MSVFW32.dll is either not designed to run on windows or contains error

[Snick]

You might want to try a Repair Install it replaces Windows7 and keeps all your installed programs, files, folder, music, pictures, etc.

Here's SevenForums instruction that has both options from USB or DVD and from extracted ISO
Repair Install - Windows 7 Help Forums

Here's an excellent video by Brian at Britec Computer UK
Repair Install to Fix Windows 7 Without Reformatting by Britec

You will need your 25 character product key, you can obtain it from your computer with
KeyFinder | Magical Jelly Bean
You want the CD key not Product ID. I usually copy and paste it into, say, notepad and print it to avoid typos.

If you don't have a Win7 DVD you can obtain an ISO from
TechBench by WZT
The only working downloads are for Win7 Ultimate x64 and Win7 Ultimate x32
To make all version available use
eicfg_removal_utility.zip

You can't copy and paste an ISO file to DVD or USB Flash Drive, it has to be burned
To dvd Burn .ISO Image Files ImgBurn
To USB Rufus - Create bootable USB drives the easy way

To avoid days of updates, 230+ and counting, and numerous reboots, use
Website Dism++ | New Windows Utility.
Direct Download DISM++
Yes, it's from Chinese firm! When you run it, click on Updates, then Scan, Choose the updates you wish to install, and then click Install updates.

Any questions, we're here for you!

 

[gadisam]

Thank you very much for the detailed explanation, but that means that all our previous work, installations, SURT's and everything had no result....

 

[Snick]

Actually you don't actually install SURT; it determines what is need for an Upgrade, if any. We repaired/replaced the missing file(s)/folder(s).

There should be no issue now with the Repair Install/In Place Upgrade.

Some times there is too much Component Hive corruption on a system and a normal repair install will fail miserably. You do have one issue there but should not prevent Repair Install from completing.

Your system specs don't state how much RAM you have. If it's 8GB or more, DISM++ should install all the updates you choose without error. You can watch your RAM fill with task manager as DISM++ downloads and install the updates. The updates are stored in RAM and then installed.

Piece of Cake, do it all the time. Just be sure you have your 25-character product key, if you use Magic Jellybean it is the CD key, not product ID. and during the repair install process, when you get to the screen, you want Upgrade.

 

[gadisam]

So there's actually no way to bring Picasa back to life unless I install/repair Win7?

(I don't have the 25 char product key)

 

[Snick]

You can try uninstalling and reinstalling Picasa and see if that works. I'm out of ideas if that doesn't work.

Maybe another SF member has a solution.

Did you read my instruction about running Magic Jellybean? Here's a screenshot of Magic Jellybean. I also added a section in my prior post regarding use USB DVD or Extracted ISO and link to SevenForums Repair Install.

 

[gadisam]

Uninstalling / reinstalling Picasa doesn't help, and I leave the other options (repair Windows) as a last resort if other programs stop working as well.
Thank you very much for your efforts and help!

 

[Snick]

You're welcome. Sorry we couldn't fix your issue short of repair install. Always learning something new in IT!
As I alluded to prior, you still have a component hive issue that I don't know how to correct YET and haven't been there i my studies so far!