AIX

So I have set up a hyper terminal session with a laptop and connected through a serial cable and I am still having the 0518 LED display come up, when I try to boot CD. Any suggestions? The terminal settings are:
Bits per second: 9600
Data Bits: 8
Parity: None
Stop Bits: 1
Flow control: None

Did you see anything on the terminal screen?

How are you getting it to boot from the CD-ROM apart from putting the CD-ROM in the drive?

Yes, I am seeing output to the terminal screen, here's a snapshot of the tail end:
-------------------------------------------------------------------------------
Welcome to AIX.
boot image timestamp: 02:29 08/26
The current time and date: 20:49:38 11/05/2007
number of processors: 1 size of memory: 1024Mb
boot device: /pci@fef00000/scsi@c/sd@1,0:\ppc\chrp\bootfile.exe
closing stdin and stdout...
-------------------------------------------------------------------------------

Not using any method to boot from CD except for putting CD into drive and then changing the boot settings in SMS to boot from the CD first.

And you

(a) unplugged keyboard/mouse/screen
(b) changed SMS through the serial port?
(c) can confirm it's the CD-ROM light flashing, not the root harddisk?

Did you install the system, was it installed from CD-ROM originally?

A - Yes, Keyboard, mouse and screen are unplugged.
B - Yes, I changed SMS through serial port to boot from CD
C - Yes, CD-ROM light flashing at startup. I did change it back to HD boot once to see what would happen but got the same NIS problem as before (Got log in screen but once root password entered never got prompt.

I received the machine with BASE 4.3.3 installed, I am not sure if base OS was installed from CD or through network connection.

The next question is which CD are you trying to boot from?

Do you have anything else you can boot from, including, say, a machine diagnostic CD downloaded from IBM?

I am trying to boot from the CD: AIX V4.3.3 (5765-C34)

No I do not have any other media to boot from.