If you have the partition pre-formatted before installing, you should be able to install Windows 98, then boot into linux and re-install grub.
XP uses ntfs IIRC and 98 uses fat32, so format your windows partition as fat32 and you should be ok.
Just don't let the Windows install do that because I have had it to find an extended partition and tried to format that, but I hit the power switch and hand partitioned the disk again and recovered my Linux. (whew!)
# Freeware partitioning tool
Ranish Partition Manager