Ok, I now belive that I need to use the rescue floppy in order to do a fresh install, even if the machine never had linux on it.
So I created a floppy, booted from it, pressed the <enter> key at the boot: promt.
I heard the system reading from the floppy for a bit and then I got this:
boot:
Loading linux.bin...........
Boot failed: please change disks and press a key to continue.
I changed disks a couple times thinking i had some bad floppies but now I belive something else is wong.
Any ideas?
Thanks.