Hi there,

Follow these steps to reinstall the system restore:

1. Insert the Windows XP CD
2. Click Start/Run and type:
"rundll32.exe advpack.dll,LaunchINFSection C:\Windows\Inf\sr.inf"

System Restore core files should be reinstalled.

Alternately, you may also open Windows Explorer, navigate to
"C:\Windows\Inf" folder and right-click sr.inf (choose Install)

For more information on reinstall system restore, see here:
http://home.earthlink.net/~mvp_bert/html/tips.html#ReinstallSR

In addition, click Start, run type MSCONFIG, look at the Services Tab. Make
sure System Restore Service is enabled  (checked) and shows as running.

--
HTH
Venkatesh

If the suggestions that Venkatesh do not work you should try running a virus
scan and spyware scan. There are viruses and spyware that will disable
System Restore. If your system is clean of viruses and spyware but you can't
get System Restore to run you may need to do a Repair Install. That should
be your last option though. While a Repair Install ( see here
http://www.webtree.ca/windowsxp/repair_xp.htm ) will not cause data or
program loss you should always backup important data first.