Problems with finishing updates after restart windows

Hi,

I have some weird problem with windows update.
After istalling new updates (I think it was .NET 3.5 updates) I have restared windows
and now I cannot start it fully again! After initial windows start tehre is always coming a screen : "Finishing updates 0%, please don't restart your computer" Then it goes to 95% and just shuts down (I think there is some problems with update files).
And it restarts again and again. I even cannot start a safe mode with any options available after pressing F8. Because it tries to finish updates in safe mode as well!
The only thing I can do is to startup from install DVD abd start command line, to edit some things in windows config files, but I don't know what I have to do to start window normally ot to say windows just to ignore this update. I have already renamed SoftwareDistributiuon folder, but it doesn't help.

PS Unfortunately I don't have any earlear system restore point...

I have found following log entries in

Synchronization Windows Update Client successfully detected 2 updates. {70051E47-5C11-4D4E-B1B2-EEA6387F335D}
2009-03-01 12:15:33:159+0100 1 147 101 {00000000-0000-0000-0000-000000000000} 0 0 AutomaticUpdates Success Software Synchronization Windows Update Client successfully detected 3 updates. {D0AFBB5E-A780-428B-A64B-8F67CF385DD6}
2009-03-01 12:16:11:250+0100 1 162 101
{DE37530E-38FA-4C75-A75B-8FD14B2FA528}
100 0 AutomaticUpdatesWuApp Success Content Download Download succeeded. {99645F10-2FD6-488C-871D-F8FA8E1A345F}
2009-03-01 12:16:35:445+0100 1 162 101
{4EF5E48B-E24A-4DF2-8824-BC0DA223D376}
101 0 AutomaticUpdatesWuApp Success Content Download Download succeeded. {3DAC9E63-2767-4F6A-A141-ADED641B58B2}
2009-03-01 12:16:38:387+0100 1 183 101
{DE37530E-38FA-4C75-A75B-8FD14B2FA528} 100 0 AutomaticUpdates Success Content Install Installation Successful: Windows successfully installed the following update: Definition Update for Windows Defender - KB915597 (Definition 1.51.1145.0) {2494B1AC-B9F3-4999-9D49-56CFAE668D45}
2009-03-01 12:16:51:677+0100 1 182 101
{4EF5E48B-E24A-4DF2-8824-BC0DA223D376} 101 80070057 AutomaticUpdates Failure Content Install Installation Failure: Windows failed to install the following update with error 0x80070057: Microsoft .NET Framework 3.5 Service Pack 1 and .NET Framework 3.5 Family Update (KB951847) x64.
{9C287637-3CD8-4DDC-A482-4DC6D670CA22}
2009-03-01 12:17:07:721+0100 1 161 106 {4EF5E48B-E24A-4DF2-8824-BC0DA223D376} 101 8000ffff AutomaticUpdatesWuApp Failure Content Download Error: Download failed.