System Security Virus - help - hijack this scan attached

My in-laws laptop appears to have been bitten by the System Security Virus. Following the lead of other posts here, I have renamed hijack this to winlogon and ran a scan. Below is the log. Looking for direction on how to proceed.

Logfile of Trend Micro HijackThis v2.0.2
Scan saved at 10:07:01 AM, on 7/6/2009
Platform: Windows XP SP2 (WinNT 5.01.2600)
MSIE: Internet Explorer v7.00 (7.00.6000.16850)
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\spoolsv.exe
C:\WINDOWS\system32\svchost.exe
C:\WINDOWS\Explorer.EXE
C:\Program Files\Internet Explorer\Iexplore.exe
C:\WINDOWS\system32\ctfmon.exe
C:\Documents and Settings\All Users\Application Data\10084064\10084064.exe
C:\Documents and Settings\Pat\Desktop\winlogon.exe

R1 - HKCU\Software\Microsoft\Internet Explorer\Main,Default_Page_URL = www.google.com/ig/dell?hl=en&client=dell-usuk&channel=us&ibd=4061121
R0 - HKCU\Software\Microsoft\Internet Explorer\Main,Start Page = http://www.yahoo.com/
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 - HKLM\Software\Microsoft\Internet Explorer\Search,Default_Page_URL = www.google.com/ig/dell?hl=en&client=dell-usuk&channel=us&ibd=4061121
R1 - HKCU\Software\Microsoft\Internet Connection Wizard,ShellNext = http://www.walmart.com/
F3 - REG:win.ini: load=C:\WINDOWS\system32\mseizf.exe
F3 - REG:win.ini: run=C:\WINDOWS\system32\msuwuha.exe
O2 - BHO: C:\WINDOWS\system32\gsf83iujid.dll - {d76ab2a1-00f3-42bd-f434-00bbc39c8953} - C:\WINDOWS\system32\gsf83iujid.dll
O3 - Toolbar: Google Toolbar - {2318C2B1-4965-11d4-9B18-009027A5CD4F} - C:\Program Files\Google\Google Toolbar\GoogleToolbar.dll
O4 - HKLM\..\Run: [igfxtray] C:\WINDOWS\system32\igfxtray.exe
O4 - HKLM\..\Run: [igfxhkcmd] C:\WINDOWS\system32\hkcmd.exe
O4 - HKLM\..\Run: [igfxpers] C:\WINDOWS\system32\igfxpers.exe
O4 - HKLM\..\Run: [SynTPEnh] C:\Program Files\Synaptics\SynTP\SynTPEnh.exe
O4 - HKLM\..\Run: [Broadcom Wireless Manager UI] C:\WINDOWS\system32\WLTRAY.exe
O4 - HKLM\..\Run: [SigmatelSysTrayApp] stsystra.exe
O4 - HKLM\..\Run: [Dell QuickSet] C:\Program Files\Dell\QuickSet\quickset.exe
O4 - HKLM\..\Run: [DVDLauncher] "C:\Program Files\CyberLink\PowerDVD\DVDLauncher.exe"
O4 - HKLM\..\Run: [dla] C:\WINDOWS\system32\dla\tfswctrl.exe
O4 - HKLM\..\Run: [ISUSPM Startup] C:\PROGRA~1\COMMON~1\INSTAL~1\UPDATE~1\ISUSPM.exe -startup
O4 - HKLM\..\Run: [ISUSScheduler] "C:\Program Files\Common Files\InstallShield\UpdateService\issch.exe" -start
O4 - HKLM\..\Run: [pccguide.exe] "C:\Program Files\Trend Micro\Internet Security 12\pccguide.exe"
O4 - HKLM\..\Run: [Google Desktop Search] "C:\Program Files\Google\Google Desktop Search\GoogleDesktop.exe" /startup
O4 - HKLM\..\Run: [QuickTime Task] "C:\Program Files\QuickTime\qttask.exe" -atboottime
O4 - HKLM\..\Run: [sysldtray] C:\windows\ld12.exe
O4 - HKLM\..\Run: [reader_s] C:\WINDOWS\System32\reader_s.exe
O4 - HKLM\..\Run: [10084064] C:\Documents and Settings\All Users\Application Data\10084064\10084064.exe
O4 - HKLM\..\Run: [KernelFaultCheck] %systemroot%\system32\dumprep 0 -k
O4 - HKCU\..\Run: [ModemOnHold] C:\Program Files\NetWaiting\netWaiting.exe
O4 - HKCU\..\Run: [OE_OEM] "C:\Program Files\Trend Micro\Internet Security 12\TMAS_OE\TMAS_OEMon.exe"
O4 - HKCU\..\Run: [DellSupport] "C:\Program Files\Dell Support\DSAgnt.exe" /startup
O4 - HKCU\..\Run: [ctfmon.exe] C:\WINDOWS\system32\ctfmon.exe
O4 - HKCU\..\Run: [swg] C:\Program Files\Google\GoogleToolbarNotifier\GoogleToolbarNotifier.exe
O4 - HKCU\..\Run: [MSMSGS] "C:\Program Files\Messenger\msmsgs.exe" /background
O4 - HKCU\..\Run: [zsd58m5wehf5wy] C:\DOCUME~1\Pat\LOCALS~1\Temp\zjhufhdfe.exe
O4 - HKCU\..\Run: [hsf7husjnfg98gi498aejhiugjkdg4] C:\DOCUME~1\Pat\LOCALS~1\Temp\xt26omfnwj.exe
O4 - HKCU\..\Run: [A00FE19DD.exe] C:\DOCUME~1\Pat\LOCALS~1\Temp\_A00FE19DD.exe
O4 - HKCU\..\Run: [] C:\DOCUME~1\Pat\LOCALS~1\Temp\xt26omfnwj.exe
O4 - HKCU\..\Run: [Windows System Recover!] C:\DOCUME~1\Pat\LOCALS~1\Temp\system.exe
O4 - HKCU\..\Run: [LowRiskFileTypes] C:\WINDOWS\sysguard.exe
O4 - HKCU\..\Run: [12CFG515-K641-55SF-N66P] C:\RECYCLER\S-1-5-21-0243636035-3055115376-381863306-1556\pqlmq.exe
O4 - HKCU\..\Run: [reader_s] C:\Documents and Settings\Pat\reader_s.exe
O4 - HKCU\..\Run: [A00FF10CF.exe] C:\DOCUME~1\Pat\LOCALS~1\Temp\_A00FF10CF.exe
O4 - HKLM\..\Policies\Explorer\Run: [exec] C:\WINDOWS\system32\mspkuxna.exe
O4 - Global Startup: Adobe Reader Speed Launch.lnk = C:\Program Files\Adobe\Acrobat 7.0\Reader\reader_sl.exe
O4 - Global Startup: Digital Line Detect.lnk = ?
O4 - Global Startup: hp psc 1000 series.lnk = ?
O4 - Global Startup: hpoddt01.exe.lnk = ?
O4 - Global Startup: Service Manager.lnk = C:\Program Files\Microsoft SQL Server\80\Tools\Binn\sqlmangr.exe
O7 - HKCU\Software\Microsoft\Windows\CurrentVersion\Policies\System, DisableRegedit=1
O8 - Extra context menu item: E&xport to Microsoft Excel - res://C:\PROGRA~1\MI1933~1\OFFICE11\EXCEL.EXE/3000
O9 - Extra button: (no name) - {08B0E5C0-4FCB-11CF-AAA5-00401C608501} - C:\Program Files\Java\jre1.5.0_06\bin\ssv.dll
O9 - Extra 'Tools' menuitem: Sun Java Console - {08B0E5C0-4FCB-11CF-AAA5-00401C608501} - C:\Program Files\Java\jre1.5.0_06\bin\ssv.dll
O9 - Extra button: Research - {92780B25-18CC-41C8-B9BE-3C9C571A8263} - C:\PROGRA~1\MI1933~1\OFFICE11\REFIEBAR.DLL
O9 - Extra button: Real.com - {CD67F990-D8E9-11d2-98FE-00C0F0318AFE} - C:\WINDOWS\system32\Shdocvw.dll
O9 - Extra button: (no name) - {e2e2dd38-d088-4134-82b7-f2ba38496583} - C:\WINDOWS\Network Diagnostic\xpnetdiag.exe
O9 - Extra 'Tools' menuitem: @xpsp3res.dll,-20001 - {e2e2dd38-d088-4134-82b7-f2ba38496583} - C:\WINDOWS\Network Diagnostic\xpnetdiag.exe
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
O15 - Trusted Zone: *.bilbreyhyllalaw.com (HKLM)
O15 - Trusted Zone: *.bilbreylawoffice.com (HKLM)
O15 - Trusted Zone: *.bilbreylawoffices.com (HKLM)
O16 - DPF: {406B5949-7190-4245-91A9-30A17DE16AD0} (Snapfish Activia) - http://photo2.walgreens.com/WalgreensActivia.cab
O16 - DPF: {549F957E-2F89-11D6-8CFE-00C04F52B225} (CMV5 Class) - http://coupons.smartsource.com/download/cscmv5X.cab
O16 - DPF: {7584C670-2274-4EFB-B00B-D6AABA6D3850} (Microsoft RDP Client Control (redist)) - https://access.bilbreylawoffice.com/Remote/msrdp.cab
O18 - Filter: x-sdch - {B1759355-3EEC-4C1E-B0F1-B719FE26E377} - C:\Program Files\Google\Google Toolbar\Component\fastsearch_A8904FB862BD9564.dll
O20 - AppInit_DLLs: ,C:\DOCUME~1\Pat\LOCALS~1\Temp\1019562441mxx.dll
O20 - Winlogon Notify: __c00B1784 - C:\WINDOWS\system32\__c00B1784.dat
O22 - SharedTaskScheduler: rtasgvfu76ew8ndkfno94 - {D76AB2A1-00F3-42BD-F434-00BBC39C8953} - C:\WINDOWS\system32\gsf83iujid.dll
O23 - Service: AOL Connectivity Service (AOL ACS) - America Online, Inc. - C:\PROGRA~1\COMMON~1\AOL\ACS\AOLacsd.exe
O23 - Service: avast!antivirus - Unknown owner - C:\WINDOWS\System32\avast!Antivirus.exe
O23 - Service: Background Intelligent Transfer Service (BITS) - Unknown owner - C:\WINDOWS\
O23 - Service: Google Desktop Manager 5.7.806.10245 (GoogleDesktopManager-061008-081103) - Google - C:\Program Files\Google\Google Desktop Search\GoogleDesktop.exe
O23 - Service: Google Software Updater (gusvc) - Google - C:\Program Files\Google\Common\Google Updater\GoogleUpdaterService.exe
O23 - Service: Intuit Update Service (IntuitUpdateService) - Intuit Inc. - C:\Program Files\Common Files\Intuit\Update Service\IntuitUpdateService.exe
O23 - Service: Trend Micro Central Control Component (PcCtlCom) - Trend Micro Incorporated. - C:\PROGRA~1\TRENDM~1\INTERN~1\PcCtlCom.exe
O23 - Service: Trend Micro Real-time Service (Tmntsrv) - Trend Micro Incorporated. - C:\PROGRA~1\TRENDM~1\INTERN~1\Tmntsrv.exe
O23 - Service: Trend Micro Personal Firewall (TmPfw) - Trend Micro Inc. - C:\PROGRA~1\TRENDM~1\INTERN~1\TmPfw.exe
O23 - Service: Trend Micro Proxy Service (tmproxy) - Trend Micro Inc. - C:\PROGRA~1\TRENDM~1\INTERN~1\tmproxy.exe
O23 - Service: Automatic Updates (wuauserv) - Unknown owner - C:\WINDOWS\

--
End of file - 8580 bytes

I'm afraid I have bad news.

Your system is infected with a polymorphic file infector called Virut. Virut is capable of infecting all the machine's executable files (.exe) and screensaver files (.scr). However, the problem is that the virus has a number of bugs in its code, and as a result, it may misinfect a proportion of executable files and therefore, the files are corrupted beyond repair. As of now, security experts suggest that a format and clean install, or destructive recovery if you have an OEM recovery partition, is the best way to clean the infection and it is the best and safest way to return the machine to its normal working state.

Backup all your documents and important items (personal data, work documents, etc) only. DO NOT backup any executable files (softwares) and screensavers (*.scr). It attempts to infect any accessed .exe or .scr files by appending itself to the executable.

Also, avoid backing up compressed files (zip/cab/rar) files that have .exe or .scr files inside them. Virut can penetrate and infect .exe files inside compressed files too.

Recent variants also modify htm, html, asp and php files.

Do not back up to another machine, as it may become compromised. Burn to DVD/CD, or to an external drive which has nothing else on it, and which you can format should it happen to become infected from the backups.


For more information, please see Here

Instructions how to format and reinstall Windows can be found Here