First up despite what some people have said, as noted above, this has been detected by Zone Alarm as well as CA.
Secondly, if you allow CA to do its thing, and have your Windows CD, it will replace wuauclt.exe with a copy taken from the Windows CD. This appears to resolve the problem (subsequent scans do not detect anything) but I wouldn't guaruntee that the problem is completely solved given previous versions of the glenwiry viruses replace themselves from entries they place in the system registry (I checked and didn't find anything but I wouldn't be certain that nothing has been changed).
Thirdly, despite what some have said it doesn't appear to be a false positive. Our network has ~25 computers all running CA, and all updated today. Only 4 PCs on the network detected the virus. I updated and rescanned the other PCs and they did not detect the virus. If it was a false positive due to a bug with a CA update I would expect all of the PCs to report a virus infection.
(Update):
For those who don't have their XP disk, a system restore should allow you to restore the affected file(s), but I haven't tried that. You need the Windows XP with Service pack 2 disk so just downloading service pack 2 from the Microsoft site probably won't help with that. Any decent IT technician or computer store should have a copy of the XP with SP2 CD available.
Note that it will request Windows XP with SP2 disk whether or not you have since upgraded to SP3. This is why I assumed it would work with the original disk regardless of what version it is (our machines were all installed as XP with SP2 originally and have since been upgraded to SP3).
Also, when we had this come up it did not refer to wextract.exe, but wuauclt.exe (the file Windows uses to open .cab files).
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