If you want to use E6000 instead of epoxy, I would strongly recommend
that you get the one-ounce size tubes *and* some nozzles (which can be
used with either the one-ounce tubes or the larger 3.7 oz tubes). The
small tubes are *much* easier to hold and manipulate when gluing many
small objects. Similarly, the nozzles make an enormous difference when
attempting to place very small dabs of glue. You can get both the small
tubes and the nozzles from www.firemountaingems.com, stock numbers
H142080TL and H141582TL.

Something to be aware of is that certain adhesives will attack the
metal foil on foil-back crystals, therefore it would be very wise to
experiment first. Epoxies and E6000 are safe to use.

Another reason for using the drill press and stone setting bur method
is that you can use a computer and appropriate software (I use
Microsoft Publisher for this purpose) to lay out the design of the
initials perfectly, with black dots overlaid on the initials to show
where you'll be drilling each setting. Then print out the design and
lay it onto the box to check how it'll look and fit before drilling.

This method allows you to do the initials in fancy script or any other
type face too. When you're ready, temporarily fix the paper in place on
top of the box with rubber cement (experimenting first on a tiny area
on the bottom to be sure the rubber cement doesn't harm the lacquer)
and start drilling the settings.

Note that if you precisely control the size of the black dots, it gives
you an exact indication of how deep to drill the settings; stop just at
the point where the bur drills away the black dot. And putting a tiny
white dot in the center of each black dot gives you the precise
location to start the bur.

If you don't have a drill press, Sears sells a really nice 9" model for
only about a hundred bucks. If you do this kind of thing even
occasionally, a drill press is a very good investment.