0x800A0046 error on installing MS Update, not Windows Update

Dreaded 0x800A0046 error attempting to install Microsoft Update. Windows
Update runs fine.

1. Vista is activated and validated. Office 2007 is activated and validated.
2. I show no service called "Automatic Update Service" in the services
control panel.
3. Windowsupdate.log shows no errors or warnings from COMAPI.
4. My account is an admin account, it is the only account I put on this
machine, during install.
5. Local Administrator and Service accounts are in "Impersonate a client
after authentication" security policy.
6. Changed "Windows Update" to run on "local System", since I didn't have
"Automatic Update".
wuauserv runs under netsvcs group

7. Tried to set the security descriptor after stopping wuauserv using the
following command, with the response:

sc sdset wuauserv
DA;;CCLCSWRPWPDTLOCRRC;;;SY)(A;;CCDCLCSWRPWPDTLO CRSDRCWDWO;;;BA)(A;;CCLCSWLOCRRC;;;AU)(A;;CCLCSWRP WPDTLOCRRC;;;PU)
[SC] OpenSCManager FAILED 5:
Access is denied.

8. Typing the show command got these results:

sc sdshow wuauserv
DA;;CCLCSWRPLORC;;;AU)(A;;CCDCLCSWRPWPDTLOCRSDRC WDWO;;;BA)(A;;CCDCLCSWRPWPDTLOCRSDRCWDWO;;;SY)

I'm at my wit's end on this