Hi Tom,
Being able to install the catalogs on a different computer actually points to an issue that is machine specific and ISSetup.dll is related to the Windows InstallShield. So it could be an issue with that .dll on your computer or it could also be related to the Windows C++ components on your computer.
The first thing I would try would be to uninstall all the C++ on your computer from the Windows control panel, reboot and then reinstall all the C++. The C++ is available from Microsoft and can be found with a simple Google search. You should reinstall the C++ in order so start with the C++ 2005 and work your way up.
If removing and re-installing the C++ does not resolve the issue you might have deeper Windows issues. You can run an SFC scan (open a command prompt and type in SFC / scannow) to check the integrity of your windows files. If there are any issues with the files you may need run a Windows Repair or possibly even reinstall Windows.
Hope that helps
Neil
