Just y, enter.

The admin pw is often blank. Just press enter and see what happens.

What is the Blue screen error message?

Start/Run/cmd
Enter ipconfig in the command window

Wired or wireless?
Reboot your modem/router.
Post ipconfig.

I don't think that's possible.
You're not booting to your recovery disk for some reason.
Try a known good bootable disk like an XP install disk, verify your BIOS boot order is set properly and try...

No log found.
Start with Malabyte:
http://download.cnet.com/Malwarebytes-Anti-Malware/3000-8022_4-10804572.htm

If you have the BIOS set to Boot from CD, Windows isn't involved. I question whether this is so. Double-check your boot settings.
If you're actually bootiung from CD, then you have a different...

I don't see anything about an error when booting to a CD .
If you get an error when the boot order is set to CD first, what is it?
What's the make and model of your PC?

Recovery disks should work just fine.
Boot to the CD and begin your recovery, or use whatever procedure your PC maker recommends.
It sounds to me as though you have many services disabled.
You may...

Try this and see if it helps:
"Another way to get around the inability to access your antivirus program is to check your system for the presence of a particular rogue device driver:

• Step 1:...

Malwarebytes Anti-malware
See here:
http://www.techspot.com/vb/topic116808.html

You don't seem to have an ethernet adapter.
Is this computer connected to your router/modem?
Look in Device manager and see if a network adapter is listed.

In the run box, type cmd
At the Dos prompt, enter ipconfig and post the results here.

Apparently this option is only available if you upgraded from XP.

I've always been able to solve Defender errors by reinstalling.

Attitude?
He's just explaining that an Anti-Malware app is not an Anti-Virus app.
Malware is often called "Spyware" and Anti-Spyware apps don't usually deal with Viruses.
Malwarebytes is pretty...

See here for Safe Mode:
http://www.computerhope.com/issues/chsafe.htm
It might make more sense to download this program on to a CD or flash drive and load it on the infected machine from there.

Virus damage is limited to software, although some viruses can require an OS reinstall.
http://www.ca.com/us/securityadvisor/glossary.aspx#H

Boot to the Safe Mode screen and try Last Good configuration.
Try a repair install:
http://www.michaelstevenstech.com/XPrepairinstall.htm
If all else fails, it's relatively simple to remove the HD...

Have you tried Last Good Configuration?
You may have to do a repair install.
http://www.michaelstevenstech.com/XPrepairinstall.htm

I solved this by running Malabyte in Safe Mode.

I had the same infection, and a combination of Malabyte and Spybot solved it immediately.
Safe Mode:
Reboot, press F8 until the Safe Mode screen comes up.
Yes, go to step 9.
This is a very nasty...

Three suggestions:
Run a full AV/Spyware scan to be sure you've quarantined/Healed/Removed everything. (Use the "Immunize" feature in Spybot).
Turn off System Restore, reboot and turn it back on....