You unfortunately have classic signs of an infected computer, especially with F8 safe mode disabled. Was the date you were trying to restore from high lighted in blue on the calendar selection, meaning a restore point was available to restore from ? Does "All Programs" or hitting the "Windows" keyboard key bring up anything that allows you to run your Antivirus Scan ?
And I am assuming, you pressed F8 immediately after the 1st splash screen was displayed on boot into safe mode, as if you hit it too late in the boot process, you won't get into safe mode.
With no safe mode available, alternatives left, IMO, are:
1 - Boot from Windows CD - repair Install Windows OS.
2 - From a working computer download & burn a bootable rescue CD
to boot from.
3 - Restore to Factory Settings (but you lose all your non OS data & files)