OK, may be my question was dumb or very difficult to answer .. here is another question ... it can actually answered with YES or NO:
Can I load MS XP again on my laptop and still keep all other data? I have a MS XP CD. Dell also has a "recovery" on the laptop, but that will probably erase all data. Thanks.

Added:
Found this "If you have the Windows XP installation CD (it's more rare, but some PCs ship with this), you can boot to the CD and begin the system reinstall process. Though you can sometimes choose to keep your personal files, and only restore critical Windows system files, this process is an advanced technique."

here: http://www.andybrain.com/archive/mb/...em-restore.htm