can't restore

I have an XPsp2 system, AMD X2...this is a fairly new system (less than on eyear old) and I try to keep it clean running AVG and Spybot and Ad_Aware regularly. I recently acquired six maybe seven virus's. I had noticed delays in starting some programs and some programs freezing. I also noticed my dsl modem lights flickering like crazy--as if something was being downloaded. I tried to restore my system to a previous date (within a week) and upon reboot I got the message that the restore was incomplete and that my system could not be restored to an earlier date.

Then I ran AVG (which is scheduled to run weekly) and it caught and supposedly healed the virus's. But I still cannot restore my system to that earlier date (I think my system was OK then...maybe not?)

Does anyone recognize this problem and does anyone have a reasonable solution?

Additional info...Seems if I disconnect my dsl modem the computer works normally...although I am still not able to restore. (Of course I have not had the chance to test this out over a day as I write this...) But once I turn the modem on and it starts blinking like crazy it is only a matter of time before one program or another freezes up--I can open Outlook Express once or twice but maybe the third time it will not open and eventually I get an error message telling me that Outlook Express is already running...even though Outlook Express is not on the taskbar. And then most of the other desktop icons quit responding as well. Only a hard reset gets me out and back up.

And things seem really slow loading especially after the modem has been active for a little bit.


I just walked away from the computer for half an hour and when I came back I had an error message that "Generic Host Process for Win32 needed to shut down. Details were:error sig-szAppName: svchost.exe; szAppver. 5.1.2600.2180; szModname: ntdll.dll..

Rebooted and things look normal for now...

 

Have you tried System Restore in Safe Mode as Administrator?
For System Restore Issues see: http://bertk.mvps.org/

Have you tried running AVG in Safe Mode?
You do not mention Windows Defender or any other active anti-spyware program. Consider running AVG (Ewido). Download, update, and let it scan in Safe Mode: http://www.ewido.net/
Also, download Microsoft Windows Defender, Update and use it as your default anti-spyware application.
http://www.microsoft.com/athome/security/spyware/software/default.mspx