Alright, step by step:
1) re-config system to normally boot to comand line
3) log in as root
4) issue '/etc/init.d/dm stop' just to make sure
5) run NVIDIA install script for 1.0-4363 drivers
6) edit XF86Config-4 file (it was fine)
7) issue 'etc/init.d/dm start'
8) X starts w/ NVIDIA splash screen, login screen appears
9) <CTRL><ALT><F1> to stop X
10) issue 'etc/init.d.dm stop'
11) re-boot 'shutdown -r now'
12) system reboots
13) log in as root
14) issue 'etc/init.d.dm start
15) screen flickers a couple of times and system locks solid.
Log file is attached.