I posted this in the MSFN forums but have yet to figure out a solution. I hope the people here might be able to help??
I have the files from an original retail Windows XP SP3 install disc that I would like to process with nLite 1.4.9.3, with the goal of integrating all updates to date (including Internet Explorer 8 and latest Windows Media Player) followed by removing some componenets that I don't want and make some tweaks to the installation.
I started by using the RyanVM Integrator 1.6.1b2.1 to include the OnePiece Windows XP Post-SP3 UpdatePack v1.0.7 followed by its "OnePiece Remove AddOn"s to get rid of a few items like Windows Search. I then used nLite to remove more components and did additional tweaks, hoping in the end to put all that into an ISO.
However, during the last stage of using nLite - when it says "Finalizing" after compressing cabinets - it crashes (please see attached screenshot).

At first I thought maybe it is because the install files I fed nLite was processed by RyanVM Integrator 1.6.1b2.1, so I retried the whole process on unprocessed/vanilla Windows XP SP3 files, but nLite crashes at the same stage.
I also tried to run nLite in an existing Windows XP SP3 virtual machine, and it still crashes at the same point.
What am I doing wrong? Thank you for your help.
Here is the nLite INI file with all my settings:
http://pastebin.com/YQ1p4tqJ