by I finally got SLS 1.03 to make a boot disk by doing the following:
1) Install the system.
2) reboot using the a1 disk as the boot disk, press the alt key when
LILO appears. (Then boot by instructions to your system)
3) mount the a1 disk (i.e. mount /dev/fd0 /floppy)
4) copy the zImage from the a1 disk to a temporary directory
(i.e. cp /floppy/zImage /tmp)
5) Now umount /dev/fd0
6) Now you need a freshly formatted diskette and do the following:
dd if=/tmp/zImage of=/dev/fd0
rdev /dev/fd0 /dev/hdb1
Hope this helps!