RONIN2010,
After you deleted the system restore, did you reboot? Then restart your system restore again?
If a program is at the "end of it's life" and there is no update for it with PSI, then we have no choice but to wait for an update or use a different software. Also, after you update a program there and reboot, some people rescan to make sure is successful.
You mentioned earlier that KillIt.exe is something that is in your machine being used by Hp, however David mentioned that Avast is detecting it as a PUP.
The HP on isn't a problem, as it is a tool (PUP = Potentially Unwanted Program), but tools can be used for good or evil and this on is part of the HP recovery partition. This tool is used to kill running applications and that is why it got flagged, but no action is required.
Perhaps David can offer more assistance with this.
Question: Do you by any chance have the Teatimer on for Spybot SD? Many have reported problems with this and Avast.