Fungus in soil (?) stunts my rose....at least I think

 

I have a rose that just won't grow. I dug it up today and there is a whiteish
substance in the soil.

See photos:

http://yfrog.com/6qdscn0012aj  

http://yfrog.com/aqdscn0013j  

I have no idea of what this is, but it doesn't look helpful. Any ideas about it
is and what to do when I encounter it in the future.

thanks

elfa

 

I can see long brownish spot on the stem (??)
have a look at those pictures of different desease of roses and look
if you see similar symptoms
http://www.picsearch.com/pictures/home%20living/gardening/rose%20diseases.html

ewa