These directions were posted by “Arnie” in the comments saction of www.withinwindows.com
They work great! Especially since the Microsoft Tool was pulled and didn’t work for me anyways.
An other way to create a bootable USB drive to install W7 from is:
Format the drive from a Vista/W7 machine:
CMD
FORMAT F: /FS:NTFS (where F: is of course your [...]