How to do a (destructive) system restore for a AOL optimized systemax?

Sounds more like its a power supply problem, before wiping out the H/D, swap out the power supply and I bet it will work. You can just purchase one from Fry's if it doesn't work just return the Power Supply for a refund. I do that all the time to troubleshoot problems. I just think this is the better way to go cause there is a good chance you reload XP and the problem is still there then you lose everything for no reason.