What are you trying to do with the system - restore the system to it's factory state?
If so, and you're getting the dll error when doing that - I'd have to suspect a problem with your recovery partition.
Have you run a hard drive diagnostic? If not, here's some tests that you may want to run:
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I suggest starting all troubleshooting with the following diagnostic tests. They'll save you a lot of time and heartache if there is a hardware failure, and you'll have the disks on hand in case you need them in the future:
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H/W Diagnostics:
Please start by running these
bootable hardware diagnostics:
Memory Diagnostics (read the details at the link)
HD Diagnostic (read the details at the link)
Also, please run one of these free, independent online malware scans to ensure that your current protection hasn't been compromised:
Free Online AntiMalware Scanners (read the details at the link)
If these tests pass and the recovery partition still spits out dll errors, I'd suggest contacting the system manufacturer for a set of recovery disks.