Eee and XP install questions

I have an Eee and want to install XP on it. I have made a copy of XP using nLite and I want to put the setup files on a SD card so I can install without having a external CD/DVD drive. I have done everything in this thread http://forum.eeeuser.com/viewtopic.php?id=1923&p=1 as far as the set up of it. I have also done everything here http://www.eeeguides.com/2007/11/installing-windows-xp-from-usb-thumb.html to pu the install onto a SD card. Only problem Im running into is when I go to use the USB Prep, The first step tells me to show where the XP setup files are. It has an error message that says Unable to locate XP setup files. Is there something else Im supposed to add to the nLite folder?