Microsoft Visual C++ Error

Discussion created by ndemiranda-esri-ca-esridist on Mar 3, 2011
There are tons of posts linking to this error however, none of the solutions appear to fix my problem.
I have tried:
1) Repairing ArcGIS10
2) Manually registering the 360.dll
3) Modifying my python script to take advantage of different gp tools.

However, the script crashed after 90-110 iterations (does not make it out of the loop).
I have tried deleting intermediate data, running on multiple machines etc.
The original code I was worked off of is here:

Note: the orginal code verbatim also crashed.

Any suggestions would be great the code and error are attached.

# Import system modules
import arcpy
from arcpy import env
# Declarations
environments = arcpy.env
management = arcpy.management
# Set gp parameters
environments.workspace = "D://BANANA_DGN//Raw//Data_Jan2011//DGN_Baseline"
output = "D://BANANA_DGN//Baseline//Baseline.gdb//MTM//"
# Declare datasets into a variables & Create a value table that will hold input feature classes for merge
datasets = arcpy.ListDatasets()
valuetbl = arcpy.ValueTable()
featurecount = 0
# Loop through datasets and create layers which are then merge into a common feature class.
    for dataset in datasets:
        layername = "DGN_"+str(featurecount)
        #featurelayer = management.MakeFeatureLayer(dataset+"//Polyline",layername)
        featurecount = featurecount+1
        print featurecount
    arcpy.Merge_management(vTab, output+"Polylines")
    print "Complete!"
    print "Error!"
    print arcpy.gp.getMessages()