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Help! Fatal System Error when trying to rid malware

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sjn2009:
I was following all the steps for removing malware and than posting in the stickied post. I got all the way finished with a SAS Full Scan and after about 20 seconds of the quarantine process starting I hear my computer make an almost grinding sound than pop up with a blue screen saying the following in white letters:
STOP: c000021a {Fatal System Error}
The Windows Logon Process system process terminated unexpectedly with a status of (0x00000000 0x00000000).
The system has been shut down.



^^ Never had this happen before. In the scan it had found 186 threats, 101 of them registry, and ever rebooting my computer from that fatal error screen I got a bunch of pop ups from AOL security trying to say iexplorer.exe is trying to gain access to the internet. None of this has EVER happened before.

The viruses found mentioned a lot of websearch, vundo, trojan, etc.


What can I do to contine the removal process?

Also this entire time I've been typing and while I was running the scan I have a message box that won't go away. It read:
Server Busy     [?][X]
this action cannot be completed because the other program is busy. Choose "Switch To" to activate the busy program and correct the problem.

Only when I click anything it just repops up!



EDIT: Found the SAS Log, I'll add it here. I will though await confirmation from a malware specialist before I contine on with the process. Since the viruses were never quarantined. Also sorry about spelling errors, I'm using Opera since Firefox won't install and IE is broken. Also it's 3:16 am and I am very tired.

Edit2:
Just incase it's needed here's the system properties:

System:
   Microsoft Windows XP
   Home Edition
   Version 2002
   Service Pack 3

Registered to:
   Scott

Dell Dimension DIM2400 Intel(R)
Celeron(R) CPU 2.40 GHz
2.39 GHz, 512 MB of RAM

The warranty ran out 2-3 years ago.


Edit: Something odd happened when I came back to my computer after leaving it idle.
The only open window I had when I left was this website viewed on Opera... but for some reason internet explorer opened itself up, opened a new tab and went to:
http://www.serveadsready.com/banners/serveadsready/tag300x250.html

I assume this is due to the malware in some way..

[attachment deleted by admin]

sjn2009:
I'm having more and more problems lately, and most of them didn't start until after I scanned my computer with SAS. How can I reformat this Dell back to factory default?

evilfantasy:
You have a lot of pretty nasty malware and it's probably crashing your computer when the scanner was trying to remove it. Some malware "fights back".

Can you post the 2 RSIT logs please. Depending on how it looks we may be able to get the rest of ti pretty easily.

Download random's system information tool (RSIT) by random/random from and save it to your Desktop.

[*]Double click on RSIT.exe to run.
[*]Click Continue at the disclaimer screen.
[*]Once it has finished, two logs will open.
[*]log.txt <will be maximized and info.txt <will be minimized
[*]Please post the contents of both logs in the next reply.[/list]

sjn2009:
I get a pop up from HiJack This saying:
Out of Memory

and the only option is to press ok...

Ugh anyways they finished, here's the logs:

[attachment deleted by admin]

evilfantasy:
The (0x00000000 0x00000000) is often a hardware issue. Have you added any new or had any problems with memory or other hardware recently?

Looking at the logs, BRB.

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