Windows XP update KB840987 causes printing error with Smar..

Archived from groups: microsoft.public.windowsxp.perform_maintain (More info?)

When I install the update KB840987 to Windows XP Service Pack 1 I get
errors when trying to perform certain printing functions including
printing new Notepad files (no problem printing previously saved .txt
files with Notepad). When I select the file/print menu, first I
immediately get "Notepad.exe - entry point not found" "The procedure
entry point DOS_Flag_Addr could not be located in the dynamic link
library ntvdm.exe." When I close that error window it is followed by
"Smart UI 32 - bits gateway error" "Can't load smart utilities library
(code 127) The specific procedure could not be found" That sequence of
the two error messages repeats, then I get the printing dialog box and
it prints okay.

I have confirmed that ntvdm.exe (version 5.1.2600.1106)is in my
System32 directory and elsewhere. I tried substituting the ntvdm.exe
file from the 1386 folder and still got the error messages. When I
uninstall the KB840987 update the problem goes away. I am reluctant to
install Service Pack 2 since it will presumably have the same fix as
KB40987. I have all of the other critical SP-1 updates through October
2004 installed with no problem.

I do not have the problem when using Wordpad or Word 2003.

Any help would be greatly appreciated.