I've already fixed this once with
http://support.microsoft.com/mats/windows_media_player_diagnostic/but the problem just came back after the last Avast program update.
The link to
http://support.microsoft.com/kb/831430/en-us seems like it might be the key to this.
Before doing anything I used regedit to look at
HKEY_LOCAL_MACHINE\SOFTWARE\Classes\CLSID\{f414c260-6ac0-11cf-b6d1-00aa00bbbb58}\InprocServer32
where I saw...
(Default)=C:\Program Files\Alwil Software\Avast5\AhAScr.dll
Default Engine=C:\WINDOWS\system32\jscript.dll
ThreadingModel=Both
After running...
regsvr32 jscript.dll
regsvr32 vbscript.dll
this changed to...
(Default)=C:\WINDOWS\system32\jscript.dll
ThreadingModel=Both
(f414c262-6ac0-11cf-b6d1-00aa00bbbb58 was exactly the same as this, but
f414c261-6ac0-11cf-b6d1-00aa00bbbb58 never had the link to AhAScr.dll in the first place)
Ok - red problem went away, but this feels like I've "unhooked" Avast in some way, possibly with effects beyond WMP. I would guess the underlying problem is buried within AhAScr.dll.
(Avast=6.0.1125, Windows=XP home/SP3)