Restored Windows 7 on Asus to factory settings, infected rootkit still found

system · 2015-04-28T06:55:31.000Z

This is my laptop: ASUS Notebook w/ NVIDIA Optimus K52 Series K52JC-XN1 Intel Core i5 460M (2.53GHz) 4GB Memory 500GB HDD NVIDIA GeForce 310M + Intel HD 15.6" Windows 7 Home Premium 64-bit

http://m.newegg.com/...N82E16834220865

This laptop is a few years old, purchased in 2011, never had virus/malware problems until recently after installing Windows Updates. Then Avast Antivirus/Internet Security (trial), Malwarebytes (free) and Windows Defender all detected infected rootkit files.

I booted up the laptop, hit F9 to access hidden recovery partition. Chose third option “Recover Windows to Entire HD With Two Partitions.” and that ran, completed, started Windows. Factory settings all there, Asus bloatware intact, Windows updates downloaded and installed.

Downloaded Avast Antivirus/Internet Security (trial) again and ran. Within 10% of the scan infected files were found. So restoring to factory settings was not enough? What do I do now?

Avast results
File name: C:\ADSM_PData_0150\DragWait.exe
Severity: High
Status: Threat: Rootkit: hidden file
Action: Move to chest
Result: Error: The request is not supported (50)

Cannot Move to Chest, cannot Fix Automatically. Also trying to download Firefox, Malwarebytes, and Comodo Firewall but internet connection keeps timing out. Otherwise I would try AVG but cannot download anything as it is. I have no idea what I’m doing/no idea what to do next.
Edited by rococoxo, A minute ago.

Asyn · 2015-04-28T06:57:21.000Z

Attach your basic diagnostic logs. (MBAM, FRST and aswMBR)
Instructions: https://forum.avast.com/index.php?topic=53253.0

system · 2015-04-28T07:13:29.000Z

I am unable to download MBAM or anything otherwise. Other laptops connected to wifi are working fine. This laptop gets internet connections timed out.

Asyn · 2015-04-28T07:17:32.000Z

Download the tools on another machine and transfer them via USB.

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