CD Boot helper very confusing

[bcbc]

Testing the CD boot helper feature with Wubi.
Inserted Natty Beta2 disk into Windows, selected "Demo and Full installation"
Then selected "CD-Booter"
It proceeds to do it's stuff and then instructs to reboot. The interesting thing to note is that it copies the entire CD image to the C:\ubuntu\install\ directory as "installation.iso"

When you reboot you see an entry for Windows and Ubuntu in the Windows Boot Manager. When you hit Ubuntu it says:
Completing the Installation. Press ESC for more options... 5 4 3 2 1

If you hit ESC it then shows: Normal, Safe Graphics, ACPI Workarounds, and Demo.

This is all very confusing - first off - it's not completing the installation. If you still have the CD in the drive it boots to the desktop in Live CD mode. So on that note it succeeds.

But it's confusing because it copies the CD image to the C:\ubuntu directory but if you don't have the CD in the drive, it won't boot. Instead you get the following (pressing ESC to bypass the splash screen):

cannot stat /ubuntu-installation/initrd-override: no such file or directory (I think it does this even if there is a CD)
Then the following loops for a couple of minutes:
stdin: error 0
/init: line 7: can't open /dev/sr0: no medium found
/init: line 7: unable to find a medium containing a live file system

eventually you end up at a Busybox prompt:
Busybox v1.17.1 .....
(initramfs)

I find it confusing because I expected: Demo and installation (not "Completing the installation").
The message "can't open /dev/sr0: no medium found" could be clearer.

I just reviewed this and it DOES state on the windows side to leave the CD in the tray. So that part is clear. I assumed that was associated with the standard reboot from CD (not the Boot helper option) and since I noticed the cd image being copied to the hard drive I figured it should use that instead.