Uninstalling/Reinstalling won't help. The Digital Editions folder MUST be in your "My Documents" directory, and your system must recognize your "My Documents" directory as your "My Documents" directory (there are special API calls in Windows to get the location of your "My Documents" directory). There are ways to appropriately move the "My Documents" directory around using the Control Panel (User settings?), but I'm not a heavy Windows user so I don't know them off the top of my head.
I would suggest moving your "My Documents" directory back to your user folder temporarily, and see if that fixes your problem. If so post back, and I'll make sure to enter a bug, so that we can track this.
And, yes grooks, I do work for Adobe