For next time:
-Hit F8 and boot into safe mode with networking
-Once up, go to System Restore - Start | Programs | Accessories | System Tools | System Restore
-Follow the prompts, and choose a restore point on a date before the infestation.
-System will restore and reboot normally. You should be rid of the virus/malware.
There are a great number of malware infections that actually install itself into the "system restore." One of the first things I always do is disable the system restore to protect against the possibility.
I've also seen some that installs itself onto the hidden partition restore files, so when you tell the system to reset itself back to the factory default installation, the system will still be infected.
Mark
This virus often disables system restore. You get a message that tells you it is turned off when you try to use it.
The bleeping computer website has good directions for getting rid of it.