So as i thought i have a problem with this mobo

I setup raid, and so on
Boot XP setup disc, press F6
Choose RAID drivers when prompted (1st on list of 4 options)
And its all ok
Format, ... and then i get error cannot read iastore.sys .. skip,retry, quit, bla bla bla... and what ever i do i cant read it from floppy.

And offcourse if i skip i get BSOD on next restart... same goes if i configure to AHCI.

Floppy is ok and configured ok, using latest intel raid drivers for this mobo... configured raid ok and in bios Intel - enchanced - RAID

What is weirdest when i press retry it doesnt even try to read from floppy as it is trying to read from somewhere else..

Plz help, or gimme me any thoughts on this, i am stuck.