Rats. Using the nLite version 1.2 RC, I'm still unsuccessful. With a 1.2 Gb ISO, when I capture the image in Virtual PC & restart, I'm left with a black screen with a blinking cursor. Using one of my CD sized images, nLite/Virtual PC/Nero 7 works fine for building/testing/burning. I'm at a loss. I guess I could roll back to an earlier version of nLite and see if that fixes the problem.