2008 sbs migration from 2003 failure

for all purposes we have a domain with windows server 2003 SBS and we are trying to migrate to windows 2008 SBS. the migration gets to a point and says active directory is taking longer to expected. you can click yes and wait or no and continue and then warns that the migration could fail if you don't have replication setup correctly. I was able to crl-alt-del on the 2008 server running the migration and pulled up the install log as it shows below. I have already installed a hotfix i found on another site, checked dns. and tried the ntfrs of changing the replication Burflags key to D4. Nothing works same thing every time.


   at System.DirectoryServices.ActiveDirectory.DirectoryServer.GetReplicationInfoHelper(IntPtr dsHandle, Int32 type, Int32 secondaryType, String partition, Boolean& advanced, Int32 context, LoadLibrarySafeHandle libHandle)
   at System.DirectoryServices.ActiveDirectory.DomainController.GetAllReplicationNeighbors()
   at Microsoft.WindowsServerSolutions.Setup.Tasks.PostDCPromoTask.WaitForReplication(ITaskDataLink dataLink, DomainController dc)
[3572] 090630.202330.4947: Task:       There are 0 pending replication operations.
[3572] 090630.202330.4947: Setup:       Attempting LDAP bind.
[3572] 090630.202330.5103: Setup:       Bind successful
[3572] 090630.202330.5103: Task: Waiting for replication to finish
[3572] 090630.202830.5160: Task:       Finished waiting.
[3572] 090630.202830.5160: Setup: DsGetDcName returned: 0
[3572] 090630.202830.5160: Setup: DsGetDcName returned name: DOMAINSERVER.test.local
[3572] 090630.202830.5160: Setup: Expected name: DOMAINSERVER.test.local
[3572] 090630.202830.5160: Task: Exception: System.DirectoryServices.ActiveDirectory.ActiveDirectoryOperationException: The handle is invalid.