FYI in case anyone else runs into this problem.
To start this off, I got the following error when trying to install service
pack 2 for Windows Small Business server (SBS).
SBS 2003 Update with SP2 failed: "Failed to install catalog files
In the svcpack.log file: "Installation Failure: Windows failed to install
the following update with error 0x8007f01e: Windows Server 2003 Service Pack
2"
I see that many people have seen this same problem.
Some of the suggestions that I found the on the net were to follow the 11
steps in this Microsoft article.
http://support.microsoft.com/kb/822798
I think I tied about 8 of the steps and got tired of rebooting and in some
cases reloading the SP2 from the net. I looked a little more and found the
following secedit command fixed someone else with a similar problem. I used
this command and SP2 installed correctly. The command is copied below.
"secedit /configure /cfg %windir%\repair\secsetup.inf /db secsetup.sdb
/verbose /areas regkeys"
Ray