Thanx Guys
I Managed to find out the culprit!! Nic was picking up a 192.168 IP instead of one from the DHCP server:doh:, plus deleted and recreated Setup & packagebuilder accounts. Build process would only go so far so in the end I installed XP manually and then checked IP addie. Once IP renewed, recreated Builddisk and both machine built perfectly!!!
Its true that more heads are better than one!!