Did you get bitten by the Win7 SP1, be careful

There is a lot of bad advice floating around the Internet about how to recover from the faulty SP1 install for Windows 7, please read this TECHNET ARTICLE before trying any of them. Of course if you have the option to restore an image from the day before via WHS, ShadowProtect or some other imaging tool that is your best option.

UPDATE FROM MS http://blogs.technet.com/b/joscon/archive/2011/03/16/new-information-on-error-code-0xc0000034.aspx