The fix for this is simple. You need to grab the new deployment tools from Microsoft’s site here also referred to as the sysprep files. You will be downloading WindowsServer2003-KB892778-SP1-DeployTools-x86-ENU.cab
This file needs to be extracted on the Virtualcenter server and placed in the following folder-
All Users\Application Data\Vmware\VirtualCenter\sysprep\svr2003
Once these files exist in the correct folder, you will be able to deploy your W2K3 template.
For more details read the Virtual Center 2 Template Usages and Best Practices http://www.vmware.com/pdf/vc_2_templates_usage_best_practices_wp.pdf