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KB 2962872 hoses Sony Vegas

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I have several laptops that are running Sony Vegas 12 and since the update KB2962872 has been pushed out, they can no longer render video or even view it in Vegas. We have also tried viewing the same video (raw) in VLC player and the video is so choppy its unusable. I have restored the machines to prior to the update and it works fine. Unfortunately, I have had to set the updates to download and we select which ones to install. I have 300 users across 5 statewide sites. This causes some major issues when I try to get to all of them. These are local news stations and can not be without video editing. When will this update be replaced?

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