Windows 7 - boots to black screen with mouse movement

[netrate]

The nightmare never ends.
Using windows 7 ultimate, all of a sudden, I cannot boot past the windows\system32\driveravgardisk.sys

1) In safe mode, I uninstalled Avast virus. Tried to reboot
2) Screen is black, mouse moves. Have to reboot into safe mode
3) Safe mode - same issue this time stuck at CLASSPNP before going into SAFE MODE.
4) unplugged any unnecessary usb and speakers (what the hell, right?)

I am not sure where this new error came from, but I cannot seem to get past it now.
Any ideas? I am on a single boot system at present - one drive, 120 gig kingston.

I made a restore point last week, but I have never tried to restore before - oh no - in safe mode it is saying NO System point have been created. This isn't good. I have made a dozen of them over the month!

EDIT :
Tried last good config. didn't work
Trying REPAIR BOOT (that appeared right after "Last good config" didn't work.)

WORKED!!!!!

Ok, I am happy but extremely worried about my restore points. Why are they not working in safe mode???