Xp cd won't let me access any recovery options

[Spatzi]

First issue: Internet dropping. Only reboot fixed but would eventually go out again hours later. All other computers on my router network did not lose connection.
2) interrupt spikes start at 8 in a row every second, then continually until completely freezing system
3) I cold reboot as I could not shut down normally.
4) won't boot, not even safe mode. Tries to load drivers and stops at gagp30kx.sys
5) tried to use recovery from xp cd but only get blue screen with 'windows set up' top left and no options to do anything.

Help!

[Allan]

First thing you want to try is to boot to the Recovery Console and run chkdsk /r

[Spatzi]

But I can't get to recovery as my xp cd doesn't give the option.

[Allan]

Download a recovery console .iso and burn it to a disc, then boot to that disc http://forums.pcpitstop.com/index.php?showtopic=150212

[Spatzi]

I burned that iso to disc. This also does not work. It gives me the same blue screen as when loading my xp disc. All I get is 'Windows set up' in the upper left corner, with no options to do anything.

[Allan]

You need to boot to the cd

[Spatzi]

What do you mean 'boot to the cd'? I turn on the computer, hit f8 to go to boot options. When I choose from my boot options list,  I selected the dvd drive where the cd is located. This is what I did with the xp cd. Same result.

[Allan]

The cd should be bootable. Go to the bios and change the boot order so the cd drive is at the top of the boot order and then reboot to the cd.

[Spatzi]

Thanks. I got in and hit r for recovery console. But now I found this info in regards to what to do next:

Press Enter to start the Windows Setup.  do not choose "To repair a
Windows XP installation using the Recovery Console, press  R", (you Do Not want to load Recovery Console). I repeat, do not choose "To repair a Windows XP installation using the Recovery Console, press  R". 
Accept the License Agreement and Windows will search for existing Windows installations.
Select the XP installation you want to repair from the list and press R to start the repair. If Repair is not one of the options, END setup. After the reboot read  Warning#2!
Setup will copy the necessary files to the hard drive and reboot.  Do not press any key to boot from CD when the message appears. Setup will continue as if it were doing a clean install, but your applications and settings will remain intact.

Is this true? I don't want to be in recovery console? What do I do next?

I'm now at the recovery console with option to hit exit to reboot computer.

[Allan]

First thing you want to try is to boot to the Recovery Console and run chkdsk /r

[Spatzi]

Okay. But now it's stuck at 50% for the last half hour. Is this normal?

[Allan]

Is the hd light flashing? If so, leave it alone.

[Spatzi]

No, it's not flashing.

[Allan]

Not a good sign. Try the repair install (this time choose the SECOND repair option, allowing XP to install on top of itself). Let's see if that helps. If it does complete properly and you can boot to the OS you'll have to download and install all MS updates. Everything else should be good (all apps and preferences).

[Spatzi]

So I need to shut down the computer now? Or type in a command while it's sitting at 50%?

What if I use the original xp disc and try to run chkdsk again? Will that be better than using the iso copy disc I'm currently using?