Thanks for your help. I made a ghost image of my installation yesterday just before installing the suite after screwing with this for a week and not finding a solution. I have since installed a bunch of programs and didn't want to have to do that again. Long story short, I restored the image and reinstalled the suite and its working. I won't be going near that setting in KAH though
I did contact support about this five days ago and they have been terrible at emailing me back. I get a reply about every two days from them asking questions I already gave them answers to in the original email. I'm glad its working now and I hope they fix this before someone lese gets caught up with it.
FYI as a weird aside, I found that if I uninstall my video drivers in safe mode while the suite is installed and locking up, the PC will boot ok. Somehow, this is related to my ATI video drivers. I even tried the last 5 releases of the drivers and they all lock the PC with kaspersky suite installed. Weird.
Thanks again for your help. I'm off to reinstall EQ2 and all my other apps again.