However this fixed it from me:
Taken from m$ technet: Cannot make a recovery disk with recdisc.exe
Here's the correct way to fix this problem for Windows 7 (and probably Vista too!)...
Open a command prompt.
Type bcdedit /enum all >C:\rec.txt (silkman: improved the command so it creates a txt file in c:\ called rec.txt to easily copy the long string - read below)
You will see an entry (probably several) that says C:\Recovery\(some long string)\winre.wim,(same long string) (silkman: In my system the two strings, before and after, were not the same, so ended up creating two folders and copying everything twice - continue reading)
Make the following directory based on the value (some long string) that is shown above. For example purposes only: md c:\Recovery\0b3447fa-c429-11de-afd2-bdec487c77bb (silkman: Did this twice in my system, may or may not be the same for you)
If folder already exists, great
Insert your Windows 7 install DVD and cancel any autorun prompts. Assumption is that D: is your CD/DVD drive - change accordingly ;-) copy d:\sources\boot.wim c:\Recovery\0b3447fa-c429-11de-afd2-bdec487c77bb\winre.wim
(or just open in explorer and drag d:\sources\boot.wim to the folder on your HDD and rename it to winre.wim
- this is the all important part! copy d:\boot\boot.sdi c:\Recovery\0b3447fa-c429-11de-afd2-bdec487c77bb
copy d:\boot\bootfix.bin c:\Recovery\0b3447fa-c429-11de-afd2-bdec487c77bb
Remember, the folder "0b3447fa-c429-11de-afd2-bdec487c77bb" will probably not be the same on your machine...run bcdedit /enum all
and find the correct name of the folder from the list (which will have "C:\Recovery" and "winre.wim" in the entry)
and voila you can make your recovery CD/DVD ;-)
Also, this may also fix problems booting to the recovery partition (100MB) using "F8" (Windows 7 only) - at least it did for me
This worked for me, waited for the dvd creation to finish before posting this. The problem probably was that at some point, I deleted the contents of the c:\recovery folder. And I will do it again.
The recovery disk created for x64 was 164MB, so no need to waste a dvd-r disk, use a cd-r.