Can't install iTunes 10.7 on Windows XP with SP 3

I have tried installing iTunes 10.7 and get a error due to a problem with the windows installer package.

I have run WindowsXP-KB942288-v3-x86.exe, and rebooted, but I still have the same problem. I had the same problem with the previous version of iTunes. I would like to install iTunes on this computer.

I am running Windows XP with service pack 3 on an Intel Core 2 CPU running at 2.4 GHz and 2 GB of RAM.