OK, thanks for the logs. You are correct, problem still exist. I'll change this way completely for next beta. It will be not important if files are located on CD or HDD, but destination folder will always be needed. Until I fix this you can do what I already suggested. If you have files on CD select it from there and button will be grayed out. About KB948988: That is probably some problem with Microsoft Update. Check if registry entries are present for this hotfix in hotfixes.reg which is located in folder FILES/SETUP of your CD. Also, you could go to Office Update and see if it report that hotfix as needed. Also, I have read somewhere that Microsoft Update is showing KB945432 as needed but it is replaced with newer hotfix. Did you maybe write wrong hotfix here? Cheers