XP imported from broken machine only boots once

[cedral]

I have a windows xp machine with irreplaceable software on it whose motherboard died. I used vboxmanage convertfromraw to import the disk image to a vdi. I created a virtual machine using that vdi and I turned on the IO APIC.
The first time it boots without a problem. It asks to install 2 drivers vga and base system. It says it can't find a driver for either of them and then tells me it installed drivers so I need to reboot. Upon reboot it hangs on a blank screen. I have also tried starting from the same image installing guest additions and get the same result. It will boot up one time.
Any help?

[vbox4me2]

Boot into safe mode and disable all services that are not directly required or until it boots normally.

[cedral]

It doesn't boot into safe mode either. After that first boot, it hangs after mup.sys in safe mode

[vbox4me2]

http://www.aitechsolutions.net/mupdotsysXPhang.html
And remember to have fun with it