problem with two windows 7 installed on one drive

hey,
I have installed win 7 64 bit about a week ago. it worked fine.

a friend gave me a copy of windows 7 64 bit ultimate extreme edition.
for some reson the disk didnt boot so i dicided to install it from runing windows.

in the installetion prosses it copy the win 7 image to my "c:\$windows" directory.

after the computer restart it goes directly to the window install prosses, it shows a fail, with no options for me to do anything, and restart again and again.

i think if i would be able to remove the "$windows" directory or atleast rename it so it wont boot from there, my windows will work fine again..

any help?

No DVD needed to upgrade.

No install files needed.
Only the Upgrade key is need.
Anytime upgrade only adds-on the Programs & Features from version to version.
Windows Anytime Upgrade - How to

its not my problem..

my computer is in a loop of restarts and i cant do anything about it..

any idea?

If you have a External HD, you could copy & paste your data.
Copy & Paste - in Windows Recovery Console
than copy & paste your data to new install.

   Information

We always assume you have made your Recovery Disks using the OEM manufacturer's app the first day you had your new PC.
& made the Startup Repair CD.
startup repair disc-create

Than do a clean install with the OEM manufacturer's Recovery Disks.