I had the same problem wher System Restore stalled half way.
After that xp woud not start.
What I did is use a set of 6 start up disks to repair winxp. This also can be done easily if one does not have xp pro preinstalled on the HD.
Change the bios to boot from the cd rom
Insert the cd rom disk
Reboot the machine
When it gives you an option to rapair click on {R} button.
It wil not cause any data loss.
If you have a preinstalled program then what you need to do is to rename certain files by attaching to the end of the file name REM. After the reinstall you copy the contents to the original file folders.
The following site tells you about the files that might get corrupted.
http://support.microsoft.c
gonzal13(joe)
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by: RobinChamPosted on 2005-11-12 at 11:50:06ID: 15280731
More info: Using XP with SP1a installed. Reluctant to do 'repair install' (don't want to have to reinstall many programs), and I've not upgraded with SP2 due to some legacy programs I use daily. Note on other forum that upgrading with SP2 may solve SR problems, but cannot confirm.