The Reader Library software not loading is not a new issue. I had the same problem when I migrated to Windows 7 a couple of years ago and it appears to have been around since Windows 7 was launched. Don't bother with Sony's on-line support or the forums - you won't find anything helpful.
I found a solutution to the problem in, of all places, Microsoft's Community forums - http://answers.microsoft.com/en-us/w...b-2c475c5d4f03
Hope this helps. There's also another thread there regarding Windows 7 64bit.