FreakWent
Your main issue:
The error you see appears to be with the base repository
There is a special procedure to follow as CentOS have moved all files to the vault due to End of Life for CentOS4.x, see
http://forums.contribs.org/index.php/topic,48424.0.htmlTry fixing yum (as per link above) and try the sme version update again and see how you go.
Report back.
I doubt that it is necessary to do the heavy handed approach (I assume reinstall), if you do the right steps one by one to resolve your problems.
Yum repos make your life much easier.
When upgrading from sme7 to 8, you should firstly check that all the contribs you use are compatible.
Do that here:
http://wiki.contribs.org/SME8.0_Contribs_QAUnfortunately no one has added info re cups.
Also checked the Howto here
http://wiki.contribs.org/Cupsand no info either.
As cups is a generic Linux software so I see no reason why it should not work with sme8.
You could search the Forums or ask in the Forums if cups is compatible with sme8, or find out yourself by installing it on a test server running sme8b7
You probably do not need to uninstall cups to upgrade to sme8.
rpm -e packagename --nodeps
will always work, but be careful using it
"You should remove packages before you update"
That means to remove incompatible packages before you upgrade from sme7 to sme8. or perhaps also includes problematic packages (for whatever reason).
You can reinstall them later when a compatible version is found or released or whatever other problems you have are resolved.
You should keep a more regular eye on the forums, so that you are up to date with recent changes or events etc. Check the Announcements section of the Forums and check the sticky posts/notes at the top of each forum, as a minimum.