CPU Usage constantly HIGH

Is an antivirus package actively running in background? Most likely suspect, otherwise run adaware spyware checker and see if something is firing up there. it can be downloaded at lavasoft.com. Otherwise CTRL-ALT-DEL gives you a pretty good list ofwhat functions are running which you can remove at that screen. If you remove explorer however expect the system to hang on you! Other wise you can folow the startup process step by step at boot up time and see each process as it's added and decide from there what you don't need. Things in 98 are loaded from autoexec.bat, config.sys, win.ini and system.ini as well as registry items. good luck

The next time you boot up, go into safe mode.

Does it do the same thing? If so then there is something messed up with the system itself.

If not, then the registry is a great place to start looking.

Look in (while still in safe mode)
hklm/software/microsoft/windows/currentversion/run

(also run once and run services)

What is in there? Remove everything that is not absolutely critical. I personally never keep anything in there.

Make a list of stuff that is in there. Look for potential viruses, especially klez (should have wink or something similiar as a file name).

When I say make a list, I'm serious, copy everything that is in the run folder before you delete it. You can export the entire key if you have to, but make a list. Reason, you need to find what the offending program is. Don't rely on your memory.

Reboot

Does the same thing happen now?

Look in the start up folder.

I know that you say this is "system". But there are alot of different things that can call system.

Also you can see what is running under the system pid by using pslist (www.sysinternals.com, look for 2k utilities).

Another item that tends to run "in background" and make it look like high CPU usage is a "Disk Health or Computer Health" program that watches temp's. & fan speeds, etc.. Usually they really aren't using the CPU's like they appear to be, or so I'm told. I find it hard to believe though.

If there are no app's. running in background and CPU usage is still high, check the memory area next.

Thanks for more good information. I am hoping to get the user a loaner PC so I can take a hard look at his problem. I will look into everything suggested and report back.