The recent AVG 2011 update 3292, which was released on Wednesday evening, has left Windows 7 64-bit machines unusable. If you were running 64-bit versions of Windows 7, that reboot resulted in non-bootable or the well-known Blue Screen of Death (BSoD). The problem occurs regardless of whether you are using the free or paid version of AVG.
STOP: c0000135 The program can’t start because %hs is missing from your computer. Try reinstalling the program to fix this problem.
This is because a wrong update file is being served into the product. AVG responded quickly to get hold of this serious problem and issued a fix for the same. Please note the problem update ONLY affects Windows 7 64-Bit users. NO action needs to be taken by customers using Windows XP, Windows Vista 32 bit or Windows 7 32 bit users.
If you are experiencing problems with AVG 3292 update, Read the following tips or watch the step-by-step video guide below to fix this issue:
PLEASE NOTE: Business endpoints which are not part of the AVG Remote Administration Console were fixed by special utility patch sent directly to application.
Users who have downloaded the update, prompted for a restart, but did not restart their system are advised to manually delete the avgrs[x|a].exe and avgchsv[x|a].exe file from the system. Please see the FAQ 4079 for more information: : http://www.avg.com/cz-en/faq?num=4079
Users who have downloaded the update and applied the system restart should follow the instructions provided on our website: forums.avg.com/ww-en/avg-free-forum?sec=thread&act=show&id=129987#post_129987 or www.avg.com/faq?num=4079
Users who are running Windows 7 and have not downloaded and installed this update  are ok and no action is necessary.
Meanwhile, AVG support teams are offering Free Support for customers who have been affected by these issues, so if you still cannot resolve the issue, please contact AVG support teams.