>1. From the command prompt, use the OSQL utility to run the Instpubs.sql
> script. This drops the existing pubs database, creates a new one, and
> defines all the objects in the database.

On my machine,

osql -SmyMachine\msdesp1 -E -ic:\temp\instpubs.sql

>I have neither Pubimage.bat nor Pubtext.bat on my PC. Any idea where I can get these
>files?

I don't know, but pubs seems to be created all right without the bat files. Just checked it on mine, and I didn't get any errors checking out the tables in pubs.