Get rid of it. Several of those CoDecs are either leaky (as in being dangerous to your system), do not provide compatibility hooks to the legacy Windows Media architecture or simply "steal" hooks from otehr CoDecs intended to handle the same media types. They only run as DirectDraw accelerated CoDecs and neither Adobe app can handle that except for the CoDecs supported via MediaCore. It's the same old story as to why most DivX/ Xvid/ Fraps [insert application X here] do not work in AE.
Thanks, Mylenium. I am surprized about K-Lite, because it worked for me for years untill this workstation. Uninstalling this codec-pack was also what Harm Millaard and Jim Simon suggested in Premiere forum. I followed their advice, but unfortunately it did not change things - AE and PP were still crashing like before.
Things seemed totally grim..
..and then I disabled faulty module mentioned before.. and, man, now IT WORKS!!!!!!! (not fully tested yet, but probably works also because of K-Lite gone). Thanks God my efforts and your advices were not in vain.
Still, I don't know what that winmediawriter.vwr is intended for, but as far as I tried, uncompressed AVIs and MPEG2s (those I specially cared about) are encoding like a charm. Does anyone knows what consequences can I expect?
I left my coleague installing back rest of CS3 to see tomorrow if it still works with such modules as Encore. And probably we will test KLite pack again.
VWR files are wrapper handlers for some of the media formats I mentioned, in this case Windows Media.