When you run Dcpromo, your receive one of the following:

<b>Active Directory Installation Failed:
The operation failed with the following error:
The system cannot find the file specified.

New Credentials.
The operation failed with the following error: "Access is denied".
These error messages can be caused by one or more of the following conditions:
The absence of the default Ntds.dit file.

Incorrect permission on the default Ntds.dit file.

Incorrect permissions on an existing NTDS folder structure.</b>
When you install a Windows 2000 server, regardless of the product or its role, a model Ntds.dit files is located at %SystemRoot%\System32. When you promote a server, the actual Ntds.dit file is created at %SystemRoot%\Ntds.

If you received the The system cannot find the file specified message, the %SystemRoot%\System32\Ntds.dit (default) file is missing. The simplest fix is to expand Ntds.di_ from any server CD.

NOTE: Check the %SystemFolder%\Debug\Dcpromo.log to see if this was the problem.

If you receive the Access is denied error, verify that the following permissions are set:

<b>System32\Ntds.dit</b>
BUILTIN\Users:             Read \[RX\]
BUILTIN\Power Users:       Read \[RX\]
BUILTIN\Administrators:    Full Control \[ALL\]
NT AUTHORITY\SYSTEM:       Full Control \[ALL\]
Everyone:                  Read \[RX\]

<b>%SystemRoot%\Ntds</b>
BUILTIN\Users:             Special Access \[RX\]
BUILTIN\Power Users:       Special Access \[RWXD\]
BUILTIN\Administrators:    Special Access \[A\]
NT AUTHORITY\SYSTEM:       Special Access \[A\]
CREATOR OWNER:  

<b>%SystemRoot%\Ntds\Drop</b>  (only if <b>\Drop</b> exists)
BUILTIN\Users:             Special Access \[RX\]
BUILTIN\Power Users:       Special Access \[RWXD\]
BUILTIN\Administrators:    Special Access \[A\]
NT AUTHORITY\SYSTEM:       Special Access \[A\]
CREATOR OWNER:             Special Access \[A\]
NOTE: Check the %SystemFolder%\Debug\Dcpromo.log to see if this was the problem.

NOTE: After successful promotion, the following permissions should exist:

<b>%SystemRoot%\Ntds</b>
NT AUTHORITY\SYSTEM:       Special Access \[A\]
BUILTIN\Administrators:    Special Access \[A\]

<b>%SystemRoot%\Ntds\Drop</b>
NT AUTHORITY\SYSTEM:       Special Access \[A\]
BUILTIN\Administrators:    Special Access \[A\]