Worm2007 is a very difficult infestation. Many techs believe the best solution is a total reformat and reinstall.
But we have had excellent luck using AVG AntiVirus, followed by AVG AntiSpyware, followed by a total shutdown.
Then reboot in Safe Mode and immediately run both AVG's again. Then install and run AVAST and run it in both normal and Safe mode... then run Trend Micro Antivirus in both normal and Safe Mode...
Then scan with Panda, Computer Associates EZ Armor, and Kaspersky to see if they detect anything.
Symantec Norton, McAfee, PCTools are all failures.
I don't know for sure which of the above works, but when done, there is no more Worm2007.
But you then should run Windows XP in Repair mode to fix any residual stuff.
But the best solution is to run good antivirus and antispyware in both normal and safe mode, then reboot, and run the very latest version of HiJack This, and post the results here for Momok, Miss Kitty, and Harold_Hopkinso to examine in detail
Worm2007 is very bad evil