Janis,
I agree with Karen, I had this happen to me also, so start on SAFE MODE WITH NETWORKING . Then check all your virus and spy programs for updating. If updated, run all your spy and virus programs.
My sstep son came home from Irag with a virus that when he plugged into my router I ended up with it. A program that got rid of it is called Malwarebytes, it is a free program that works well for me. Link below to home page.
Good luck, I have had my share of these problems...Huggs Tammy

http://www.malwarebytes.org/

Have you tried highlighting one of the other options before the countdown ends?
Personally I'd go for last known good configuration.
xx

When I switched my laptop on this morning the following screen came up

“SAFE MODE

SAFE MODE WITH NETWORKING

SAFE MODE WITH COMMAND PROMPT

LAST KNOWN GOOD CONFIGURATION (YOUR MOST RECENT SETTINGS THAT WORKED)

STARTS WINDOWS NORMALLY”

The starts Windows normally is highlighted, there is a countdown display from 29 secs. After reaching zero the Windows XP attempts to start but then goes back to the screen I’ve quoted above. The countdown re- commences and so on and so on.
Can anyone please help?

When that screen comes up start it in safe mode. Then you can do your reset.