Ok. Problem solved in round 2. I re-run ComboFix and it worked. It killed Trojan horse Agent_r.ATS and a bunch of other bad stuff. I lost the CDROM for a while and then got it back by upgrading the driver firmware from Sony. Everything works fine now.
I am positively surprised by what ComboFix can do and it now has my full vote of confidence, despite its appearance.
A few tips that might help others:
-backup all important files before running ComboFix.
-It puts out messages in Chinese (or is it just me,or multilingual?)
-Leave it alone once started (no way to stop it either), or any click may cause problems.
-It worked with AVG installed but I had to "Ignore" the AVG functions since AVG doesn't fully exit.
-ComboFix does a very thorough job cleaning. Thanks!