OK whose had problems with this? Last night Windows Update prompted me to install the above update, it said it was successful and then within minutes asked me again to install it...It seemed to be in the Windows Update equivalent of GroundHog Day grrr. Anyway for those who are still suffering, the knowledge base article doesn't help at all. I rang MS support and with their help it seems to have been sorted out. I had the same problem with my laptop and doing the following things (subset of what MS said) seemed to fix it as well:

Before I begin however, If you do the following steps it's entirely at your own risk, I take no irresponsibly:

Stop services "Automatic Updates", "Background Intelligent Transfer Service" and "Cryptographic Services"

1. Delete the contents of temp and prefetch directories. You can find them by typing %temp% under run command and then the run command gain with prefetch typed in. Explorer will start up in both cases under the target dir.
2. Rename 'SoftwareDistribution' to 'SoftwareDistributionOld' under the Windows directory and 'CatRoot2' to 'CatRoot2old 'in under the System32 folder.
3. Restart the services in point 1.

What a waste of ~3 hours!

As per title I've setup Superlist on CodePlex, this is the control we use in FeedGhost for the outlook reading style. I've been posting bug fixes on the site that people have found whilst using the control via the CodeProject article I wrote (plus some bugs I found myself). So if your looking for an Outlook style list or feeling lucky and want to contribute then head over to the site.