Circle with Line through it on Start-Up, what does it mean?

I am running Snow Leopard, booted off a USB (running Snow Leopard) ran DiskWarrior and I have run Disk Utility off of the install disk that came with my mac.  My MacintoshHD is grayed out but I can still repair it and all Hardware tests came back normal. I can't boot into Safe Mode and when I try and reinstall the OS using the disk that came with my Mac the HD is not even visible.  After I rebuilt the directory with DiskWarrior I could see the contents of my HD to back some things up but the symbol keeps coming back whenever I try and start up.
Sorry for my rambling but I wanted to say everything I did.  Is my HD all done or could it be something else?  I have a Time Machine back up and don't have a problem getting a new larger HD as long as that is all I need to do.
Thanks in advance for any help.

some reading:
http://support.apple.com/kb/TS2570 
This happened to me and the drive was dying, not saying yours is, but mine did. Only time I ever saw that.

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