Macbook Air 2011 Stuck on grey screen

Hello All,
I have a 2011 Macbook air running 10.8.1 which won't successfully boot up. I press the power button, (i have to hold it a long time) and then it goes to a grey screen with an apple logo and a slowly filling status bar. Once the bar fills up after about 15-30 minutes, the computer turns off. Has happened maybe 10 times, always the same result.
I tried booting in repair mode, and I decided to reinstall OSX. The software said it would verify my computer with Apple. Despite having a completely legit computer purchased from an apple store, it says there is an error and I should try again. Again I've tried many times, and each time it won't let me reinstall OSX.
I reset the PRAM but it didn't make a difference.
What should I do to reinstall OSX or at least get the computer to a desktop again?
Thanks!
P.S.
If it helps, this is a link to an old discussion which was dealing with my computers previous issue of running merely very slow.  Since this is a different problem (I can't even get it to turn on) I created a new discussion. 
https://discussions.apple.com/thread/4386839

Take this Mac to a local Apple Store (make a genius bar apointment first) and they can boot off ethernet and run a program called "MRI" which will run a bunch of tests quickly without loading OS X. This can pinpoint if there is a hardware, RAM or disk problem.

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