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Standalone Repackager 9.0 not Running on Clean Xp VM

I am trying to setup a standalone repackager on an XP SP3 VM. The program installs fine, but when you try to run the program nothing happens. I've looked in task manager under processes and islc is not showing. Is there a log or something that I can do to findout why this is not running.
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found islc.log in the the program folder here is its output

16:34:40 : -----------------------------------------------------------------------------
16:34:40 : Microsoft Windows XP
16:34:40 : Service Pack 3 (Build 2600)

16:34:40 : C:\Program Files\AdminStudio\9.0\Repackager\islc.exe (Process Id: 988, Thread Id: 2044)

16:34:40 : User lang: English, System lang: English
16:34:40 : Reportlevel: 1
16:34:40 : Username: Administrator (is local admin), Workstation: TECH-682D4E1DED
16:34:40 : -----------------------------------------------------------------------------

this doesn't seem to tell me much....