Server 2003 and Server 2008 BCDEdit BSoD

We upgraded Server 2003 to Server 2008 and upon reboots kept getting asked which OS to load. So I used BCDEdit to set the default entry and when I rebooted, I was no longer asked which OS to load, but instead I am greeted with a BSoD:

STOP: 0x0000007B (0xF789EA94,0xC0000034,0x00000000, 0x00000000).

We use a PowerEdge 2900 (not sure if that helps). The last thing I remember doing was setting the default boot entry. Also, there were important updates that were being installed. I used "shutdown -r -t 00" to reboot because the mouse is out of batteries (not sure if commandline shutdown matters).

Please help if you have any idea on what to do. I've thought about moving the files from the hard drive, reformatting, and then installing Windows Server 2008 from scratch without upgrading from 2003.