ah I found someone with the same problem on this thread:
http://p2p.wrox.com/topic.asp?TOPIC_ID=14743
What Elizabeth replied worked fine :x Thx for that. Just incase anyone else has the same problem I'll paste her post here:
At the C:\> prompt, type:
c:\> c:\mysql\bin\mysql mysql -u root
(This is a change in the newer versions of mysql.) Now you can continue and Delete the default users, and set the pass for the root. Another change you will encounter is in #3 after deleting the user, you now need to type:
c:\> c:\mysql\bin\mysqladmin -u root reload
Again, this is a change for the newer versions of mysql and will be addressed in the second edition of the book.
Hope that helps.
-Elizabeth Naramore
D r a c o