Acer desktop won't boot hard-drive

At the beginning it would be stuck on the windows screen so I tried to recover it using the system options on the recovery menu (not the recovery disk), but it ran into an error involving a file from my avg antivirus which was somehow preventing it from continuing. So I re-booted but then it got stuck on AmericanTrends BIOS screen with it recognizing all the devices and an option to press f1 to continue, which did not work. So then after hours of digging through hundreds of cd's I found the recovery disks (which are in perfect condition). After the recovery process had read all the disks it got tuck on "please wait a moment" for 12 hours. Now I noticed something odd on the American Megatrends screen, after scanning the ports AHCI 1 and 4 it displayed:
AHCI Port 1 WDC WD5000AAS-22V1A0 05.01D05
S.M.A.R.T. Capable and Status BAD
Port 4 is he disk drive which simply seems to state what it is and since the booting of the recovery disk wen smoothly I am seriously thinking that my hard drive is finished.
I have shut it off and now I have absolutely no idea what to do from here, please help.
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More about acer desktop boot hard drive
  1. "S.M.A.R.T. Capable and Status BAD" indicates the hard drive is failing or has failed.
  2. bodeen2012 said:
    "S.M.A.R.T. Capable and Status BAD" indicates the hard drive is failing or has failed.
    Alright then is there a way to save my files? also would the recovery disk work on a different hard drive, if so would it work on a usb external hard drive and furthermore, if so how do I do this? I tried to use my external but couldn't get the comp to recognize it.
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