problem?
This link explains all about the patch and how to identify if it's been
installed even if it appears not to have been installed. You can also
manually download the update and then install it if it isn't working via
Windows Update.
http://www.microsoft.com/technet/security/Bulletin/MS04-024.mspx
Have you, and if not then are you able, to install the XP SP1 update?
Right-click My Computer, select Properties, and see if it says you have SP1
or not.
Thanks Winguy that did the trick