UPDATE:

Burned a DVD of LION. Couldn't be simpler than this.

1. Go to APPLICATIONS FOLDER and find icon named INSTALL MAC OSX LION;

2. Left-click to highlight and Right-click on icon;

3. Select BURN TO DISC (used a Memorex DVD+RDL blank disc);

Insert disc and away you go. Took about 7 minutes to burn.

4. Ejected disc . . . inserted again to test. Typical procedure instructions appeared. Looks like it would work (if I wished to continue installing).

TA! DA!

laugh