENU.exe [boot loader] timeout=2 default=multi(0)disk(0)rdisk(0)partition(1)\WINDOWS [operating systems] multi(0)disk(0)rdisk(0)partition(1)\WINDOWS="Microsoft Windows XP Home Edition" /fastdetect /NoExecute=OptIn C:\CMDCONS\BOOTSECT.DAT="Microsoft Windows Recovery Console" /cmdcons
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Anyway below is log from CF_RC hope this helps. 
