Internet Explorer won't run

I'm helping out a friend by cleaning up his computer - it was overrun by various spyware, adware, trojans, etc. As a result, Internet Explorer wouldn't run. I believe I've got most of the malware, but even after I reinstall Internet Explorer and get it working, it gets infected/corrupted/something a few reboots later and won't run again. Plus, perhaps due to the same source, I'm getting popup ads every now and then while using Firefox. The only entry that looks suspicious to me is "O4 - HKLM\..\Run: [winsync] C:\WINDOWS\system32\lxdsd4.exe reg_run", which I've deleted numerous times but reappears after every reboot. I have no idea what could be downloading/generating/etc it (timestamp changes when I reboot). Anyway, below is the log; I hope someone can help my friend and I. Logfile of HijackThis v1.99.1 Scan saved at 11:15:56 PM, on 9/23/2005 Platform: Windows XP SP2 (WinNT 5.01.2600) MSIE: Internet Explorer v6.00 SP2 (6.00.2900.2180) 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\Explorer.EXE C:\Program Files\Real\RealPlayer\RealPlay.exe C:\Program Files\Network Associates\VirusScan\SHSTAT.EXE C:\Program Files\Network Associates\Common Framework\UpdaterUI.exe C:\Program Files\Common Files\Network Associates\TalkBack\TBMon.exe C:\Program Files\Common Files\Acronis\Schedule2\schedhlp.exe C:\WINDOWS\system32\RunDll32.exe C:\Program Files\Messenger\msmsgs.exe C:\Program Files\America Online 9.0\aoltray.exe C:\Program Files\Common Files\Acronis\Schedule2\schedul2.exe C:\PROGRA~1\COMMON~1\AOL\ACS\acsd.exe C:\Program Files\Network Associates\Common Framework\FrameworkService.exe C:\Program Files\Network Associates\VirusScan\Mcshield.exe C:\Program Files\Network Associates\VirusScan\VsTskMgr.exe C:\WINDOWS\system32\pctspk.exe C:\Program Files\AOL COMPANION\COMPANION.EXE C:\WINDOWS\wanmpsvc.exe C:\WINDOWS\system32\wuauclt.exe C:\Program Files\Mozilla Firefox\firefox.exe C:\Program Files\hijackthis\HijackThis.exe O2 - BHO: Acronis Popup Blocker - {E24AD748-155E-4254-B674-4EDF86E7E1DF} - C:\PROGRA~1\Acronis\PRIVAC~1\POP-UP~1.DLL O4 - HKLM\..\Run: [RealTray] C:\Program Files\Real\RealPlayer\RealPlay.exe SYSTEMBOOTHIDEPLAYER O4 - HKLM\..\Run: [QuickTime Task] "C:\Program Files\QuickTime\qttask.exe" -atboottime O4 - HKLM\..\Run: [ShStatEXE] "C:\Program Files\Network Associates\VirusScan\SHSTAT.EXE" /STANDALONE O4 - HKLM\..\Run: [McAfeeUpdaterUI] "C:\Program Files\Network Associates\Common Framework\UpdaterUI.exe" /StartedFromRunKey O4 - HKLM\..\Run: [Network Associates Error Reporting Service] "C:\Program Files\Common Files\Network Associates\TalkBack\TBMon.exe" O4 - HKLM\..\Run: [Acronis Scheduler2 Service] C:\Program Files\Common Files\Acronis\Schedule2\schedhlp.exe O4 - HKLM\..\Run: [Acronis Popup Blocker] RunDll32.exe C:\PROGRA~1\Acronis\PRIVAC~1\POP-UP~1.DLL,Run O4 - HKLM\..\Run: [winsync] C:\WINDOWS\system32\lxdsd4.exe reg_run O4 - HKCU\..\Run: [MSMSGS] "C:\Program Files\Messenger\msmsgs.exe" /background O4 - Global Startup: Adobe Gamma Loader.lnk = C:\Program Files\Common Files\Adobe\Calibration\Adobe Gamma Loader.exe O4 - Global Startup: America Online 9.0 Tray Icon.lnk = C:\Program Files\America Online 9.0\aoltray.exe O4 - Global Startup: Microsoft Office.lnk = C:\Program Files\Microsoft Office\Office10\OSA.EXE O8 - Extra context menu item: E&xport to Microsoft Excel - res://C:\PROGRA~1\MICROS~2\Office10\EXCEL.EXE/3000 O9 - Extra button: Acronis Pop-up Blocker - {2E071ADC-ADF8-4b4b-8ACB-EDC49E6D45A2} - C:\PROGRA~1\Acronis\PRIVAC~1\POP-UP~1.DLL O9 - Extra 'Tools' menuitem: Acronis Pop-up Blocker - {2E071ADC-ADF8-4b4b-8ACB-EDC49E6D45A2} - C:\PROGRA~1\Acronis\PRIVAC~1\POP-UP~1.DLL O9 - Extra button: Real.com - {CD67F990-D8E9-11d2-98FE-00C0F0318AFE} - C:\WINDOWS\System32\Shdocvw.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 O12 - Plugin for .spop: C:\Program Files\Internet Explorer\Plugins\NPDocBox.dll O23 - Service: Acronis Scheduler2 Service (AcrSch2Svc) - Acronis - C:\Program Files\Common Files\Acronis\Schedule2\schedul2.exe O23 - Service: AOL Connectivity Service (AOL ACS) - America Online, Inc. - C:\PROGRA~1\COMMON~1\AOL\ACS\acsd.exe O23 - Service: McAfee Framework Service (McAfeeFramework) - Network Associates, Inc. - C:\Program Files\Network Associates\Common Framework\FrameworkService.exe O23 - Service: Network Associates McShield (McShield) - Network Associates, Inc. - C:\Program Files\Network Associates\VirusScan\Mcshield.exe O23 - Service: Network Associates Task Manager (McTaskManager) - Network Associates, Inc. - C:\Program Files\Network Associates\VirusScan\VsTskMgr.exe O23 - Service: PCTEL Speaker Phone (Pctspk) - PCtel, Inc. - C:\WINDOWS\system32\pctspk.exe O23 - Service: WAN Miniport (ATW) Service (WANMiniportService) - America Online, Inc. - C:\WINDOWS\wanmpsvc.exe