Here is how I do a complete reinstall.
1. Using a boot disk, boot the computer and use FDISK to create/modify my partitions (at a minimum, XP should have a primary partition and one for your swap/page file).
2. Format each partition. I guess you could use an eraser program to set all the binary digits to 0, but I think this is rather overkill for the average person. I would only do this when I throw out a hard drive.
3. Remove boot disk and insert XP cd.
4. Boot to cd and run installation. Make sure to use NTFS as FAT32 is a waste of time.
That should just about do it.
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