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F-Secure's Description

Navidad
Aliases: Feliz Navidad

Type: Worm
Systems Affected: Windows 32-bit systems
Payload: Prevents executables from running
ITW: Yes
Origin:
Description: According to F-Secure, Navidad is a worm that arrives as an email attachment named Navidad.exe. There's a bug in the worm that causes other executables not to run. It copies itself to the Windows\System directory as WINSRVC.VXD. However, it registers itself in the system incorrectly, using the name WINSVRC.EXE After infection, if you attempt to launch an application, you'll get the following error message:

Windows cannot find WINSVRC.VXD This application is needed for opening files of type "..."

F-Secure has provided a registry fix and manual removal instructions for this worm.
What to look for: If no executable files will run on your system, you can suspect that you have been infected by Navidad.
How to prevent it: Do not open attachments received unexpectedly, even from known sources. Keep your antivirus software up-to-date, save and scan any attachments before opening.

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