Drew and Pvanc,
Thank you for your responses. I bought Asus notebook a couple of months ago, and received the Win 7 upgrade disk from Asus. I ran the compatibility check, and it is clean, there is nothing that needs to be removed or unistalled. During the first time I tried to install the Win 7, there were 2 choice, "Upgrade" and "Custom". Back then I just wanted to upgrade, so I selected "Upgrade". It did not go through, as I described below. During the second and following attemps, I did not even had a chance to see the "Upgrade" and "Custom" selection screen. It just stops when "Compatibility Report (saved to desktop)" blank screen appears, and the only thing I can do is close this window. After that the installation goes back to the very first screen and it all starts over.
Thank you,
MMK