ok so the first time i tried to make the iso i got 9 errors... then i deleted every thing to try it from a fresh start now i only got 8 errors which is better than 9 but not good enough .... can any one please help me out with these errors it would be greatly appriciated .. im just an intern and they gave me this project to build this cd and i am having extreem difficulty doing so.....
Error: Cab file "C:\i386\driver.cab" and "C:\i386\C:\i386\driver.cab" not found.
Error: SetupIterateCabinet returned 2: The system cannot find the file specified.
Error: fileCopy() failed
Error: CreateFile "C:\pebuilder313\BartPE\i386\inf\netmscli.inf" returned error 2: The system cannot find the file specified.
Error: fopen "C:\pebuilder313\BartPE\i386\inf\netmscli.inf" returned error 2: The system cannot find the file specified.
Error: delLine() failed
Error: doInfAppend() file="C:\pebuilder313\pebuilder.inf" failed
Error: CreateFile "C:\pebuilder313\BartPE\Programs\Nu2Menu\nu2menu.xml" returned error 2: The system cannot find the file specified.

Based on the information you have provided I can assume a few things here.

I assume you do not have an XP CD because PE Builder is trying to pull files from c:\I386. This could cause issues and this "method" will not always work. What exact path are you using for your "source" in PE Builder?

I've also noticed the other errors. Those can be caused by a few different things. Do you have anything running in the background? Do you have any anti-spyware background scanning programs running on your system? You may need to also disable your AV software.

Did you follow the instructions on the site or view the "video" for building the project?

i copied my xp cd into a folder i am almost sure it said i could do that..?? right?? and no i have had nothing runing in the backround.... and i have followed the directions step for step 2 times i will go over what you said and try it again with just using the cd instead of copying to the computer..... thank you i will post you on how it goes

Well, where exactly did you extract your CD to?? You are supposed to extract the entire CD to a folder. The path being requested "C:\I386" makes me think you didn't extract everything.
I really suggest you view the "videos" available for the project also.