The System Recovery Options
are a part of the OS residing in a folder on C, not part of the OEM Factory Recovery which lives on its partition. The OEM only adds a hotlink on the Options to run its Recovery, which can also sometimes be made to autostart by setting it Active and rebooting.
Recovery Options are accessed on the Advanced Boot Options
via the F8 menu at boot, or from the DVD or Repair CD. In your case it appears the disk isn't booting, that somehow Recovery has been marked Active so it will boot instead of C. This can be checked using PW CD.
Try booting into Recovery Options from F8, then from the DVD.