Error installing SQL 2005 SP2 KB 921896 - rlusia

I am running Windows 2003 Enterprise SP2 running SQL 2005 Enterprise and am
getting repeated failures applying SQL 2005 SP2.  The error is always the
same (see below).

I have made sure that there are no disabled services in the SQL Server
family of services, but this does not appear to have helped.  This SQL
installation is pretty minimal, basically just the Database Engine.  The
services list is:

SQL Server (MSSQLSERVER)  Started	Automatic	Local System
SQL Server Active Directory Helper Manual (was disabled) Network Service
SQL Server Agent (MSSQLSERVER) Started	Automatic	Local System
SQL Server Browser Manual (was disabled)	Local System
SQL Server FullText Search (MSSQLSERVER) Started	Automatic	Local System
SQL Server VSS Writer Started	Automatic	Local System

from the summary:
----------------------------------------------------------------------------------
Product                   : Database Services (MSSQLSERVER)
Product Version (Previous): 2047
Product Version (Final)   :
Status                    : Failure
Log File                  : C:\Program Files\Microsoft SQL Server\90\Setup
Bootstrap\LOG\Hotfix\SQL9_Hotfix_KB921896_sqlrun_sql.msp.log
Error Number              : 29528
Error Description         : MSP Error: 29528  The setup has encountered an
unexpected error while Setting Internal Properties. The error is: Fatal error
during installation.

from the event log:
Event Type:	Error
Event Source:	MsiInstaller
Event Category:	None
Event ID:	1023
Date:		5/3/2007
Time:		6:37:36 PM
User:		RLTESTENV002\Administrator
Computer:	RLTESTENV002
Description:
Product: Microsoft SQL Server 2005 - Update 'Service Pack 2 for SQL Server
Database Services 2005 ENU (KB921896)' could not be installed. Error code
1603. Additional information is available in the log file C:\Program
Files\Microsoft SQL Server\90\Setup
Bootstrap\LOG\Hotfix\SQL9_Hotfix_KB921896_sqlrun_sql.msp.log.

Event Type:	Error
Event Source:	MsiInstaller
Event Category:	None
Event ID:	10005
Date:		5/3/2007
Time:		6:37:35 PM
User:		RLTESTENV002\Administrator
Computer:	RLTESTENV002
Description:
Product: Microsoft SQL Server 2005 -- Error 29528. The setup has encountered
an unexpected error while Setting Internal Properties. The error is: Fatal
error during installation.

I can send the detailed log if you need it.