Avoid reinstalling the OS so I tried removing exchange manually.
- Run setup /m:uninstall
 - Stop and disable all the Exchange 2007 services
 - Use Registry Editor (Start->Run->Regedit) to      remove these Exchange related registry keys: 
 - HKLM\SOFTWARE\Microsoft\Exchange
 - HKLM\SYSTEM\CurrentControlSet\Services\MSExchange*       (all the keys starting with “MSExchange”)
 - HKLM\SOFTWARE\Microsoft\Windows\CurrentVersion\Uninstall\Microsoft       Exchange
 - Remove the entire Web Server role (don’t forget to      reinstall afterwards as it’s a prerequisite for E2K7!)
 - Remove the Exchange 2007 server from Active Directory.      I ended up deleting the entire “Microsoft Exchange” branch from ADSIEdit      (Configuration Container > Services > Microsoft Exchange) as my Org      only counts one server.
 - Use Windows Explorer to delete: 
 - C:\Program Files\Microsoft\Exchange Server
 - C:\ExchangeSetupLogs
 - Use Windows Installer CleanUp Utility to remove all the exchange related info from the      installer database.
 - Remove the security groups created by Exchange setup      from AD
 
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