Hi,
Are you working from the all-floppy version of Warp 3, or from the CD version which came with the 2 install disks?
If you're working from the CD version, then the XDF issue isn't really an issue - install disks 0 and 1 were both shipped in the standard FAT format by IBM, and the rest was on the CD. It wasn't until you got to Disk 2 of the floppy version that you started getting into XDF. However you'd still need a way for a VM to read disks 0 and 1 (assuming you're installing to a Virtual PC of some sort)
If you've got an installed copy of Warp, you should be able to use dskxtrct to extract the .dsk image for disk 1 to a folder on a hard disk. Then you can use the content of that folder (Disk 1 was just a collection of files - there wasn't anything in the boot sector on it - that was all on Disk 0)
The easiest way to get Warp 3 to install (I actually just about a month or so ago had to do a fresh Warp 3 install on a modern PC - the biggest challenge was getting the boot partition correct - it can't be too large a size or else it won't boot - but it can be done) is to build an updated and bootable Warp 3 instal CD using UpdCD:
http://xenia.sote.hu/~kadzsol/rexx/sajat/updcd.htmIf you're using the all-floppy version of Warp 3, the best thing to do is boot up into Warp (version 3, 4, eCS will all work) with the XDF driver loaded in your config.sys and then each floppy can read as a standard floppy. You can then copy the floppy contents to a hard disk with the standard copy or xcopy command and build a CD install version. Somewhere I've got instructions on how to make a CD install version from the floppies, but I don't recall all the specifics right now. If needed I can try and dig that out (it is essentially the directory structure that needs to be correct, ensure that the CD drivers get loaded upon boot, and to use the version of the installer that looks to the CD instead of floppy).