If you are looking to use Sysprep.exe to generalize and move a windows installation from one machine to another you may run into a problem with a machine that has been upgraded in the past. You can actually get around this hurdle by just deleting a couple registry keys and running a single command.
***Error message you get running Sysprep on a machine that was Upgraded.
To Fix:
Remove this KEY from the Registry:Computer\HKEY_LOCAL_MACHINE\SYSTEM\Setup\Upgrade
Set this REG_DWORD from the Registry:Computer\HKEY_LOCAL_MACHINE\SYSTEM\Setup\Status\SysprepStatus\CleanupState
—Set this Value to 7 (will likely be 2)
Run this command as Administrator:
Open the Command Prompt as Administrator and then run.
slmgr /dli
slmgr /dli
Thats it now when you run Sysprep.exe you will see the normal menu without any errors 
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