Your lilo.conf seems to be missing the boot entry to boot FC1.
This is what my lilo.conf looks like:
--- begin lilo.conf boot=/dev/hda prompt timeout=100 message=/boot/message root=/dev/hdb3 vga=791
other=/dev/hda1 label=Windows98 ---end
This is what lilo.conf could look like:
prompt timeout=100 default=2.4.22-1.2115 boot=/dev/hda map=/boot/map install=/boot/boot.b message=/boot/message vga=0x317
image=/boot/vmlinuz-2.4.22-1.2115.nptl label=2.4.22-1.2115 append="root=LABEL=/" read-only initrd=/boot/initrd-2.4.22-1.2115.nptl.img
other=/dev/hda1 label=Windows98
the first entry is to boot FC1, which is made default. If you would like Windows to be the default, replace default=2.4.22-1.2115 with default=Windows98. Make sure /boot/vmlinuz-2.4.22-1.2115.nptl and /boot/initrd-2.4.22-1.2115.nptl.img are in place and that your Root-filesystem is labeled correctly. To check that use: e2label /dev/hdaX where X is the number of your root-partition.
If unsure, you could make a backup of your MBR with
dd if=/dev/sda of=bootsek_backup bs=512 count=1
before calling lilo to write the new MBR.
I would recommend to use grub instead of lilo as grub is a great improvement against lilo.
Andre