8.0.3 Anoying installer error

I am trying to install PostgreSQL 8.0.3 or 8.0.4 on WinXP SP2
using the Installer. Before the file copying phase of
the setup is finished, I am always getting this error:

=============================================================
Failed to run initdb: 1!
Please see the logfile in 'C:\Program
Files\PostgreSQL\tmp\initdb.log'.
Note! You must read/copy this logfile before you click
OK, or it will be automatically removed.

The contents of the above logfile are:
=============================================================
The files belonging to this database system will be owned by
user "PostgreSQL".
This user must also own the server process.

The database cluster will be initialized with locale C.

Fixing permissions on existing directory D:/DBASES ... ok
creating directory D:/DBASES/global ... ok
creating directory D:/DBASES/pg_xlog ... ok
creating directory D:/DBASES/pg_xlog/archive_status ... ok
creating directory D:/DBASES/pg_clog ... ok
creating directory D:/DBASES/pg_subtrans ... ok
creating directory D:/DBASES/base ... ok
creating directory D:/DBASES/base/1 ... ok
creating directory D:/DBASES/pg_tblspc ... ok
selecting default max_connections ... 100
selecting default shared_buffers ... 1000
creating configuration files ... ok
creating template1 database in D:/DBASES/base/1 ... initdb: could not
execute command ""C:/Program Files/PostgreSQL/bin/postgres.exe" -boot
-x1 -F template1": Invalid argument
initdb: removing contents of data directory "D:/DBASES"

Can anybody please help me overcome this problem?

Thanks in advance for your time.

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