I'm able to run .exe files now! I used one of the regfix.inf suggested in another Winbluesoft thread and now I can run programs. I'm posting this from the infected computer.
I was able to run hijackthis. Here's the log
Logfile of Trend Micro HijackThis v2.0.2
Scan saved at 9:58:33 AM, on 6/1/2009
Platform: Windows XP SP2 (WinNT 5.01.2600)
MSIE: Internet Explorer v7.00 (7.00.5730.0013)
Boot mode: Normal
Running processes:
C:\WINDOWS\System32\smss.exe
C:\WINDOWS\system32\winlogon.exe
C:\WINDOWS\system32\services.exe
C:\WINDOWS\system32\lsass.exe
C:\WINDOWS\system32\svchost.exe
C:\WINDOWS\System32\svchost.exe
C:\WINDOWS\system32\svchost.exe
C:\WINDOWS\system32\ZoneLabs\vsmon.exe
C:\Program Files\Lavasoft\Ad-Aware\aawservice.exe
C:\WINDOWS\Explorer.EXE
C:\PROGRA~1\AVG\AVG8\avgtray.exe
C:\Program Files\Analog Devices\SoundMAX\SMax4PNP.exe
C:\Program Files\Zone Labs\ZoneAlarm\zlclient.exe
C:\Program Files\Lexmark 3100 Series\lxbrbmgr.exe
C:\PROGRA~1\LEXMAR~1\LXBRKsk.exe
C:\Program Files\dvd43\dvd43_tray.exe
C:\Program Files\Lexmark 3100 Series\lxbrbmon.exe
C:\Program Files\Logitech\MouseWare\system\em_exec.exe
C:\Program Files\Adobe\Reader 9.0\Reader\Reader_sl.exe
C:\Program Files\Lexmark 3100 Series\lxbrcmon.exe
C:\Program Files\Zune\ZuneLauncher.exe
C:\Program Files\Java\jre6\bin\jusched.exe
C:\WINDOWS\system32\LEXBCES.EXE
C:\Program Files\Spybot - Search & Destroy\TeaTimer.exe
C:\Program Files\Logitech\Desktop Messenger\8876480\Program\BackWeb-8876480.exe
C:\WINDOWS\system32\ctfmon.exe
C:\WINDOWS\system32\LEXPPS.EXE
C:\WINDOWS\system32\spoolsv.exe
C:\WINDOWS\system32\WTablet\TabUserW.exe
C:\Program Files\Common Files\Sonic Shared\cinetray.exe
C:\Program Files\Yahoo!\Widgets\YahooWidgets.exe
C:\PROGRA~1\AVG\AVG8\avgwdsvc.exe
C:\Program Files\Bonjour\mDNSResponder.exe
C:\Program Files\Java\jre6\bin\jqs.exe
C:\Program Files\Common Files\Microsoft Shared\VS7DEBUG\MDM.EXE
C:\WINDOWS\system32\nvsvc32.exe
C:\PROGRA~1\AVG\AVG8\avgrsx.exe
C:\PROGRA~1\AVG\AVG8\avgnsx.exe
C:\Program Files\Yahoo!\Widgets\YahooWidgets.exe
C:\WINDOWS\system32\PSIService.exe
C:\Program Files\Analog Devices\SoundMAX\SMAgent.exe
C:\WINDOWS\system32\svchost.exe
C:\WINDOWS\system32\Tablet.exe
c:\WINDOWS\system32\ZuneBusEnum.exe
C:\PROGRA~1\AVG\AVG8\avgemc.exe
C:\Program Files\AVG\AVG8\avgcsrvx.exe
C:\WINDOWS\System32\svchost.exe
C:\WINDOWS\system32\wuauclt.exe
C:\WINDOWS\system32\wuauclt.exe
C:\Program Files\Safari\Safari.exe
C:\Documents and Settings\Pete\Desktop\13.exe
R1 - HKLM\Software\Microsoft\Internet Explorer\Main,Default_Page_URL = http://go.microsoft.com/fwlink/?LinkId=69157
R1 - HKLM\Software\Microsoft\Internet Explorer\Main,Default_Search_URL = http://go.microsoft.com/fwlink/?LinkId=54896
R1 - HKLM\Software\Microsoft\Internet Explorer\Main,Search Page = http://go.microsoft.com/fwlink/?LinkId=54896
R0 - HKLM\Software\Microsoft\Internet Explorer\Main,Start Page = http://go.microsoft.com/fwlink/?LinkId=69157
R1 - HKCU\Software\Microsoft\Windows\CurrentVersion\Internet Settings,ProxyOverride = localhost;*.local
O2 - BHO: AcroIEHelperStub - {18DF081C-E8AD-4283-A596-FA578C2EBDC3} - C:\Program Files\Common Files\Adobe\Acrobat\ActiveX\AcroIEHelperShim.dll
O2 - BHO: WormRadar.com IESiteBlocker.NavFilter - {3CA2F312-6F6E-4B53-A66E-4E65E497C8C0} - C:\Program Files\AVG\AVG8\avgssie.dll
O2 - BHO: Java(tm) Plug-In 2 SSV Helper - {DBC80044-A445-435b-BC74-9C25C1C588A9} - C:\Program Files\Java\jre6\bin\jp2ssv.dll
O2 - BHO: JQSIEStartDetectorImpl - {E7E6F031-17CE-4C07-BC86-EABFE594F69C} - C:\Program Files\Java\jre6\lib\deploy\jqs\ie\jqs_plugin.dll
O4 - HKLM\..\Run: [AVG8_TRAY] C:\PROGRA~1\AVG\AVG8\avgtray.exe
O4 - HKLM\..\Run: [SoundMAXPnP] C:\Program Files\Analog Devices\SoundMAX\SMax4PNP.exe
O4 - HKLM\..\Run: [SoundMAX] "C:\Program Files\Analog Devices\SoundMAX\Smax4.exe" /tray
O4 - HKLM\..\Run: [ZoneAlarm Client] "C:\Program Files\Zone Labs\ZoneAlarm\zlclient.exe"
O4 - HKLM\..\Run: [zBrowser Launcher] C:\Program Files\Logitech\iTouch\iTouch.exe
O4 - HKLM\..\Run: [Logitech Utility] Logi_MwX.Exe
O4 - HKLM\..\Run: [Lexmark 3100 Series] "C:\Program Files\Lexmark 3100 Series\lxbrbmgr.exe"
O4 - HKLM\..\Run: [LXBRKsk] C:\PROGRA~1\LEXMAR~1\LXBRKsk.exe
O4 - HKLM\..\Run: [dvd43] C:\Program Files\dvd43\dvd43_tray.exe
O4 - HKLM\..\Run: [NvCplDaemon] RUNDLL32.EXE C:\WINDOWS\system32\NvCpl.dll,NvStartup
O4 - HKLM\..\Run: [nwiz] nwiz.exe /install
O4 - HKLM\..\Run: [NvMediaCenter] RUNDLL32.EXE C:\WINDOWS\system32\NvMcTray.dll,NvTaskbarInit
O4 - HKLM\..\Run: [Adobe Reader Speed Launcher] "C:\Program Files\Adobe\Reader 9.0\Reader\Reader_sl.exe"
O4 - HKLM\..\Run: [Zune Launcher] "c:\Program Files\Zune\ZuneLauncher.exe"
O4 - HKLM\..\Run: [SunJavaUpdateSched] "C:\Program Files\Java\jre6\bin\jusched.exe"
O4 - HKLM\..\Run: [KernelFaultCheck] %systemroot%\system32\dumprep 0 -k
O4 - HKCU\..\Run: [SpybotSD TeaTimer] C:\Program Files\Spybot - Search & Destroy\TeaTimer.exe
O4 - HKCU\..\Run: [LDM] C:\Program Files\Logitech\Desktop Messenger\8876480\Program\BackWeb-8876480.exe
O4 - HKCU\..\Run: [ctfmon.exe] C:\WINDOWS\system32\ctfmon.exe
O4 - HKCU\..\Run: [Steam] "C:\Program Files\Valve\Steam\Steam.exe" -silent
O4 - HKUS\S-1-5-18\..\Run: [setup2.exe] C:\WINDOWS\system32\setup2.exe (User 'SYSTEM')
O4 - HKUS\.DEFAULT\..\Run: [setup2.exe] C:\WINDOWS\system32\setup2.exe (User 'Default user')
O4 - Startup: Sonic CinePlayer Quick Launch.lnk = ?
O4 - Startup: Yahoo! Widgets.lnk = C:\Program Files\Yahoo!\Widgets\YahooWidgets.exe
O4 - Global Startup: Logitech Desktop Messenger.lnk = C:\Program Files\Logitech\Desktop Messenger\8876480\Program\LDMConf.exe
O4 - Global Startup: Post-it
Software Notes Lite.lnk = C:\Program Files\3M\PSNLite\PsnLite.exe
O4 - Global Startup: TabUserW.exe.lnk = C:\WINDOWS\system32\WTablet\TabUserW.exe
O8 - Extra context menu item: E&xport to Microsoft Excel - res://C:\PROGRA~1\MICROS~4\OFFICE11\EXCEL.EXE/3000
O9 - Extra button: Bonjour - {7F9DB11C-E358-4ca6-A83D-ACC663939424} - C:\Program Files\Bonjour\ExplorerPlugin.dll
O9 - Extra button: Research - {92780B25-18CC-41C8-B9BE-3C9C571A8263} - C:\PROGRA~1\MICROS~4\OFFICE11\REFIEBAR.DLL
O9 - Extra button: (no name) - {B205A35E-1FC4-4CE3-818B-899DBBB3388C} - C:\Program Files\Common Files\Microsoft Shared\Encarta Search Bar\ENCSBAR.DLL
O9 - Extra button: Messenger - {FB5F1910-F110-11d2-BB9E-00C04F795683} - C:\Program Files\Messenger\msmsgs.exe
O9 - Extra 'Tools' menuitem: Windows Messenger - {FB5F1910-F110-11d2-BB9E-00C04F795683} - C:\Program Files\Messenger\msmsgs.exe
O16 - DPF: {30528230-99f7-4bb4-88d8-fa1d4f56a2ab} (Installation Support) - C:\Program Files\Yahoo!\Common\Yinsthelper.dll
O18 - Protocol: linkscanner - {F274614C-63F8-47D5-A4D1-FBDDE494F8D1} - C:\Program Files\AVG\AVG8\avgpp.dll
O18 - Protocol: skype4com - {FFC8B962-9B40-4DFF-9458-1830C7DD7F5D} - C:\PROGRA~1\COMMON~1\Skype\SKYPE4~1.DLL
O20 - Winlogon Notify: avgrsstarter - C:\WINDOWS\SYSTEM32\avgrsstx.dll
O23 - Service: Lavasoft Ad-Aware Service (aawservice) - Lavasoft - C:\Program Files\Lavasoft\Ad-Aware\aawservice.exe
O23 - Service: AVG Free8 E-mail Scanner (avg8emc) - AVG Technologies CZ, s.r.o. - C:\PROGRA~1\AVG\AVG8\avgemc.exe
O23 - Service: AVG Free8 WatchDog (avg8wd) - AVG Technologies CZ, s.r.o. - C:\PROGRA~1\AVG\AVG8\avgwdsvc.exe
O23 - Service: Bonjour Service - Apple Inc. - C:\Program Files\Bonjour\mDNSResponder.exe
O23 - Service: FLEXnet Licensing Service - Macrovision Europe Ltd. - C:\Program Files\Common Files\Macrovision Shared\FLEXnet Publisher\FNPLicensingService.exe
O23 - Service: Java Quick Starter (JavaQuickStarterService) - Sun Microsystems, Inc. - C:\Program Files\Java\jre6\bin\jqs.exe
O23 - Service: LexBce Server (LexBceS) - Lexmark International, Inc. - C:\WINDOWS\system32\LEXBCES.EXE
O23 - Service: NVIDIA Display Driver Service (NVSvc) - NVIDIA Corporation - C:\WINDOWS\system32\nvsvc32.exe
O23 - Service: ProtexisLicensing - Unknown owner - C:\WINDOWS\system32\PSIService.exe
O23 - Service: SoundMAX Agent Service (SoundMAX Agent Service (default)) - Analog Devices, Inc. - C:\Program Files\Analog Devices\SoundMAX\SMAgent.exe
O23 - Service: TabletService - Wacom Technology, Corp. - C:\WINDOWS\system32\Tablet.exe
O23 - Service: TrueVector Internet Monitor (vsmon) - Zone Labs, LLC - C:\WINDOWS\system32\ZoneLabs\vsmon.exe
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