Cygwin Bash problems

For me, cygwin bash takes a long time (5 secs?) to start up. It then comes up with a message saying

Your group is currently "mkpasswd". This indicates that the /etc/passwd (and possibly /etc/group) files should be rebuilt.....

Also, running xterm says

Xt error: can't open display; xterm: DISPLAY is not set.

Also it can't seem to find tcsh.

Will definitely need to play with this setup some more.