Thanks, saikee - that should be a must-read for those of us getting our feet wet with Grub 2.
The problem, it seems, is with this Ubuntu release (9.10). During install, both 9.10 and 9.04 have an "advanced" button you can select to choose where to put your bootloader, or even opt not to install one. With 9.04, I simply replaced
(hd0) with
(fd0). The install progressed and when it came to writing Grub, my floppy drive clicked on and as expected, Grub was written to the floppy disk.
This left the MBR of my first harddisk untouched, which is what I wanted. Subsequently, when I needed to boot into Ubuntu, I just slid the floppy in and booted to it.
With Ubuntu 9.10, the install issues a fatal error when it tries to write to the floppy drive.
Thinking this must be a quirk of my floppy, I installed 9.10 as a guest OS in VirtualBox. It could neither see the floppy drive as 9.04 could,
nor could it see an image file mounted as a virtual floppy.
So far I am concluding the trouble lies with this release of Ubuntu.
For anybody using Ubuntu 9.04 who is interested in upgrading Grub legacy to Grub 2, I found
this. I have done the procedure on a virtual install of Ubuntu 9.04 and it worked perfectly.
My goal is the same - I want to dual-boot Ubuntu 9.10 with my main OS (XP Pro) and not overwrite the MBR on the first harddisk where XP lives. The only thing I can think of trying is to install Ubuntu and let it write the bootloader over the MBR, then following saikee's instructions to make the rescue floppy (Grub on a floppy). Once that is done, I could do a fixmbr from XP's recovery console to get the MBR back. Theoretically, that should give me what I want, which is a system that doesn't know it is dual-boot until I have it boot to that Grub 2 floppy, when it will read the config file (instead of Grub legacy's menu.lst) and see that it has other options. Seems like a round-about way of doing things, though...