Looking forward to seeing what you come up with on that Launcher.
About the .CUT files though, I haven't been able to get them to work.
3. Now we set up a bookmark, I've used the PMIII skin in XBMC as it's more straightforward. To enable bookmarks, go to settings/skin settings/bookmarks and 'enable bookmark buttons'. Create a new bookmark under 'programs' named 'neo-geo' and 'enable it'. Now, when you return to the programs section of XBMC you'll see your new bookmark displayed.
4. Now we add a source for the bookmark. Click your new 'neo-geo' bookmark and scroll down to 'add source' browse for the folder where you saved your .cut file (F:\games\neogeo\) and XBMC will scan that directory for all your .cut files. A new source named 'neo-geo' will now appear under your new bookmark and when you click this, you should see your new shortcut displayed.
I can't figure out how to do step 3 here, so I can't do step 4 either......