SQL Server 2008 R2 install fails on Win 2008 R2 x64 Std. server with workflowXmlText msg error. Help needed.

I am trying to install SQL Server 2008 R2 Developer edition on a server VM running Windows 2008 R2 x64 Std. OS and the SQL server install fails with workflowXmlText msg error. I have included the error summary file contents below.  Also, included the end portion of Detail.txt file with errors.  Any help to resolve this is much appreciated.

 Thanks.

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Overall summary:

  Final result:                  SQL Server installation failed. To continue, investigate the reason for the failure, correct the problem, uninstall SQL Server, and then rerun SQL Server Setup.

  Exit code (Decimal):           307362611

  Exit facility code:            593

  Exit error code:               64307

  Exit message:                  workflowXmlText

  Start time:                    2010-12-12 11:58:31

  End time:                      2010-12-12 12:04:30

  Requested action:              Install

  Log with failure:              C:\Program Files\Microsoft SQL Server\100\Setup Bootstrap\Log\20101212_114047\Detail.txt

  Exception help link:           http%3a%2f%2fgo.microsoft.com%2ffwlink%3fLinkId%3d20476%26ProdName%3dMicrosoft%2bSQL%2bServer%26EvtSrc%3dsetup.rll%26EvtID%3d50000%26ProdVer%3d10.50.1600.1%26EvtType%3d0x2F857E2C%400x294A9FD9

Machine Properties:

  Machine name:                  WIN-0A2IAH0V0HL

  Machine processor count:       1

  OS version:                    Windows Server 2008 R2

  OS service pack:               

  OS region:                     United States

  OS language:                   English (United States)

  OS architecture:               x64

  Process architecture:          64 Bit

  OS clustered:                  No

Product features discovered:

  Product              Instance             Instance ID                    Feature                                  Language             Edition              Version         Clustered 

Package properties:

  Description:                   SQL Server Database Services 2008 R2

  ProductName:                   SQL Server 2008 R2

  Type:                          RTM

  Version:                       10

  SPLevel:                       0

  Installation location:         D:\x64\setup\

  Installation edition:          DEVELOPER

User Input Settings:

  ACTION:                        Install

  ADDCURRENTUSERASSQLADMIN:      False

  AGTSVCACCOUNT:                 administrator

  AGTSVCPASSWORD:                *****

  AGTSVCSTARTUPTYPE:             Manual

  ASBACKUPDIR:                   C:\Program Files\Microsoft SQL Server\MSAS10_50.MSSQLSERVER\OLAP\Backup

  ASCOLLATION:                   Latin1_General_CI_AS

  ASCONFIGDIR:                   C:\Program Files\Microsoft SQL Server\MSAS10_50.MSSQLSERVER\OLAP\Config

  ASDATADIR:                     C:\Program Files\Microsoft SQL Server\MSAS10_50.MSSQLSERVER\OLAP\Data

  ASDOMAINGROUP:                 <empty>

  ASLOGDIR:                      C:\Program Files\Microsoft SQL Server\MSAS10_50.MSSQLSERVER\OLAP\Log

  ASPROVIDERMSOLAP:              1

  ASSVCACCOUNT:                  administrator

  ASSVCPASSWORD:                 *****

  ASSVCSTARTUPTYPE:              Automatic

  ASSYSADMINACCOUNTS:            WIN-0A2IAH0V0HL\Administrator

  ASTEMPDIR:                     C:\Program Files\Microsoft SQL Server\MSAS10_50.MSSQLSERVER\OLAP\Temp

  BROWSERSVCSTARTUPTYPE:         Disabled

  CONFIGURATIONFILE:             C:\Program Files\Microsoft SQL Server\100\Setup Bootstrap\Log\20101212_114047\ConfigurationFile.ini

  CUSOURCE:                      

  ENABLERANU:                    False

  ENU:                           True

  ERRORREPORTING:                False

  FARMACCOUNT:                   <empty>

  FARMADMINPORT:                 0

  FARMPASSWORD:                  *****

  FEATURES:                      SQLENGINE,REPLICATION,FULLTEXT,AS,RS,BIDS,CONN,IS,BC,SDK,BOL,SSMS,ADV_SSMS,SNAC_SDK,OCS

  FILESTREAMLEVEL:               0

  FILESTREAMSHARENAME:           <empty>

  FTSVCACCOUNT:                  NT AUTHORITY\LOCAL SERVICE

  FTSVCPASSWORD:                 *****

  HELP:                          False

  IACCEPTSQLSERVERLICENSETERMS:  False

  INDICATEPROGRESS:              False

  INSTALLSHAREDDIR:              C:\Program Files\Microsoft SQL Server\

  INSTALLSHAREDWOWDIR:           C:\Program Files (x86)\Microsoft SQL Server\

  INSTALLSQLDATADIR:             <empty>

  INSTANCEDIR:                   C:\Program Files\Microsoft SQL Server\

  INSTANCEID:                    MSSQLSERVER

  INSTANCENAME:                  MSSQLSERVER

  ISSVCACCOUNT:                  administrator

  ISSVCPASSWORD:                 *****

  ISSVCSTARTUPTYPE:              Automatic

  NPENABLED:                     0

  PASSPHRASE:                    *****

  PCUSOURCE:                     

  PID:                           *****

  QUIET:                         False

  QUIETSIMPLE:                   False

  ROLE:                          <empty>

  RSINSTALLMODE:                 DefaultNativeMode

  RSSVCACCOUNT:                  WIN-0A2IAH0V0HL\Administrator

  RSSVCPASSWORD:                 *****

  RSSVCSTARTUPTYPE:              Automatic

  SAPWD:                         *****

  SECURITYMODE:                  SQL

  SQLBACKUPDIR:                  <empty>

  SQLCOLLATION:                  SQL_Latin1_General_CP1_CI_AS

  SQLSVCACCOUNT:                 administrator

  SQLSVCPASSWORD:                *****

  SQLSVCSTARTUPTYPE:             Automatic

  SQLSYSADMINACCOUNTS:           WIN-0A2IAH0V0HL\Administrator

  SQLTEMPDBDIR:                  <empty>

  SQLTEMPDBLOGDIR:               <empty>

  SQLUSERDBDIR:                  <empty>

  SQLUSERDBLOGDIR:               <empty>

  SQMREPORTING:                  False

  TCPENABLED:                    0

  UIMODE:                        Normal

  X86:                           False

  Configuration file:            C:\Program Files\Microsoft SQL Server\100\Setup Bootstrap\Log\20101212_114047\ConfigurationFile.ini

Detailed results:

  Feature:                       Database Engine Services

  Status:                        Failed: see logs for details

  MSI status:                    Passed

  Configuration status:          Passed

  Feature:                       SQL Client Connectivity SDK

  Status:                        Failed: see logs for details

  MSI status:                    Passed

  Configuration status:          Passed

  Feature:                       SQL Server Replication

  Status:                        Failed: see logs for details

  MSI status:                    Passed

  Configuration status:          Passed

  Feature:                       Full-Text Search

  Status:                        Failed: see logs for details

  MSI status:                    Passed

  Configuration status:          Passed

  Feature:                       Analysis Services

  Status:                        Failed: see logs for details

  MSI status:                    Passed

  Configuration status:          Passed

  Feature:                       Reporting Services

  Status:                        Failed: see logs for details

  MSI status:                    Passed

  Configuration status:          Passed

  Feature:                       Integration Services

  Status:                        Failed: see logs for details

  MSI status:                    Passed

  Configuration status:          Passed

  Feature:                       Client Tools Connectivity

  Status:                        Failed: see logs for details

  MSI status:                    Passed

  Configuration status:          Passed

  Feature:                       Management Tools - Complete

  Status:                        Failed: see logs for details

  MSI status:                    Passed

  Configuration status:          Passed

  Feature:                       Management Tools - Basic

  Status:                        Failed: see logs for details

  MSI status:                    Passed

  Configuration status:          Passed

  Feature:                       Client Tools SDK

  Status:                        Failed: see logs for details

  MSI status:                    Passed

  Configuration status:          Passed

  Feature:                       Client Tools Backwards Compatibility

  Status:                        Failed: see logs for details

  MSI status:                    Passed

  Configuration status:          Passed

  Feature:                       Business Intelligence Development Studio

  Status:                        Failed: see logs for details

  MSI status:                    Passed

  Configuration status:          Passed

  Feature:                       SQL Server Books Online

  Status:                        Failed: see logs for details

  MSI status:                    Passed

  Configuration status:          Passed

  Feature:                       Microsoft Sync Framework

  Status:                        Failed: see logs for details

  MSI status:                    Passed

  Configuration status:          Passed

Rules with failures:

Global rules:

Scenario specific rules:

Rules report file:               C:\Program Files\Microsoft SQL Server\100\Setup Bootstrap\Log\20101212_114047\SystemConfigurationCheck_Report.htm

Exception summary:

The following is an exception stack listing the exceptions in outermost to innermost order

Inner exceptions are being indented

Exception type: System.ArgumentException

    Message: 

        workflowXmlText

    Data: 

      DisableWatson = true

    Stack: 

        at Microsoft.SqlServer.Setup.Chainer.Workflow.WorkflowFactory.LoadWorkflowFromText(String workflowXmlText)

        at Microsoft.SqlServer.Setup.Chainer.Workflow.WorkflowFactory.LoadEmbeddedWorkflowById(String workflowId)

        at Microsoft.SqlServer.Configuration.ConfigExtension.ConfigWorkflowAction.UpdateActionData(IEnumerable`1 actionData)

        at Microsoft.SqlServer.Configuration.ConfigExtension.ConfigWorkflowAction.UpdateActionData(IEnumerable`1 actionData)

        at Microsoft.SqlServer.Configuration.ConfigExtension.ScheduleConfigAction.CreateAction(FeatureId feature, Dictionary`2 additionalActionData, ConfigActionContextData actionContext)

        at Microsoft.SqlServer.Configuration.ConfigExtension.ScheduleConfigAction.ExecuteAction(String actionId)

        at Microsoft.SqlServer.Chainer.Infrastructure.Action.Execute(String actionId, TextWriter errorStream)

        at Microsoft.SqlServer.Setup.Chainer.Workflow.ActionInvocation.ExecuteActionHelper(TextWriter statusStream, ISequencedAction actionToRun)