Won't start up, shows freaky blue screen

Hey everyone, I'm brand new here and this is my first post. I frequent Mac Forums just to browse and see what's going on, but never posted.

Long story short.. I've got an an ancient 867 MHz 12" Powerbook that I bought in college. Since graduating I only ever use it for home stuff- surfing, watching DVDs, charging my iPod, small tasks. I should also mention that the battery wouldn't hold a charge so I bought a brand new OEM battery off eBay, works great. The other day I started it up and it took forever, just a blank white screen with no apple logo. When it did finally show something, I got this screen (see pic). I'm guessing this is a bad thing. Can anyone tell me what my next steps should be?

Thanks! /J

Reload OS?

Looks like a Kernel Panic.

Resolve startup issues and perform disk maintenance with Disk Utility and fsck

http://docs.info.apple.com/article.html?artnum=106464

It says, "System Failure: cpu=0" I don't know what that means, I'm just pointing it out