it doesnt exit.

of course it does... when you edit the file as I told you in nano at the bottom of the screen you see the commands. After editing the file you type CONTROL+O(the letter) to save and CONTROL+X(to exit nano) <-- you don't type the '+' of course ;-)
the idea is to change your list of repositories and then save the change, exit the editor, and then update with the new source (doing apt-get update) and upgrade (apt-get upgrade) and then continuing the installation...
I know it may seem frustrating the command line but you are almost there once you finish install kde you'll be ok (for now...)...
and also I am still wondering if you have a connection becasue without it it won't work...
do all that and let me know how it goes...
Good luck!
A.

ok after i did that i found the problem dum me lol i pressed enter then ctrl x
ok know i apt-get update
came done sayin with error's
know i tried apt-get upgrade did not work same with error's.

So from what I understand you made the necessary change to your file right? now when you type nano /etc/apt/sources.list you see the file *with* your modifications?
ok and what about these errors? it says that you are not connected? doyou see an interface when you type that?
#route
you should see 2 lines and at the right eth0 probably... is it the case?
if not try:
#ifup eth0
A.

ok hold on one seci was to have a space between the contrib and non-free am i right if not then i have a space in between them.

of sh*t actually it was just the security of debian... I did not read well ok.. make your file look EXACTLY LIKE THAT:
------------
#deb file:///cdrom/ sarge main

# deb cdrom:[Debian GNU/Linux 3.1 r0a _Sarge_ -Official i386 Binary-1 (20050607)$

deb http://security.debain.org/stable/updates main contrib

deb http://http.us.debian.org/debian stable main contrib non-free
deb-src http://http.us.debian.org/debian stable main contrib non-free
----------

and the apt-get update and tell me what route says please...
A.

lol, dam it i did the way you wrote and it still will the error.

yea but if yu saved that like that it's ok.. the error is probably related to your connection no?
give me the output of
#route
and if there is nothing type
#ifup eth0
tell me what happen now...
A.

i typed route
Kernel IP routing table
Destination Gateway GenMask Flags Metric Ref Use Iface

i only tyoed the update not upgrade just so you know.

it's all you see in route? then try #ifup eth0
A.

it says Igoring unknown interface eth0=eth0

wow.. shit you don't have connection then... do:
$nano /etc/network/interfaces and tell me if you see a interface name besides lo
mine for instance looks like that:
you shold have the loopback interface but do you have primary network interface?

# This file describes the network interfaces available on your system
# and how to activate them. For more information, see interfaces(5).

# The loopback network interface
auto lo
iface lo inet loopback

# The primary network interface
manual eth0
iface eth0 inet dhcp

# the WLAN network interface
auto eth1
iface eth1 inet dhcp
wireless_essid #######################
wireless_key #######################

did you check during the installation as I told you to see if the module of your ethernet card was loaded??
by the way your computer is phisically connected to the internet no?????
A.

ok just so you know when i had i hope i still do have my xandros setup i had the network install. Its off LAN cat5 cable to the back of my router to this computer.

ok

# Used by ifup(8) and ifdown(8). See the interfaces(5) manpage or
# /user/share/doc/ifupdown/examples for more information

I don't understand... you are connected or not ( I mean phisically)
and there is nothing in your /etc/network/interfaces file?
mmm...
do you see something looking like eth0 when you type
$dmesg | grep eth
?
A.