I have the same problem as some other users who reported that the application closes after one answers 'Yes' to the file cache update. I tried a couple of things, including clean installs, removing the FileCache.dat file, and editing the FileCache.dat file with a list of drives. None of it worked. In all cases, I a new FileCache.dat is recreated with a 0 length.
On my system I have dual drives, with drive letters C, D, E, F, G, H, J, N, O on the first drive, and I, K, P, Q, R on the second drive.
My boot loader is on C, my operating system Windows XP Pro SP2 is on drive K (the second hard drive).
Could it be that such a not necesseraly typical configuration is the problem for the file cache updater? Just a thought