Does the format complete? It says "trying to recover allocation unit" because there are bad sectors on your hard drive and it is seeing whether it can fix them or not. Usually it won't. Bad sectors do not mean you can't use the drive, you just can't use the space that is bad. My hard drive has some 20,000 bytes in bad sectors. It still works fine though. As long as the drive finishes formatting, there is no problem.
And there is no way to fix bad sectors besides replacing your hard drive, or by doing a low-level format, which usually only the factory can do.
Soltek 75KAV-X w/sound
AMD Thunderbird 1GHz(266) @ 1.14GHz (133x8.5)
128MB PC100 SDRAM @ 133mhz CL2
Turbo Gamer 21" Black Aluminum Case w/ 350watt Enermax Power Supply.
AMD Athlon XP 2500+ 1.83GHz @ 2.09GHz 1.65v (167*12.5)
ATi Radeon 8500LE 128MB DDR
Gigabyte GA-7VAXP KT400 w/sound+LAN+Firewire+RAID
2 x Samsung DDR SDRAM 256MB PC2700
Seagate Barracuda IV 80GB 7200rpm ATA-100
LiteOn Black CDWriter 42x24x42
LiteOn Black DVD-rom 16x
Panasonic Black 1.44MB 3.5"
Windows XP Professional
Creative Inspire 5200 5.1 Black Speakers
80mm LED Case Fans x 5