This issue is as old as it can be. New users tend to get upset by updates that don't install and could lose a lot of time and money over this one. Let me be very short here. The process is far from perfected.
My advice is to look at each update and decide if you can do without. For example I'll pick KB981796 which is for the issue "Japanese characters are displayed incorrectly in the Configuration Manager console after you use ConfigMgr Site Repair Wizard in ConfigMgr 2007 SP2"
It would be interesting to know if you use the "ConfigMgr Site Repair Wizard in ConfigMgr 2007 SP2".
While Microsoft could do better, what we learn is to look at the ones that don't install and decide to ignore it or fix it. I think you are trying to fix it. But that's a problem since it's too likely you don't have CongigMgr or do you?
Bob
I've been working with Microsoft Tech Support and trying to get this problem fixed. We've run through all the tips they had and now we're regretfully at the point where it looks like I need to blow away my system and reinstall Windows 7.
Here's the problem. For the last 4 months or so, my system has slowly been failing to install security updates. Right now, there are 14 updates that won't load. However, many other updates ARE loading just fine -- including updates to MSE.
Here are most of the files that won't load:
KB978607, KB979482m KB980846, KB981332, KB978542, KB980232, KB975496, KB981078, KB979683, KB980408, KB980218, KB979683, KB979559, KB981796
Here's essentially what Microsoft Tech Support has had me do:
Run the Windows Update Tool and System Readiness Tool
Rename the Windows Update Software Distribution Folder
fsutil resource setautoreset true C:\
Now we're at the "In-Place Upgrade" step... Before I did that, I thought I'd check to see if anyone here has any hints on this... My guess is that an important file is locked and I just need to find out what file is needed and unlock it...
Thanks in advance -- have a great holiday!
Steve

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