I thought you might say that Falko! i have been searching forums far and wide, checking out books on XEN as well and there is nothing said about these methods of install. Fedora offer a ISO/CD-ROM method of install with it's "virtual machine manager" how they work it god only knows!LOL
What about doing a convertion ISO > tar is that a possibility? I have seen plenty of stuff about installing .tar files if that was the case then installing ISO/DVD/CD-ROM would not be an issue.... would it?