You can install knoppix.
As far as drivers for your modem, what modem do you have.
Post the model and chipset and ill see what I can dig up for you.
There shouldn't be any issues getting things up and running.
I would suggest you set up ICS on the Win 98 box and then use a crossover to connect the 2 machines and then you wont need to worry about getting that modem running or any other networking equpiment if you dont have it around.
As far as ICS on the linux box, you can set that up, but you will need to get then modem working then set it up.
There is a great PET over on linuxjunior detailing it.
http://www.linuxjunior.org/cgi-bin/p...T=Display&id=2
It takes a bit of work, but if you dont have a NIC in the linux box or want to give it a shot, it should work.