Sounds like you're booting the HDD and not the disk..
Are you trying to repair or reinstall? If reinstall you need a DVD, not CD.
Tap the key given on first screen for BIOs Boot Menu, then select DVD/CD drive to boot. Do you receive a prompt to "Press any key to boot disk?"
If not the disk may be bad. Where did you get Windows 7? If you burned the DVD yourself, burn another using ImgBurn at 4x speed. If flash, use tool in Step 2 of Clean Reinstall - Factory OEM Windows 7