That's Zero-Letter E, not Letter O-Letter E, Simon. <wink>

This additional error may also indicate a hijackware infection though it may
point to the need for updated graphics/video drivers.

You may need new video drivers.  Check the website of your video board or
computer manufacturer.  Meanwhile, you can do the following:

1.  Use the default mouse pointers.

2.  Turn down your color depth.  (Right click the desktop and choose
Properties | Appearance | Settings)  Some people find that increasing color
depth helps.

3.  Turn down your graphics hardware acceleration.  (Start | Settings |
Control Panel | System | Performance | Graphics button)  You will see
little, if any, performance degradation.

4.  Turn off your desktop wallpaper.

If any of these make the (second) problem go away, you need new video
drivers.

Checking for/Help with Hijackware
http://aumha.org/a/parasite.htm
  http://aumha.org/a/quickfix.htm
  http://aumha.net/viewtopic.php?t=5878
http://wiki.castlecops.com/Malware_Removal_and_Prevention:_Introduction
http://mvps.org/winhelp2002/unwanted.htm
http://inetexplorer.mvps.org/data/prevention.htm
  http://inetexplorer.mvps.org/tshoot.html
http://www.mvps.org/sramesh2k/Malware_Defence.htm
http://defendingyourmachine.blogspot.com/
http://www.elephantboycomputers.com/page2.html#Removing_Malware

When all else fails, HijackThis v1.99.1
(http://aumha.org/downloads/hijackthis.zip) is the preferred tool to use.
It will help you to both identify and remove any hijackware/spyware.  **Post
your log to http://aumha.net/viewforum.php?f=30,
http://castlecops.com/forum67.html,
http://forums.subratam.org/index.php?showforum=7, or other appropriate
forums for expert analysis, not here.**

If the procedures look too complex - and there is no shame in admitting this
isn't your cup of tea - take the machine to a local, reputable and
independent (i.e., not BigBoxStoreUSA) computer repair shop.